Mr. Matthew Taylor, owner of Livin’ on the Beat, a self-named egg farm in rural Pennsylvania, has raised the price of his eggs for the first time in seven years. He first raised the price in 2011, in response to a harsh winter and a cheap egg market. But in recent months, he says that he’s had to raise his prices because of a couple of supply chain issues with eggs from other farms he buys from.
Mr. Taylor talked to FoxNews.com about why he’s raising prices again:
“In the last four or five years, the honeymoon period for the egg industry has just been too good to be true. I think a lot of people bought eggs based on the cost trend of paying $2.99 a dozen eggs about six years ago. But, after that, consumers got a bit spoiled. They got used to being able to get eggs at the grocery store for $1.99 a dozen. We have seen a lot of efficiencies in the industry over the last eight years. But, even before that the supply chain side had gone from unlimited to limited supply. And then this latest round of bad weather was just overwhelming. It got so bad that prices jumped.”
“Everybody tries to get it cheap. We know that, we have been guilty of that as well. I think when you are in the field and you see that a typical New York, Pennsylvania egg farm is making $160,000 a year just so they can put in a barn door. That is just a symptom of just how intense the competition in the business has been.”