$5 a dozen: major egg companies may be using avian flu to hike US prices, new report finds | US news

New research indicates that the major egg company may use bird flu as a trick to raise prices, which generates record profits with the damage of American consumers.

The cost of dozens of large eggs was about 5 dollars in January – a record in the United States and more than two and a half times the price three years before the outbreak of bird flu. This indicates the 157 % inflation rate for eggs-protein source that was pre-cost for many American families.

Although bird influenza was a major driver of consumer eggs, very concentrated egg markets may also contribute to consumer high prices – and the spread of the virus, according to the new analysis conducted by Food and Water Watch (FWW) exclusively with the Guardian.

Amanda Starbock, a FWW team, said that uniting companies is the main perpetrator behind the high price of eggs: “Bird flu is not completely explained by consumer experience shocking stickers in the egg pass … Standardization of companies is the main reason behind the high price of eggs.”

“Powerful companies that control every step from the supply chain step – from chicken to hatching to eggs and distributing eggs – make profits from this crisis, raising their prices above what is necessary to cover any increasing costs.”

The analysis found that in some areas, the prices were rising even before the new breed of the fatal H5N1 virus affecting poultry herds and reducing egg production.

For example, the southeast remained free of bird flu in herds of table eggs until January 2025. In fact, egg production increased in 2022 and 2023 compared to 2021 levels. However, retail eggs in the region increased alongside national nails, according to FWW analysis of government data.

Even with egg production recovery in 2023, prices did not decrease. Between April and 2023, national retail lists have exceeded eggs every month an average of five years by approximately 13 %. However, the average price of eggs for consumers was higher than an average of five years per month.

In one case, Cal-Maine, the country’s largest producer in the country, boasted about seven times in the total profits of the fiscal year 2023 compared to 2021, after increasing prices over the high costs-although its pieces of bird influenza were not affected during that period.

Cal-Maine, which produces one out of every five eggs eaten in the United States, has released the profits of shareholders of $ 250 million in the fiscal year 2023-40 times more than the previous fiscal year. The company, which is based in Mississippi, sold its seat by 7 % of the eggs in 2024 compared to 2021 and became three times its profits during the same period, according to the company’s statements.

A separate analysis has also found that bird flu alone cannot explain the prices of consumer, which has increased by 61 % during the past six months, according to the Labor Statistics Office.

The direct costs related to the loss of chicken herds represented a 12-24 % increase in retail prices, according to a study conducted by a university. Arkansas is looking at the effect of the disease outbreaks in 2022-23. (Additional Factors related to bird flu – such as industry modifications and policy changes – that have been likely to have evolved since the study also contributes to increasing recent prices.)

“The working class is struggling to bear the costs of grocery stores, while companies like Cal-Maine have huge profits and their shareholders are rewarded,” said a member of the Democratic Congress Roy Khanna. “The Trump administration has the power to reduce grocery bills, but instead it imposes a comprehensive tariff on the allies, launches federal workers who are trying to prevent bird flu, and put billionaires on ordinary Americans.”

Cal Maine did not respond to requests to comment on the results.

N166 million poultry has been extracted since the virus began to spread through commercial herds in early 2022. There were 9 % fewer egg chickens in January 2025 compared to three years before the US Department of Agriculture (US Department of Agriculture).

The vast majority of bird flu outbreaks on the factory farms, where hundreds of thousands or sometimes millions of chickens were bridged close to, and created Ideal conditions For the rapid spread of infectious diseases.

In February, an outbreak was discovered in a herd of about 3.1 million chickens, laying eggs in Dark Province, Ohio, according to US Agriculture Ministry data. If a chicken is injured, the federal regulations call for the killing of the entire herd in the affected location – due to the risks offered by the murderous and highly anti -poultry virus, animals and other humans, which leads to an increase in supply and increased costs.

“These companies themselves lead to the spread of bird flu by raising birds on factories’ farms, and they discussed hundreds of thousands or millions, creating an ideal land to multiply the disease,” Starbook said.

So far, 70 human cases have been confirmed in the United States. One person died, and three others have asked for hospital treatment. Nearly 1,000 livestock were injured, and the virus was discovered in poultry in Almost every American land.

More than 54 million birds It has been affected in the past three months.

R.It is the egg production industry – such as the retail sector that producers mostly sells – is highly concentrated. This gives a handful of major companies the opportunity to influence prices outside the impact of shocks such as bird influenza Covid 19 on supply and demand.

The five best egg companies enjoy nearly half (46 %From all commercial chickens laying eggs. The main headquarters of Mississippi is the only American egg product that is publicly circulated, and contains 75 % more chicken One of the largest company.

