How is the bird flu impacting egg prices?
Cameron Mitchell Restaurants founder and CEO Cameron Mitchell unpacks the impact of the the disease on the cost of goods on 'The Claman Countdown.'
Consumers are not only feeling the effects of high egg prices at the grocery store. Now, they're facing surcharges at restaurants.
Ongoing outbreaks of highly pathogenic avian influenza (HPAI) "is making eggs as expensive for restaurants as they are for consumers, according to National Restaurant Association Executive Vice President of Public Affairs Sean Kennedy, who noted that the "price increase is especially hard for breakfast-focused restaurants to manage."
A prime example is the Waffle House, a Southern breakfast food chain Waffle House that implemented a temporary .50 per egg surcharge to all of its menus on Monday.
The company blamed the ongoing egg shortage caused by highly pathogenic avian influenza (HPAI) — or bird flu — for the dramatic increase in egg prices, saying that "consumers and restaurants are being forced to make difficult decisions."
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In an aerial view, a Waffle House restaurant on July 30, 2024 in Miami Gardens, Florida. ( Joe Raedle/Getty Images / Getty Images)
Experts have long warned that egg prices are likely to remain high as outbreaks of HPAI — or bird flu — continue to impact the U.S. laying hen flock, leading to higher prices in stores. The U.S. Department of Agriculture (USDA) has predicted that egg prices, which can vary significantly from month to month, will increase by more than 20% by 2025.
According to the USDA, prices were 36.8% higher in December 2024 than a year earlier, but they were still below peak prices in January 2023.
Waffle House said, "Rather than increasing prices across the menu, this is a temporary targeted surcharge tied to the unprecedented rise in egg prices," the company said, adding that eggs will remain a key ingredient in its menu.
A customer shops for eggs in a Kroger grocery store on August 15, 2022 in Houston, Texas. (Photo by Brandon Bell/Getty Images / Getty Images)
With more than 1,900 locations in 25 states, predominantly in the Midwest and the South, the company said it hopes "these price fluctuations will be short-lived" but that it cannot predict how long this shortage will last.
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It plans to monitor egg prices, and "will adjust or remove the surcharge as market conditions allow."
Roosters roam on a farm on Jan. 23, 2023 in Austin, Texas. (Brandon Bell/Getty Images / Getty Images)
Kennedy noted that when shortages arise, operators will collaborate closely with their food suppliers to assess the impact, and subsequently, they will explore various options to mitigate the financial repercussions. This may involve altering their menus and raising prices. Kennedy also mentioned that the association is assisting operators in navigating this situation.
Eric See, the owner and chef of the New York-based Mexican café and bakery, Ursula, told Gxstocks that the prices of whole eggs have doubled, while the cost of liquid eggs has risen by about 25%.
The other issue, according to See, is that eggs are hard to come by. "Availability is another issue, they arent always in stock," said See.
Large amount of Cage Free eggs at Costco store, Florida. (Photo by: Lindsey Nicholson/UCG/Universal Images Group via Getty Images / Getty Images)
James Wong, co-owner of the San Francisco bakery Breadbelly, told Eater that his prices have surged by 150% over the past four months as a result of the nationwide outbreaks.
Wong said the bakery, which sells breakfast sandwiches, may be forced to cut back on menu items since sourcing the right size of eggs has proven difficult as well.
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"If we can’t get the right size egg, then it’s a different product for the customer," he told the outlet.
Gxstocks' Kristen Altus contributed to this report.
