US egg price skyrockets 65% to all-time high amid bird flu outbreak: What about India?

An ongoing bird flu outbreak in the United States has resulted in egg prices skyrocketing in the country, hitting a record high in January. The average price of one dozen Grade A eggs has surged to $4.95 as per government data, burning a hole in the pocket of Americans as they buy one of their basic sources of protein.

The bird flu outbreak has made the availability of eggs extremely rare, driving the costs up to break all records. The current egg price in US are more than the previous record of $4.82 set in January 2023, and more than double the low of $2.04 in August that year.

Since January 2024, Grade A egg prices in US have surged by a staggering 65% as per the consumer price index of the country.

That is just the nationwide average. In some areas, egg prices have increased to $10 or more, with premium varieties being more expensive.  

Why are egg prices rising in US?

While egg prices have become the de facto measure to monitor inflation in the US in the last few years, bird flu has been the main driver for the increasing costs this time. 

The flu has led authorities to slaughter millions of chickens across the US to contain the spread. This in turn has dwindled the supply, causing a rise in egg prices as well. Since massive egg farms may have millions of birds, a bird flu outbreak in even one of them means major losses.

The spike in egg prices was the sharpest since 2015 when the country saw its last bird flu outbreak. Back then, egg prices accounted for around two-thirds of the total increase in food costs, as per the US Bureau of Labor Statistics.

When will US egg prices go down?

The egg price hikes in US are not showing any signs of cooling down, and relief is not expected any time soon. The US Department of Agriculture in January said that the prices are expected to surge by 20% this year.

Even if people can afford the eggs, it has become extremely difficult to stock them up, thanks to the bird flu outbreak. Shoppers are often finding shelves of eggs in stores empty, with grocers having difficulty in stocking them up. 

Egg prices in US vs India

While egg prices have grown by 65% in the US since January 2024, the situation in India is under control. CPI data for January shows that egg prices have gone up by 1.27% on an average year-on-year. The urban inflation rate in egg price in India is however higher at 2.28%. In rural areas, egg prices increased by 0.63% year-on-year in January.