Cal-Maine did not face any outbreak of bird flu in its herds of fiscal year 2023-already sold more eggs in 2023 more than the previous two years. However, the company continues to sell traditional eggs at inflated prices – higher 2.8 times compared to 2021, reaching about one dollar more than ten dollars even after observing expenses such as feed and energy.

This helped the company to extract a little more than one billion dollars in “surprise profits” after calculating production, processing and transportation costs.

In its financial documents, Cal-Maine suggests that the prices of eggs are outside the control of the company: “We do not sell eggs directly to consumers or put the prices in which the eggs are sold to consumers.”

But many of its customers depend on Cal-Maine for most of their egg needs, according to the company’s files, and therefore the price that he sells in the egg factor in the grocery store prices.

Buyers seem to rely heavily on a single data analysis company in industry, URNER Barry, which blocks data from companies through the supply chain to create their daily standard of eggs. In contrast, producers use standards to determine egg prices for sale for retailers – although they are not required.

In other words, Orenner Barry’s indicators such as a counter -feeding ring that can increase artificially increase prices and harm consumers, According to the previous lawsuits.

according to Industry commentator Simon Shin“The fixed relationship between the producers and the buyers of the series [major retailers] Based on a single commercial price discovery system [the Urner Barry index] It is an obstacle to the free market. “

A spokesman for the Orange Barry said that there is no single system for discovering commercial prices or an industry pricing system in the egg industry. “We are a source of information for buyers and sellers, and we encourage transparency in the market by collecting accurate historical transactions data. Buyers and sellers are always free in dealing at different prices. Various contracts are agreed between various buyers and sellers using different formulas.”

Cal-Maine’s high profits do not reflect the entire industry. There are no financial records access to the public for other major producers.

toAST month, an organized invitation organized by farmers And urge to fight federal monopoly Agencies to consider whether potential collusion can exacerbate high prices. The agricultural procedures also called on the Ministry of Justice and the Federal Trade Committee to investigate whether the main egg producers slowed in replacing the missing shells lost compared to the outbreak of bird influenza 2014-15, in order to suppress supplies and maintain high prices.

Nearly 631 million eggs were produced in January 2025 – less than 10 % less than January 2022, as the herd sizes continued to decline. The US Department of Agriculture has followed Pullets- traps that excelled to replace chickens-which were less than an average of five years in most months since the outbreak of the disease began in February 2022.

“Based on the data available to the public, we have noticed that the high prices of eggs exceeded what is expected based on the loss of the chicken and that the industry did not increase the number of chickens that you expect within a high period of prices. Angela Hoffman, CEO of Farm Action, said that this strongly indicates possible violations to combat monopoly.” FTC and Doj have the investigation power beyond what is available For the public … we urge them to exercise this authority. “

While consumers are harmful due to high prices, there is no evidence of collusion, according to Bruce Babkok, a professor of public policy and an expert in agricultural economy at the University of California, Riverid. “The fact that other large egg producers were forced to get rid of tens of millions of birds means that calmness is the benefits because the price of eggs has risen and Cal Maine gets stuck … and so the markets work.”

In 2024, 94 % of Americans said they were very anxious or somewhat anxious about the cost of food and consumer goods, according to the Pew Research Center. In January 2025, families throughout the country again faced the high prices of eggs – even in the areas where the stocks remained stable.

In a message sent to White HouseMP Khanna was among more than 20 Democratic lawmakers, including Senator Elizabeth Warren, who urged Trump to achieve and promised his campaign to reduce grocery prices and investigate possible prices by companies that have record profits.

The lawmakers wrote: “Egg producers and groceries may benefit from the outbreak of the current bird flu as an opportunity to restrict supply or raise egg prices to increase profits.” “The egg company [Cal-Maine] The shareholders make higher profits while Americans get more than food for groceries. “

On Thursday, Minister of Agriculture Brock Rollins select the Trump administrationFive points strategy to reduce egg prices. This includes an investment of one billion dollars in curbing bird flu – which it said will be partially funded by working with the Elon Musk team “to reduce hundreds of millions of waste spending.”

Take hairstyles of the federal employee and already power outages for public health Break Tracking, testing and messages for bird flu.

The Minister of Agriculture also referred to plans to stay away from the execution of the entire herds, which is currently assigned, in favor of new vaccines and biological security measures such as improving protective equipment and procedures. Rollins added that the administration is considering temporarily to allow the export of eggs and claimed California legislation that requires the minimum space for chicken laying eggs, which increases production costs.