This update of U.S cage-free production is sponsored by Big Dutchman USA for the benefit of producers in North America

The USDA Cage-Free Report covering January 2025, released on February 3^rd 2025, documented the complement of hens producing under the Certified Organic Program to be 20.3 million (rounded to 0.1 million), unchanged from December 2024. Depopulation was carried out through the fourth quarter of 2024 and through 2025 as a result of HPAI. The number of hens classified as cage-free (but excluding Certified Organic) and comprising aviary, barn and other systems of housing apparently increased by 1.0 million hens or 1.0 percent from December 2024 to 101.0 million, despite documented extensive flock depopulation during the month.

Average weekly production for Certified Organic eggs in January 2025 was down 0.4 percent compared to December 2024 with a questionably high average weekly production of 83.5 percent. Average weekly flock production for cage-free flocks other than Certified Organic was up 0.5 percent in January 2025, but with a high average hen-month production of 82.2 percent, down from 82.6 percent. Seasonally, younger flocks increase the availability of cage-free and organic eggs in response to pullet chick placements 20 weeks previously especially in anticipation of periods of peak seasonal demand. Since the proportion of pullets according to housing type is not indicated in the monthly USDA Chickens and Eggs report, it is not possible to validate the relative sizes of flocks producing under the certified organic label or other categories. There is no adequate explanation for the high production rate especially if the reported number of hens is lower than actual, and in view of a possible undercount following HPAI flock depopulation.

Negotiated nest-run grade-ready cage-free price for January 2025 averaged $7.24 per dozen, up 21.5 percent from $5.91 per dozen in December 2024, reflecting an imbalance of demand relative to supply. The January 20245 advertised U.S. featured retail price for cage-free eggs over five regions (excluding SW, AK. and HI.) was $2.88 per dozen, apparently down 2 cents per dozen from December 2024 based on 133 stores. This compares with 1,027 stores in December and reflects fewer promotions as the year commenced reflecting the ongoing incidence rate of HPAI that restricted supply.

The recorded average wholesale price of $7.24 per dozen plus a provision of 60 cents per dozen for packaging, packing and transport, results in a price of $7.84 per dozen delivered to CDs. The average five-region advertised retail price of $2.88 per dozen corresponds to a theoretical average retail negative margin of 172.4 percent (-124.5 percent last month) for promotions offered by stores featuring cage-free eggs. Margins are presumed higher for non-featured eggs including pastured and other specialty eggs at shelf prices attaining in excess of $9.00 per dozen in high-end supermarket chains. Retailers maximizing margins especially on Certified Organic, free-range and pastured categories restrict the volume of sales, ultimately disadvantageous to producers.