US egg producers are experiencing significant price volatility due to erratic retail buying patterns. US egg prices soared to record highs at the start of April before plummeting thereafter.
The US egg price increased throughout March 2020 compared to February (prices up 47% m-o-m), as US consumers scrambled to stock-up on staple foods due to the coronavirus crisis. Besides, the increase in the egg price was supported by food retailers’ demand, as they tried to back-fill store shelves which were laid bare by the recent wave of consumer panic buying.
However, Mintec egg prices plummeted by 45% in the two-week period ending 30th April, as Easter demand vanished. The hoarding behaviour seen during the initial phase of the COVID-19 impact has eased considerably, with adequate supplies now available in most stores across the country. In addition, demand from retail businesses has also slowed, as most retailers were able to keep shelves stocked.
Food-service demand remains limited for now but is showing signs of revival, as the US cautiously emerges from lockdown. On the supply side, egg-production is currently sufficient to meet seasonal consumer and industrial demand.