U.S. retail egg prices have experienced a notable decline in April, marking a shift from the record-high prices seen earlier this year. According to data released on Tuesday by the U.S. Bureau of Labor Statistics, the average price for a dozen Grade A eggs dropped to $5.12 last month, down from an all-time high of $6.23 in March. This decrease represents the first month-to-month drop in egg prices since October 2024, highlighting a significant change in the market.
Overall, the average price of eggs of all sizes plummeted by 12.7% in April, marking the steepest monthly decline since March 1984. Despite this decrease, retail egg prices remain elevated, largely due to a persistent outbreak of bird flu that continues to decimate flocks of egg-laying hens across the country. The average price for a dozen large eggs in April was still 79% higher than the same month last year, when it averaged just $2.86 per dozen.
David L. Ortega, a professor of food economics and policy at Michigan State University, predicts that U.S. egg prices may continue to decline in May and June. He attributes this potential drop to the seasonal decrease in consumer demand following Easter, which traditionally helps lower prices. Additionally, fewer bird flu outbreaks at commercial poultry operations have contributed to stabilizing the country’s egg supply. The data shows a stark reduction in bird flu incidents, with 59 outbreaks reported in February, 12 in March, and just three in April.
However, Ortega cautions that the situation remains unpredictable, as the progress of the bird flu virus is uncertain. If outbreaks increase, egg prices could rise once more. Since early 2022, bird flu has resulted in the deaths of over 169 million birds. When a bird falls ill, the entire flock is typically slaughtered to prevent the virus from spreading further. After a flock is culled, it can take nearly a year to clean the farm and raise new birds to become egg-laying age, which can have a profound impact on the overall supply.
Recent outbreaks at two farms in Ohio and South Dakota in April affected over 927,000 egg-laying hens, further illustrating the fragility of the egg supply chain. The ongoing fluctuations in egg prices have caught the attention of policymakers, including President Donald Trump, who has prioritized lowering egg costs for consumers. In February, the U.S. Department of Agriculture announced a $1 billion investment aimed at enhancing biosecurity measures to combat bird flu.
To supplement the domestic egg supply, the U.S. has ramped up imports of eggs from countries such as South Korea, Turkey, and Brazil. According to Kevin Bergquist, the Sector Manager at the Wells Fargo Agri-Food Institute, the volume of egg and egg product imports surged by 77.5% during the first quarter of the year compared to the same period last year. This increase in imports is a strategic move to help mitigate the impact of local supply shortages.
In addition to these market changes, the antitrust division of the U.S. Department of Justice is currently investigating Cal-Maine Foods, the largest egg producer in the U.S., which supplies approximately 20% of the nation’s eggs. Cal-Maine confirmed the investigation in early April, indicating that scrutiny over pricing practices within the egg industry may lead to further changes in the market.
As the situation surrounding U.S. egg prices continues to evolve, consumers and industry stakeholders alike will be watching closely. The combination of seasonal demand shifts, biosecurity measures, and international trade will play crucial roles in shaping the future of egg pricing in the coming months.
