June 13, 2024

Brighton Journal

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American farm group calls for investigation into rising egg prices

American farm group calls for investigation into rising egg prices

Consumer portfolios were affected by the massive inflation in the US last year.

A final concern is eggs, which rose 138% in December from a year earlier, to $4.25 per dozen, according to the Bureau of Labor Statistics.

Farm group invites Federal Trade Commission (FTC) To scan the rise for signs of price gouging from major white firms.

Various groups from regulators to farmers and industry officials have often argued in recent years about the power of big agribusiness to set prices and increase what consumers pay for groceries.

SKY-HIGH EGG PRICES: A historical look at egg prices since 1980

A shopper checks eggs before purchasing them at a grocery store in Glenview, Illinois. Border officials see more confiscations of eggs amid rising prices and inflation. (AP Photo/Nam Y. Huh/AP Newsroom)

The country’s antitrust watchdog should examine the record profits of the largest egg company, Farm Action said Thursday in a letter to Federal Trade Commission Chair Lena Khan.

That egg producer is Cal-Maine Foods, which controls 20% of the retail egg market.

Quarterly sales in Cal Maine Gross earnings increased 110% and gross earnings increased more than 600% compared to the same quarter in the previous fiscal year, according to a regulatory document.

The company cited reduced egg supply nationwide due to bird flu driving up prices as the reason for its record sales.

Egg prices have risen more than 64% in some states

The United States Department of Agriculture (USDA) also cited a record outbreak of avian influenza as the reason for the price hike.

Approximately 58 million chickens and turkeys have been found Killed by avian influenza Or to control the spread of the virus since the beginning of 2022, mostly in March and April, according to the USDA.

Basil Musharbash said that egg production in the United States decreased by about 5% in October compared to last year, and egg stocks decreased by 29% in December compared to the beginning of the year, which is a significant decrease, but it may not explain the record price hike. , an attorney at Farm Action.

egg prices

Cartons of eggs are placed in the refrigerator at a supermarket on January 8, 2023 in Los Angeles, California. (I RYU/VCG via Getty Images/Getty Images)

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“We want the FTC to look at prices and see if consumers are price gouging,” Musharbash said.

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Cal Maine said in a statement to Reuters that higher production costs were also a factor in the price hike.

The American Egg Council, an egg marketing group, said in a statement that egg prices reflect a variety of factors and that wholesale egg prices are beginning to fall.

FOX Business has reached out to the FTC for comment.