The Mintec price for US egg declined 28.5% to USc. 15.9/egg between 11th May and 8th June on the back of higher lay rates in April and May.
Despite the Avian Influenza (AI) related losses of 10.6 million table-egg layers in April, the inventory of table egg layers in May was estimated at 299.7 million, only 5.9 million layers lower than the estimated inventory in April. Data from the United States Department of Agriculture (USDA) states that producers are relying on higher lay rates, combined with lower slaughtering rate. In Addition, lower molting rates have reduced the negative impact of AI on the layer flock and supported table-egg production levels. Molting allows hens to shed any damaged or loose feathers and replace them with a fresh set. During this process, egg production usually declines. The monthly lay rates per 100 layers per day have been estimated at record-high levels since April, exerting downward pressure on prices in May. Also, as the temperatures increase in the US, egg prices begin to decline in line with seasonality.
Considering the above mentioned up-stream production indicators, US egg prices are expected to continue to decline month-on-month.