California egg prices have skyrocketed to $9 per dozen, leaving consumers scrambling for affordable options.
At a Glance
- California egg prices surge 70% to $8.97 per dozen due to avian influenza outbreak
- Six million layers lost, causing significant supply shortages
- Holiday demand exacerbates price increases
- Recovery expected to take 4-6 months, barring further losses
- Nationwide impact reflected in Consumer Price Index, showing 8.2% rise in egg prices
Avian Influenza Decimates California’s Egg Supply
The Golden State is facing an unprecedented egg crisis as prices soar to a staggering $9 per dozen. This dramatic increase is primarily attributed to a devastating outbreak of Highly Pathogenic Avian Influenza (HPAI), which has ravaged California’s poultry farms. The outbreak has resulted in the loss of approximately six million laying hens, severely impacting the state’s egg production capacity.
In December 2024 alone, nine confirmed HPAI cases led to significant depopulation of layers across Merced, Riverside, San Joaquin, and Stanislaus counties. The most substantial losses occurred on December 5th and 24th, with 1.7 million and 1.1 million layers lost, respectively. These losses have created a ripple effect throughout the industry, leaving both producers and consumers grappling with the consequences.
Holiday Demand Intensifies Price Surge
The timing of this outbreak couldn’t have been worse for consumers. The USDA noted that these substantial losses occurred during the high-demand holiday season, further exacerbating the already steep price increases. As families prepared for festive gatherings, they were met with egg cartons sporting eye-watering price tags.
Major retailers have been forced to adapt to this new reality. Walmart in Chico, California, listed an 18-count carton of eggs for $9.52 and a dozen for $7.22. Meanwhile, Safeway offered an 18-count carton for a whopping $12.99. These prices reflect the severe supply constraints and the struggle to meet consumer demand.
Nationwide Impact and Consumer Price Index
The egg crisis is not confined to California’s borders. The Consumer Price Index revealed a 0.5% increase in overall grocery prices in November, with eggs jumping the most at 8.2%. This surge has pushed the total U.S. layer flock to its lowest point since the 2022 outbreaks, estimated to be at or below 300 million birds.
Kevin Bergquist from Wells Fargo Agri-Food Institute highlighted that egg prices have remained elevated since 2023 due to a combination of seasonal increases and ongoing supply disruptions. The current prices often exceed those seen in 2022 when the initial bird flu outbreak severely impacted the market.
