Why Egg Prices Are So High and Getting Higher

Introduction: Egg prices have been on the rise in recent years, leaving many consumers wondering why they have to pay more for this staple food item. While there are several factors that contribute to the high cost of eggs, understanding the underlying causes can help consumers make informed decisions about their food choices. In this article, we will explore the reasons why egg prices are so high, and discuss the potential benefits of keeping backyard chickens as a way to reduce the cost of eggs.

  1. Feed costs: One of the main factors contributing to the high cost of eggs is the cost of feed for chickens. The cost of feed is a significant portion of the overall cost of producing eggs. The cost of feed has been on the rise in recent years due to several factors, including weather-related crop failures, increased demand for biofuels, and the rising cost of oil. These factors have led to higher prices for corn and soybeans, which are the main ingredients in chicken feed.
  2. Disease: Another factor that contributes to the high cost of eggs is disease. Diseases such as avian influenza and salmonella can have a significant impact on egg prices. Outbreaks of these diseases can lead to the destruction of entire flocks, reducing the number of hens available to lay eggs. This can lead to a shortage of eggs and an increase in prices. This is probably the most visible cause of high egg prices in 2022, as egg laying operations got slammed by avian flu and over 60 million birds were culled in the US alone to prevent further spread.
  3. Environmental regulations: Environmental regulations also play a role in the high cost of eggs. These regulations, which are intended to protect the welfare of chickens and the environment, can increase the cost of production. For example, regulations requiring larger cage sizes for hens can increase the cost of building new chicken houses.
  4. Labor costs: Labor costs also contribute to the high cost of eggs. The cost of labor has been on the rise in recent years, and this has led to higher prices for eggs. In addition, many egg farmers are facing a shortage of skilled labor, which can also contribute to the high cost of eggs.
  5. Supply and demand: The basic economic principle of supply and demand also affects egg prices. When demand for eggs is high, prices will go up. This can be the result of population growth, changes in consumer preferences, or other factors. On the other hand, when supply is high, prices will go down. This can happen when egg farmers increase their flocks or when new technologies make it easier to produce eggs.

Conclusion: There are several factors that contribute to the high cost of eggs, including feed costs, disease, environmental regulations, labor costs, and supply and demand.
One way to reduce the the amount of money you spend of eggs is to keep backyard chickens. Keeping chickens in your backyard can provide a steady supply of fresh eggs and also help to reduce your environmental footprint. In future articles, we will explore the many benefits of keeping backyard chickens and provide tips on how to get started.

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