It’s pretty obvious that your recent trips to the food store have shocked you a bit.
Costs have increased dramatically over the last year, but nothing beats the price of eggs, which have grown by roughly 70% according to the latest data.
What used to be $40 for a box of 120 eggs is now over $100. This was shared with me by a friend in the restaurant business.
As crazy as it sounds, these prices are so high that if a handful of the shipment arrives cracked, they file a claim and seek reimbursement.
To offset extreme food cost inflation, many restaurants are cutting costs anywhere else they can.
It’s not just the restaurants, it’s all businesses — big and small. Just like the egg sandwich you order in the morning has become excessively expensive, so have your car’s brake pads and your home A/C unit’s condenser.
It’s a fine line for businesses these days to be able to remain competitive and turn a profit at the same time.
If you become too expensive, folks will look elsewhere… even if that means settling for lower quality.
The deli that used to put 2 eggs, 3 slices of bacon and 2 slices of cheese on that killer breakfast sandwich now needs to put 1 egg, 2 slices of bacon and 1 slice of cheese in order to offer it to you at the same price.
Egg prices have been affected by the same supply chain snarls and labor shortages that increased food costs by 10% overall in the last year, as measured by the CPI, a key measure of inflation.
Egg production has also been hit hard by an avian flu outbreak, which wiped out 50.54 million birds in the U.S. in 2022.
The avian flu virus can be spread by wild birds mingling with poultry flocks, but also through contaminated clothing and equipment.
The loss of flocks exacerbated the growing price of eggs, which nearly tripled in some states in the last year.
The other evening on the way home I was craving a store rotisserie chicken — the ones that used to cost about $5 are now $9!
In the armpit of the west coast, the retail price for a dozen large eggs is currently $7.37, up from $2.35 a year ago.
The costs of preventing avian flu have taken their toll as well.
There’s tremendous costs associated with disinfecting, truck washes, and trying to deter wild birds.
In the meantime, the outbreak has subsided somewhat, which has eased prices. As of mid-February 2023, wholesale eggs prices have fallen by more than 50% since December.
While farms have taken measures to limit the spread of avian flu, experts say that the virus could resurge in spring when wild birds migrate across the U.S.
There are many things that we just simply can’t control. There’s just too much that affects everything we do and everything we consume.
The one thing we can do is earn more income. If I can be of service to helping you do just that in the market – please don’t hesitate to reach out!