Egg prices increase to record high despite Trump’s predictions and bird flu outbreak slowing

By JOSH FUNK and DEE-ANN DURBIN, AP Enterprise Writers

U.S. egg costs elevated once more final month to succeed in a brand new record-high of $6.23 per dozen regardless of President Donald Trump’s predictions, a drop in wholesale costs and no egg farms having hen flu outbreaks.

The rise reported Thursday within the Shopper Value Index means shoppers and companies that depend on eggs may not get a lot speedy reduction. Demand for eggs is often elevated till after Easter, which falls on April 20.

Trade specialists have been anticipating the index to mirror a drop in retail egg costs as a result of wholesale egg costs dropped considerably in March. College of Arkansas agricultural economist Jada Thompson mentioned the wholesale costs didn’t begin dropping till mid-March, so there might not have been sufficient time for the common value for the month to say no although costs began to fall on the finish of the month. And grocery shops might not have instantly handed on the decrease costs.

The hen flu impact

Hen flu outbreaks have been cited as the most important reason for value spikes in January and February after greater than 30 million egg-laying chickens have been killed to stop the unfold of the illness. Solely 2.1 million birds have been slaughtered in March and none of them have been on egg farms.

Egg costs hit $5.90 in February one month after setting a document at $4.95 per dozen, in accordance with the U.S. Bureau of Labor Statistics.

The farms that had fall outbreaks have been working to renew egg manufacturing after sanitizing their barns and elevating new flocks, however chickens have to be about six months outdated earlier than they begin laying eggs. Thompson mentioned these farms didn’t come again on-line as rapidly as anticipated.

Within the newest U.S. Division of Agriculture numbers, there have been solely about 285 million hens laying eggs nationwide as of March 1, down from 293 million the earlier month. Earlier than the outbreak, the flock sometimes numbered greater than 315 million.

For the reason that present hen flu outbreak started, greater than 168 million birds have been slaughtered, most of them egg-laying chickens. Any time a hen will get sick, your complete flock is killed to assist hold hen flu from spreading. That may affect the egg provide as a result of huge egg farms might have hundreds of thousands of birds.

The illness is tough to manage as a result of it’s unfold simply by the droppings of untamed birds that carry the avian flu virus. Hen flu has additionally contaminated different animals, together with dairy cattle and a number of other dozen farm employees however officers keep it isn’t a major risk to people.

Egg value politics

Trump tried to take credit score for the decrease wholesale egg costs the USDA reported in latest weeks.

“The egg costs they have been going by the sky. And you probably did a implausible job,” Trump mentioned to Agriculture Secretary Brooke Rollins earlier than he introduced the main points of his tariffs on the White Home final week. ”Now we have now plenty of eggs and they’re much cheaper now.”

However specialists say the president’s plan to combat hen flu by specializing in strengthening egg farmers’ defenses towards the virus is more likely to be extra of a long-term assist.