As egg prices remain stubbornly high amidst a general economic cooldown from the inflation of the Biden years, the Trump Administration’s Department of Justice (DOJ) is preparing to launch an investigation into the biggest egg producers in the country.
According to ABC News, anonymous sources said that the DOJ is currently in the earliest investigative stages, including determining whether or not the companies are sharing information between themselves regarding egg supply and prices. The companies have blamed the rising prices on the spread of avian flu, also known as “bird flu.”
Due to the primary concern being the possible spread of insider information, the DOJ investigation will be handled by the Antitrust Division, and may ultimately not lead to any legal repercussions for the companies.
The Trump DOJ’s investigation represents a bipartisan critique of the current practices of the major egg companies. In February, Democrats in Congress, including Senator Elizabeth Warren (D-Mass.), publicly asked the administration to look into methods for bringing down egg prices and other food prices.
“To make food more affordable, you should look to the dominant food and grocery companies that have made record profits on the backs of working families who have had to pay higher prices,” said the congressional Democrats in a letter to President Donald Trump. “These companies often exploit crises like pandemics and avian flu outbreaks as an opportunity to raise prices beyond what is needed to cover rising costs.”
Since January of 2024, the average price of eggs has doubled nationwide. As recently as last week, the average small business was paying as much as $8 for cartons of a dozen eggs. On Friday, the Department of Agriculture (DOA) released a report revealing that the average price of a dozen eggs had dropped to about $6.85.
The egg industry has denied that any insider information or price-gouging has led to the rise in prices. Emily Metz, the president and CEO of American Egg Board, issued a statement saying that “egg farmers are price takers, not price makers, on the egg market, and that market is responding to the uncertainty and chaos bird flu is causing.”
“Eggs are subject to the economic laws of supply and demand,” she added. “The tight egg supply caused by avian influenza, coupled with 23 consecutive months of high sales volume, has created a perfect storm in egg markets.”
However, farmers’ advocate groups have celebrated the Trump Administration’s decision to investigate the egg industry. Farm Action, which had previously supported an investigation on antitrust grounds, issued a statement on Friday saying that “we applaud the Department of Justice’s action to address the skyrocketing price of eggs. Every American has felt the financial pain caused by the power of the monopolistic egg industry.”
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