Egg Carton Price Surpasses 6,000 Won... Highest Since September 2017

On December 17th afternoon, officials are conducting culling operations at a layer farm in Hwaseong-si, Gyeonggi-do, where the H5 type avian influenza (AI) antigen was detected.
[Image source=Yonhap News]

[Asia Economy Reporter Seungjin Lee] Although the spread of avian influenza (AI) is slowing down at poultry farms nationwide, the prices of chicken and eggs are fluctuating. In particular, the price of a carton of eggs (30 eggs) has surpassed 6,000 won, the highest price since September 2017.

According to the Korea Agro-Fisheries & Food Trade Corporation (aT) on the 9th, the retail price of a carton of eggs was recorded at 6,082 won as of the 8th. Since the AI outbreak in November last year, egg prices have consistently remained in the mid-5,000 won range despite the nationwide spread of AI. However, as movement restrictions were imposed across the country and the number of culled laying hens began to accumulate, prices started to rise rapidly from the end of last month, reaching 6,027 won on the 7th.

This is the first time since September 2017 that the price of a carton of eggs has exceeded 6,000 won. In early that year, AI spread nationwide, leading to the culling of 36% of laying hens, and in some regions, the price of a carton of eggs even exceeded 10,000 won. This led to an 'egg crisis' where eggs were imported from the United States, and some local supermarkets were crowded with customers lining up from early morning to buy eggs.

With egg prices surpassing 6,000 won at the start of the new year and reaching the highest level in four years, concerns about a repeat of the 2017 'egg crisis' are emerging. Although accumulated supply has maintained stable prices so far, eggs have a short shelf life, and AI tends to occur once in winter and continue until March of the following year.

Additionally, the prolonged spread of COVID-19 has increased demand for home-cooked meals, leading to higher egg consumption, which is also a cause for concern. In some cases, supply was halted due to AI outbreaks at farms, or prices for a carton rose by nearly 1,000 won due to reduced supply. However, authorities view the current rise in egg prices as a temporary phenomenon caused by supply shortages due to nationwide AI spread and movement restrictions. The distribution industry also states that they are doing their best to stabilize prices by diversifying production areas.

A distribution industry official explained, "Although sales of some products were suspended due to AI spread, there has been no disruption in egg supply by quickly contracting with farms unaffected by AI," adding, "Eggs from major brands popular with consumers remain unaffected by AI and maintain stable prices."

Chicken prices are also rising rapidly. According to aT, the retail price of chicken (slaughtered, 1kg) was 5,643 won as of the 8th, more than 10% higher than a month ago (4,948 won). In response, the government plans to closely manage supply and demand. The number of chickens raised is 3.0% higher than average, and frozen stock is sufficient, so overall supply capacity is about 7% higher than usual, and a sudden price surge is not expected.

Meanwhile, as of midnight on the 7th, 14,931,000 birds have been culled at 268 farms. About 13 million chickens and ducks have been buried. Laying hens account for the largest number with 6,288,000 birds at 93 farms, followed by broilers at 64 farms (4,640,000 birds), and meat ducks at 61 farms (1,313,000 birds).

[Image source=Yonhap News]

This content was produced with the assistance of AI translation services.