Monday, June 17, 2013

U.S. egg prices set record


The wholesale price of eggs shot up at a record pace during May in the United States, hitting highs of $1.25 to $1.29 per dozen in the Northeastern states.

That was a 42 per cent increase from April. There has never been a price spike so sharp.

Avian influenza in Mexico is the reason because Mexico increased imports from the U.S.

Mexican production is increasing now and U.S. prices have been coming down almost as fast as they went up.

The current wholesale prices are ranging from 87 to 91 cents a dozen.

When the U.S. price rises, it leaves more money in the pockets of Canadian egg farmers because it doesn’t cost them as much to underwrite the diversion of eggs from the fresh table market to processing.

The price for processing eggs tracks U.S. prices in a policy designed to keep the Canadian market for Canadian producers.

The result is a much lower price for Canadian eggs for processing than for the fresh-egg market.