Surging egg prices are straining America’s bakeries | CNN Business

CNN - Feb 23rd, 2025

The ongoing bird flu outbreak has led to a significant rise in egg prices, creating challenges for bakeries nationwide. With the culling of over 40 million egg-laying birds, bakeries like Bread Furst in Washington, DC, are facing doubled egg costs, prompting them to raise prices on egg-heavy menu items. This has resulted in increased prices for products like the 'messy egg sandwich.' In response, some bakeries are considering alternative solutions such as egg replacers to maintain product integrity without further price hikes. Bakery owners are also focusing on effective communication with customers to explain the necessity of price increases.

The broader implications of this crisis are being felt across the food industry, with plant-based egg substitute companies like Eat Just Inc. experiencing a surge in demand. This presents a potential shift in consumer behavior towards more sustainable options, although the profit margins for such companies are currently under pressure due to increased production costs. Additionally, bakeries are dealing with other financial pressures, such as rising cocoa prices, further complicating their pricing strategies. The situation underscores the need for businesses to navigate supply chain disruptions while maintaining customer loyalty through transparency and effective communication.

Supply Chain Egg Prices Bird Flu Outbreak Bakeries Scott Auslander Bread Furst Eat Just Inc. Food Industry Price Increase

Story submitted by Fairstory

RATING

7.2

Fair Story

Consider it well-founded

The article provides a well-rounded and timely exploration of the impact of rising egg prices on bakeries, drawing on credible sources and firsthand accounts to illustrate the challenges faced by the industry. It effectively balances local and national perspectives, offering insights into potential solutions and the broader implications for consumers and businesses.

While the article is generally accurate and clear, it would benefit from more detailed citations and explanations of the data presented to enhance its credibility and transparency. The inclusion of diverse viewpoints contributes to its balance, though additional perspectives from consumers or industry analysts could provide a more comprehensive understanding of the issue.

Overall, the article is engaging and relevant, addressing a topic of public interest with potential implications for consumer behavior and the food industry. Its readability and clarity make it accessible to a wide audience, though it could further engage readers by encouraging interaction and discussion.

Accuracy

The story provides several specific claims that appear to be accurate but require verification. For instance, the statement that Bread Furst is paying more than double for eggs compared to a year ago is a significant claim that should be supported by specific financial data or supplier confirmations. The article mentions a 186% increase in wholesale egg prices, referencing government data, which adds credibility, yet the exact source is not cited, necessitating further verification.

The article accurately attributes the egg price surge to the avian flu, citing the US Department of Agriculture's figure of over 40 million birds culled. However, this figure should be cross-referenced with official USDA reports for confirmation. The mention of increased demand for plant-based egg products, with sales reportedly five times higher, is another claim that requires backing through sales data from the company.

Overall, the story aligns with known issues related to avian flu impacts and rising costs, but the lack of direct citations for some statistics slightly diminishes its accuracy score.

Balance

The article provides a balanced perspective by including viewpoints from multiple stakeholders affected by the egg price surge. It features quotes from bakery owners in different regions, such as Scott Auslander from Bread Furst and Werner Simon from Manhattan Sweets Boutique Bakery, offering insights into how businesses are coping with the crisis.

It also includes perspectives from the plant-based egg industry, with comments from Eat Just Inc.'s CEO, which broadens the discussion to alternative solutions. The inclusion of a marketing professor's opinion on consumer reactions to price increases adds depth to the analysis of potential business impacts.

However, the article could have further enhanced its balance by including perspectives from consumers themselves or industry analysts, which would provide a more comprehensive view of the issue's broader impact.

Clarity

The article is generally clear and well-structured, presenting information in a logical flow that is easy to follow. It begins by setting the context of the issue at a local level with Bread Furst and then expands to a national perspective, discussing the broader implications of the egg shortage.

The language used is straightforward and accessible, making it easy for readers to understand complex issues like the impact of avian flu on egg prices. The inclusion of direct quotes from various stakeholders adds to the narrative's clarity by providing concrete examples and personal insights.

However, the article could benefit from clearer distinctions between factual data and opinions, as some claims are presented without sufficient context or verification, which might confuse some readers.

Source quality

The article relies on credible sources such as the US Department of Agriculture for data on bird flu impacts, lending authority to its claims. It also includes direct quotes from bakery owners and a CEO in the plant-based egg industry, providing firsthand accounts of the situation.

However, the article could improve its source quality by directly citing the specific government data used to support the claim of a 186% increase in wholesale egg prices. Additionally, while the article mentions data shared by Eat Just Inc., it does not specify the source of this data or whether it has been independently verified, which could affect the perceived reliability of the information.

Overall, the sources used are relevant and authoritative, but more detailed attribution and independent verification would enhance the article's credibility.

Transparency

The article is transparent in disclosing its sources for various claims, such as citing the US Department of Agriculture for bird flu statistics and including direct quotes from bakery owners. However, it lacks detailed explanations of the methodology behind some of the data presented, such as the specific government data supporting the 186% increase in egg prices.

The article could improve transparency by providing more context on how the data was obtained and verifying the claims with external sources. For instance, the mention of increased sales for plant-based egg products would benefit from a clearer explanation of how these figures were calculated or verified.

While the article provides a fair amount of source attribution, greater transparency in the methodology and data sourcing would enhance its overall clarity and trustworthiness.