New York — Egg prices, once a staple of affordable grocery shopping, are now at unprecedented levels, driven by a combination of widespread avian flu outbreaks and the surging demand of the holiday season. As families prepare for festive meals and holiday baking, the cost of eggs has become a significant concern for consumers and retailers alike, with no immediate relief in sight.
Over the past two years, egg prices have steadily climbed, reflecting challenges in supply chains and escalating production costs. October alone saw a 30.4% increase in prices compared to the previous year, according to data from the Consumer Price Index. As Thanksgiving approaches, this upward trajectory is being amplified by holiday traditions that place eggs at the center of culinary celebrations. “Eggs are the one standout in an otherwise stable Thanksgiving meal cost this year,” remarked Stew Leonard Jr., CEO of the Stew Leonard’s grocery chain. “It’s the one item where we’ve seen a sharp price spike.”
The demand for eggs during the holiday season is unparalleled. From festive cookies to elaborate side dishes, eggs are an essential ingredient in countless recipes. Emily Metz, president and CEO of the American Egg Board, described the seasonal impact. “The holidays are the busiest time of year for egg sales,” she said. “Every tradition—from baking to entertaining—relies on eggs, making them a critical part of holiday preparations.”
Compounding the issue is the devastating impact of avian flu on egg production. Since the virus was first detected in January 2022, it has swept through poultry farms across the United States, decimating flocks. According to the American Farm Bureau Federation, 108 million birds have died from the disease, including 75 million egg-laying hens. This represents an 8% reduction in the national egg supply, creating ripple effects that are being felt throughout the market.
October brought a fresh wave of outbreaks in critical egg-producing states such as Oregon, Utah, and Washington. These regions alone saw 2.8 million laying hens wiped out, which the USDA estimates translates to a loss of 60 million eggs. The agency has since revised its production forecasts for early 2025, indicating that the current crisis will likely persist into the new year.
Bernt Nelson, an economist with the American Farm Bureau Federation, emphasized the unique volatility of egg prices. “Eggs are particularly sensitive to supply shocks,” he explained. “When production takes a hit, prices can spike rapidly, especially when paired with increased seasonal demand.”
Retailers are now facing the unenviable task of managing these price fluctuations while maintaining customer loyalty. Wholesale prices in New York have surged to $4.23 per dozen, a dramatic increase from $2.43 during the same period last year. For grocery chains, the challenge lies in balancing profitability with consumer affordability.
Stew Leonard Jr. explained the difficult decisions his stores are grappling with. “We’ve chosen to cap egg prices at $4.99 per dozen, even though our suppliers have raised their costs,” he said. “It’s a fine line between protecting our customers and maintaining our margins in what has been an incredibly challenging year.”
Morton Williams, a grocery chain operating 17 locations in New York City, has experienced similar struggles. Steve Schwartz, the company’s director of sales and marketing, noted that wholesale egg prices doubled in October alone. “It’s been out of control,” he said. “Eggs used to be one of the most affordable items in the store. Now they’re a luxury, and even when prices drop, they never seem to return to their original levels.”
Adding to the complexity, the narrowing price gap between conventional and organic eggs has shifted consumer behavior. Organic eggs, once considered a premium option, are now priced similarly to regular varieties in many stores. This trend is particularly evident during the holidays, as shoppers look for higher-quality ingredients. However, this shift has put additional strain on the organic egg supply, which wasn’t prepared for such a surge in demand.
The consequences of rising egg prices extend beyond the grocery aisle. Products that rely on eggs—such as baked goods, pasta, and mayonnaise—are beginning to see their own costs increase. Schwartz warned that the ripple effects could last well into next year. “High egg prices impact everything they touch,” he said. “It’s not just breakfast; it’s every product made with eggs.”
