Why eggs are so expensive right now, and when could prices start to drop?

New York’s Staten Island — You could have been taken aback by the significant price increase at the register if you just purchased eggs.

According to the most recent consumer price index (CPI), food costs increased by only 2.5 percent, whereas egg prices increased 36.8% from the previous year.

The average price of a dozen Grade A big eggs increased from $3.65 in November and $2.15 in January 2024 to $4.15 in December, according to data from the U.S. Bureau of Labor Statistics.

According to economists and market observers, the shortage brought on by a bird flu outbreak and the usual spike in demand over the holiday season are the main causes of the increase in egg costs, CNBC said.

More than 100 million hens and more than 9,500 wild birds have contracted bird flu in the United States since the outbreak started in 2022, according to Reuters. According to the U.S. Department of Agriculture (USDA), it killed over 20 million egg-laying chickens in the most recent quarter.

We continue to observe avian influenza affecting flocks that lay eggs, so that will remain one of the most unstable groups. Prices may continue to climb if outbreaks continue to spread, according to USDA economist Megan Sweitzer. However, if outbreaks stop, prices are expected to drop.

According to CNBC, the USDA predicted that the average price of eggs in New York will remain high at $4.80 per dozen in the early months of 2025, but then progressively drop to $2.35 per dozen by the end of 2025, up from an earlier estimate of $2.10 per dozen.

The patient, who was over 65, died after being hospitalized for the first time in the United States due to a severe case of avian flu in Louisiana last month, according to the Centers for Disease Control and Prevention (CDC). As of January 6, 2025, there have been 67 documented occurrences of H5 avian flu since 2022 and 66 confirmed human cases since 2024 in the United States.