Egg Prices Finally Fall After Record-Breaking Highs
It’s been a long five months for shoppers looking for relief from high egg prices, but the wait is finally over. According to the Bureau of Labor Statistics’ Consumer Price Index, egg prices fell 6.7% last month, offering a welcome respite from the record-breaking prices from earlier in the year.
The dramatic increase in egg prices was largely attributed to an outbreak of the highly pathogenic avian influenza, known as bird flu. When a chicken in a flock gets infected with avian flu, the farmer has to kill all the other chickens, leading to a decreased amount of chickens and egg prices rising to account for that.
But it’s not just eggs that have seen prices rising. Ice cream saw a 13.9% increase, cheese jumped 9.4%, and milk rose 8.1%. A 5.3% increase in fruits and vegetables was observed, and frozen fruits and vegetables experienced a 15.8% surge. The year saw a 5.9% decrease in bacon, as well as a collective 1.4% decrease in beef and veal.
Despite attempts by the federal government to suppress inflation, food prices have not decreased due to the ineffectiveness of the tools used to combat them. Interest rates alone cannot forestall the impact of unfavourable weather, illnesses such as avian flu, and global affairs such as the war in Ukraine, all of which contribute to the cost of food.
But there is some hope. Reuters reported that Dollar Tree has stopped selling eggs in its stores and does not anticipate the return of this food product until autumn. And with eggs still relatively costly, this could be a sign of other food items becoming cheaper in the near future.
The effects of the discovery remain uncertain as to whether it will influence the Federal Reserve’s plan of increasing interest rates to control inflation. Last year, inflation reached its highest level in 40 years, and it still remains drastically higher than the 2% rate that the Federal Reserve usually targets in the long term.
But for now, shoppers can enjoy their breakfast of eggs, bacon and orange juice with the knowledge that it’s slightly cheaper than it was a few weeks ago.
0. “It’s March 2023 and Egg Prices Have Finally Dropped” Cheapism, 15 Mar. 2023, https://blog.cheapism.com/egg-prices-drop/
1. “Retail egg prices fell in February — but the price drop may not last long” CNBC, 15 Mar. 2023, https://www.cnbc.com/2023/03/15/retail-egg-prices-fell-in-february-but-price-drop-may-not-last-long.html
2. “Eggs are finally getting cheaper in the grocery store” KOCO Oklahoma City, 14 Mar. 2023, https://www.koco.com/article/eggs-getting-cheaper-grocery-store/43307511
3. “Eggs are finally getting cheaper in the grocery store” CNN, 14 Mar. 2023, https://www.cnn.com/2023/03/14/business/grocery-prices-february/index.html
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6. “Egg Prices Finally Drop 6.7% In Biggest Decline Since 2020—But Remain Historically Expensive” Forbes, 14 Mar. 2023, https://www.forbes.com/sites/nicholasreimann/2023/03/14/egg-prices-finally-drop-67-in-biggest-decline-since-2020-but-remain-historically-expensive
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