NEW YORK (AP) — Egg costs once more reached a file excessive in February, because the hen flu continues to run rampant and Easter and Passover method.
The most recent month-to-month Client Value Index confirmed a dozen Grade A eggs price a mean of $5.90 in U.S. cities in February, up 10.4% from a yr in the past. That eclipsed January’s record-high value of $4.95.
Avian flu has pressured farmers to slaughter greater than 166 million birds, principally egg-laying chickens. Simply for the reason that begin of the yr, greater than 30 million egg layers have been killed.
If costs stay excessive, it will likely be third yr in a row shoppers have confronted sticker shock forward of Easter on April 20 and Passover, which begins on the night of April 12, each events during which eggs play outstanding roles.
The worth had constantly been beneath $2 a dozen for many years earlier than the illness struck. The U.S. Division of Agriculture expects egg costs to rise 41% this yr over final yr’s common of $3.17 per dozen.
However there could also be gentle on the finish of the tunnel. The USDA reported final week that egg shortages are easing and wholesale costs are dropping, which could present reduction on the retail aspect earlier than this yr’s late Easter, which is three weeks later than final yr. It mentioned there had been no main hen flu outbreak for 2 weeks.
“Shoppers have begun to see shell egg offerings in the dairycase becoming more reliable although retail price levels have yet to adjust and remain off-putting to many,” the USDA wrote within the March 7 report.
David Anderson, a professor and extension economist for livestock and meals advertising at Texas A&M College, mentioned wholesale figures dropping is an efficient signal that costs might go down as buyers react to the excessive costs by shopping for fewer eggs.
“What that should tell us is things are easing a little bit in terms of prices,” he mentioned. “So going forward, the next CPI report may very well indicate falling egg prices.”
Nevertheless, he doesn’t count on lasting adjustments till hen inventory may be replenished and manufacturing may be changed.
“Record high prices is a market signal to producers to produce more, but it takes time to be able to produce more, and we just haven’t had enough time for that to happen yet,” he mentioned. “But I do think it’s going to happen. But it’s going to take some more months to get there.”
“In addition, egg farmers are closely watching spring migration of wild birds, recognizing that wild birds are a leading cause of the spread of this virus and pose a great and ongoing threat to egg-laying flocks,” she mentioned.
Advocacy teams and others have additionally known as for a probe into whether or not egg producers have used the avian flu to cost gouge. However egg producers say the avian flu is solely behind the elevated costs.
In the meantime, eating places have added surcharges and made different adjustments to offset the price of eggs.
The Trump administration has unveiled a plan to fight hen flu, together with a $500 million funding to assist farmers bolster biosecurity measures, $400 million in extra assist for farmers whose flocks have been impacted by avian flu, and $100 million to analysis and doubtlessly develop vaccines and therapeutics for U.S. hen flocks, amongst different measures. However it’ll seemingly take some time for that plan to make an impression.