Critics Rip Egg Producers For Inflating Prices Amid Bird Flu Outbreak

Egg producers blame the bird flu outbreak for driving prices to record highs, but critics argue that major companies are exploiting their market dominance to maximize profits at the expense of budget-conscious consumers, Josh Funk reported for the Associated Press (AP).

As a result of the Department of Agriculture's long-standing policy mandating the culling of entire flocks whenever the virus is detected on a farm, the number of egg-laying hens has dropped by 12% from pre-outbreak levels to 292 million birds.

Advocacy groups, Democratic lawmakers, and a Federal Trade Commission (FTC) member are calling for a government investigation after egg prices spiked to a record average of $4.95 per dozen this month.

The Trump administration recently unveiled a plan to combat bird flu, but it remains unclear how much relief this will bring to egg prices—a key driver of inflation.

"Donald Trump promised to lower food prices on 'Day One,' but with egg prices skyrocketing out of control, he fired the workers responsible for containing bird flu. Working families need relief now," Sen. Elizabeth Warren said in a statement.

The industry and most experts point to bird flu as the primary cause.

More than 166 million birds have been slaughtered to contain the virus, including 30 million egg layers since January alone, severely disrupting the egg supply. The Department of Agriculture's long-standing policy mandates the culling of entire flocks whenever the virus is detected on a farm.

As a result, the number of egg-laying hens has dropped by 12% from pre-outbreak levels to 292 million birds, according to a Feb. 1 USDA estimate.

However, with another 11 million egg layers culled since then, the situation is likely worse.

When egg prices spiked to $4.82 two years ago, initial calls for price-gouging investigations emerged, yet the total flock remained above 300 million birds at that time.

Farm Action, an advocacy group for small farmers, consumers, and rural communities, suspects monopolistic behavior.

The group argues that while egg production has only dropped about 4% from last year, 7.57 billion table eggs were still produced last month. Despite this, some consumers continue to find empty shelves at their local grocery stores.