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By Rachael Humphrey
The budget friendly breakfast staple continues to rise in price. According to the latest consumer price index (CPI) the national average for a dozen eggs is $4.95. Compared to the average low of $2.04 in 2023 that is a 54% increase. That is the largest spike in price since 2015.
What is causing this steady jump in prices? In the state of Michigan there are two main factors. The first being that Michigan is one of the fifteen states that has implemented the cage-free law. Meaning that as of December 31st, 2024, stores can only sell cage free eggs. The second is the outbreak of the Highly Pathogenic Avian Influenza (HPAI).
Carrow’s Supermarket stated, “When we were converting over to cage free eggs, we were out of stock of all eggs. We are able to get eggs now, but they have limited quantities.”
They also shared that Spartan Nash let them know that there were several suppliers impacted by HPAI and are going to have limited quantities of eggs. They suggested that stores put a limit on the number of eggs per customer.
Carrow’s stated that they are doing their best to keep egg prices as low as they can, to include keeping the prices lower than what it costs them to purchase and ship to the store.
If the HPAI is found on a farm, the entire flock needs to be killed to limit the spread of the disease. This is devastating to the farmers. It takes at least a full year to get chickens old enough to start producing at the same rate. There have been 158 million chickens slaughtered since the outbreak began. Just in the month of December there was a loss of 13.2 million.
Often these outbreaks of HPAI begin in the spring or fall when birds are migrating. But just like most things in life, it doesn’t always follow the rules and can start at any time of year.
This outbreak isn’t just affecting the local and big box grocery stores. It is impacting the local small farmers as well. Linda Arnold, from Arnold Farms in Coleman, Michigan put out a statement earlier this week. “Ever since the price of eggs have gone up, your local small farms have stepped up to provide eggs to the public. Most farms like ours, Arnold Farms, are doing our best to keep the price as low as we can.” Arnold Farms currently has 194 hens, and are expecting to get 60 more chicks this spring to help keep up with the demand.
She went on to say, “We have promised our customers that we will not raise our prices UNLESS the price of feed goes up. We are a small farm like many throughout the U.S. With the Avian flu hitting, not only us, but worldwide, the cost of chicks has also gone up.”
Arnold Farms wanted their customers to know that if their prices, or other small farms prices, start to rise, they are not price gouging – simply just trying to keep their farm going.
Even if a consumer can afford the rise in prices for eggs, they might have a hard time finding them. Many stores are putting a limit on the number of dozens you can purchase for reasons similar to that of Carrow’s Supermarket.
In a recent study from Numerator, statistics showed that because of expense and low stock, 55% of consumers stated that their local store was out of stock and 40% skipped buying due to the high price.
Despite the cage-free law implemented in Michigan, locally, the prices seem to be falling around the national average. At Aldi a dozen is going for $5.99, at Carrow’s Supermarket $4.79, and at Wal-Mart $5.23.
Cage-free farms require approximately twice the capital investment. There are more workers needed, along with specialized labor and feed. It takes between 2-3 years to build a new cage-free production facility. Until there are more of these running at full steam in Michigan, we can continue to see prices rise, and stock remain low.