Egg Price Soars and Shortage: Costco Sees a Rush to Buy, Restaurants Increase Prices

Due to the rampant spread of avian flu, not only have egg prices been steadily rising in the United States, but it has also led to egg shortages. Warehouses of the chain store Costco have seen a surge in the purchase of eggs, with some restaurants increasing the price of each egg by 50 cents.

As a result of the recent outbreak of avian flu, egg supply is limited, causing egg prices to increase. According to data from the U.S. Bureau of Labor Statistics, egg prices rose by 8.4% between November and December last year. The U.S. Department of Agriculture reports that avian flu has infected nearly 23 million chickens in the United States, leading to a nationwide shortage of eggs.

According to data from the commodity data company Expana, wholesale egg prices in the United States hit a historic high in December last year, with a dozen eggs selling for $5.57 in the Midwest and $8.85 in California.

Costco is known for its affordable and high-quality eggs, offering a variety of egg options. Compared to local supermarkets, Costco’s eggs are larger, helping members save on the cost per egg. During normal times, Kirkland Signature organic free-range eggs sell for around $8 per two dozen.

In the midst of the egg shortage, buyers looking to purchase eggs in bulk at Costco were stunned by the scenes of egg frenzy at the store. Videos on social media and Reddit posts show large crowds of Costco customers queuing up to buy eggs, with some even reselling eggs at a higher price on Facebook Marketplace.

“People are going crazy buying eggs at Costco,” one social media user posted. “If you want to buy eggs from Costco, make sure to get there before they open.”

“I arrived at 9 a.m. and the line just keeps getting longer,” the user wrote.

Another social media video shows customers lining up outside Costco, the number of egg boxes when the store opens, and scenes of dozens of customers grabbing multiple boxes of eggs.

Some Chinese customers in the Bay Area of California also reported empty shelves when trying to buy eggs at Costco.

According to a report on Fortune’s website, Reddit posts suggest that customers who couldn’t find eggs at Costco or elsewhere turned to Facebook Marketplace to purchase eggs, even at double the original price. However, Meta policies prohibit the sale of animal products, including raw fish, meat, or eggs. Sellers and buyers have found ways to bypass Meta’s rules.

Amid rising egg prices and shortages, the chain restaurant Waffle House announced that they would charge an extra 50 cents for each egg in customer orders.

The company stated in a release on Tuesday that the surcharge is temporary and is solely to address the “significant increase in egg prices” due to the outbreak of avian flu.

The statement reads, “While we hope that these price fluctuations are temporary, we cannot predict how long this shortage will last.”

The privately-owned chain is known for its low prices. In Norcross, Georgia, where the company’s headquarters is located, a standard American breakfast with two eggs now costs $7.75. This meal has increased by $1.

According to recent forecasts from the U.S. Department of Agriculture, supply and prices will stabilize only when farms and producers are able to replenish stocks from the effects of avian flu.

“No one can predict the future, but avian flu remains an ongoing threat to our poultry farms, and farmers are working tirelessly to protect their chickens, replenish supplies, and ensure egg availability,” Emily Metz, Chair and CEO of the American Egg Industry Council, told USA Today in January. “On a positive note, producers now have more experience fighting this disease, which means farms can recover faster.”

The Department of Agriculture predicts that egg prices will rise by another 20% in 2025, as reported by the Associated Press.

(This article references reporting from Reuters)