The Blubber

Egg prices have surged dramatically in recent months, leaving shoppers shocked as a dozen eggs now costs more than $9 at some stores.

In December 2024, the U.S. Department of Agriculture reported wholesale egg prices averaging $4.62 per dozen. However, regional differences lead to significant price variation, influenced by transportation costs, local demand, and market competition. For example, the average price was $8.04 in California and $6.25 in New York as of January 10.

The Role of Avian Flu

The primary driver behind soaring egg prices is the ongoing wave of avian flu that began in early 2022. This outbreak has forced the culling of millions of egg-laying hens, sharply reducing supply while demand has remained steady.

This marks the second major spike in egg prices since 2022, following an earlier avian flu wave that similarly devastated the hen population and created supply shortages. Since the outbreak began, more than 100 million chickens have been lost.

When Will Prices Ease?

With supply still struggling to recover and avian flu cases persisting, relief from high prices remains elusive—though it is expected eventually.

The USDA does not project national wholesale prices, but New York's average price per dozen is a key industry benchmark. According to USDA estimates, New York’s wholesale price is expected to remain high at $4.80 in early 2025, before dropping to $2.35 per dozen by the end of the year—a slight increase from the previous forecast of $2.10 per dozen.

While prices are anticipated to decrease from the highs of late 2024, they are likely to remain above pre-outbreak levels through 2025. Additional outbreaks or supply disruptions could drive prices higher, as egg prices are highly sensitive to market conditions.