Are egg producers inflating prices during the bird flu outbreak to boost profits?
By JOSH FUNK, Associated Press Business Writer
OMAHA, Neb. (AP) — Egg producers blame the bird flu outbreak for driving prices to record highs, but critics believe giant companies are taking advantage of their market dominance to profit handsomely at the expense of budget-conscious egg buyers.
Advocacy groups, Democratic lawmakers and a Federal Trade Commission member are calling for a government investigation after egg prices spiked to a record average of $4.95 per dozen this month. The Trump administration did unveil a plan this week to combat bird flu, but how much that might ease egg prices — a key driver of inflation — remains to be seen.
“Donald Trump promised to lower food prices on ‘Day One’, but with egg prices skyrocketing out of control, he fired the workers charged with containing bird flu. Working families need relief now,” Sen. Elizabeth Warren said in a statement.
What’s behind the record egg prices?
The industry, and most experts, squarely blame bird flu. More than 166 million birds have been slaughtered to contain the virus. Some 30 million egg layers have been wiped out just since January, significantly disrupting egg supplies. The Department of Agriculture’s longstanding policy has been to kill entire flocks anytime the virus is found on a farm.