Record egg prices driven by supply shortages

Egg prices are reaching unprecedented levels due to a combination of market shortages and rising demand, particularly from the processing industry. With the holiday season approaching, the consumption of eggs and egg-based products typically increases, but this year’s price surge is notably sharp. At the Kruishoutem egg market, the price for 100 white barn eggs, weighing an average of 62.5 grams, reached €13.81 this week. This marks a 46 percent increase compared to two months ago, when the price was €9.19.

Supply and demand imbalance

The current price increases are partly attributed to shrinking supplies across Europe. Large outbreaks of avian influenza in Southern and Eastern Europe have led to the culling of significant numbers of laying hens, sharply reducing egg production. In addition, 3.5 million laying hens will be removed from the market in the Netherlands next month due to a government buyout scheme. According to Mariëlle Schalk, a laying hen farmer in Hoogstraten, Flanders is not self-sufficient in egg production and depends heavily on imports. This reliance, combined with ongoing uncertainty around avian influenza, makes the market particularly vulnerable.

Processors driving prices higher

Jan De Keyser from BNP Paribas Fortis highlights the role of the processing industry in driving price increases. Fearing shortages, processors are boosting demand for eggs, which keeps prices on an upward trajectory. The minimal price gap between barn eggs and enriched cage eggs underscores this trend. Meanwhile, rising imports from Ukraine present a potential challenge. Ukrainian producers operate under less stringent regulations, which De Keyser argues creates an uneven playing field. While the impact remains limited for now, he warns that an oversupply could lead to significant price drops in the future.

With the holiday season and the potential for new avian influenza outbreaks on the horizon, uncertainty in the market remains high.

Vilt.be