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Egg markets diverge as U.S. prices fall and Ecuador faces shortages
The egg industry is experiencing divergent market trends in the United States and Ecuador. In the U.S., Cal-Maine Foods Inc., the nation's largest producer, reported a 42% drop in net sales and a $59 million net loss for its first fiscal quarter. This decline is attributed to an oversupply following a period of high prices driven by previous avian flu outbreaks. Large Grade A eggs averaged $2.27 per dozen in August.
Conversely, egg prices in Ecuador are rising due to supply shortages and increased production costs. In regions like Loja and Cuenca, a 30-unit tray of large eggs has reached prices between $4.50 and $4.75. Producers report that the number of laying hens has dropped from 17 million to as low as 14 million.
Factors contributing to the Ecuadorian price hike include the rising cost of corn and soy feed, higher transportation expenses, and the export of eggs to neighboring Colombia and Peru to capture better market rates. This has led to reduced local availability and forced consumers to purchase smaller quantities or lower-grade eggs.
Entities
Cal-Maine Foods Inc. · Ecuador · Luis Poaquiza · Sherman Miller · United States
Claims
What the coverage asserts, and how many sources carry each claim.
- [○ 1 SOURCE] Rising costs of corn and soy used for poultry feed have contributed to higher egg prices. elmercurio.com.ec
- [○ 1 SOURCE] The number of laying hens in production decreased from approximately 17 million to between 14 and 15 million. cronica.com.ec
- [○ 1 SOURCE] Cal-Maine Foods Inc. reported a 42% drop in net sales during its first fiscal quarter. www.agronegocios.co
- [○ 1 SOURCE] Egg supplies are being diverted to Colombia and Peru where prices are higher. elmercurio.com.ec
- [○ 1 SOURCE] Large Grade A shell eggs averaged $2.27 per dozen in August in the United States. www.agronegocios.co
- [○ 1 SOURCE] Cal-Maine Foods Inc. recorded a net loss of $59 million for the quarter. www.agronegocios.co