U.S. egg production is trending downward.
A recent production report shows a 2% drop this July compared to the same time last year with totals reaching over 9 billion eggs.
The reason behind the drop is high path avian flu. Birds culled due to the disease have impacted egg-laying hen numbers with numbers declining by approximately 8 million birds. That drop is now impacting egg prices in a big way, according to a USDA livestock analyst.
“What we have seen is wholesale prices that were about $2.57 in July for the New York egg price that we track going up to about $4.14 yesterday,” Shayle Shagam explains.
The wholesale market saw a 60% price hike in just a months time; however, when you compare that number to a year ago prices, whole eggs are selling at 236% more.
Shagam expects to see the size of the laying flock increase next year, increasing production and lowering egg prices for consumers.
Producers may need to prepare for margin pressure in livestock feeding, while dairy farmers could benefit from stronger product demand.
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