Northern European egg prices break records

Northern European egg prices keep rising. In both the Netherlands and Germany prices are at record levels. Especially in Germany, prices are rising quickly as a result of the outbreak of Newcastle disease (ND).The European egg market currently remains structurally tight, driven by a persistent imbalance between supply and demand. Consumer demand for eggs continues to exceed earlier expectations, while supply growth remains constrained. Even when new laying hen flocks enter production, the additional volumes are expected to be absorbed primarily by existing shortages throughout the supply and processing chain rather than reaching the free market.With Easter approaching market pressure is expected to intensify rather than ease in the short term. Demand for eggs is expected to peak in about a month. As a result, prices will probably keep rising for about one month until Easter has passed.The Dutch egg price is not just still rising, but is also breaking records again. Around Christmas prices reached a record level of €19.90 per 100 eggs. This week prices surpassed that level and reached €19.95. If the current rate of increase continues, the price will soon break through the psychological barrier of €20 per 100 pieces.Animal healthAnimalhealth challenges remain a driver of uncertainty. In practice, the number of laying hens actually lost is, even in the worst years, not significant. However, the last-minute rerouting of orders adds significant costs, and the uncertainty also leads to upward price pressure on the egg market.Ongoing outbreaks of highly pathogenic avian influenza (HPAI) continue to restrict production capacity in several European regions. In addition, the recent detection of Newcastle disease (ND) cases in Germany has resulted in official depopulation measures, removing additional flocks from production.As a result, pricing in Germany remains elevated compared to the Netherlands. German prices have already broken through the €20,00 barrier and rose to €20.17.