l Roller coaster ride predicted for egg prices l
average of 5.689 million cases during
2008 (31.9% of production).
Exports, consumption down
Exports of shell eggs during 2008
amounted to 1,918 thousand cases or
0.9% of production, down 26% from
the record achieved in 2007. Signi cant
markets were Canada (43%) and Hong
Kong-PRC (30%) denoting a reliance
on these two destinations. Exports of
egg products in 2008 were equivalent
to 3,108 thousand cases or 1.5% of
production. Japan (32%); Germany
and Canada (10% each) and Mexico
(8%) were the major importers.
For more from Don Bell, please be sure
to check out the following items:
Egg industry survey offers data for production benchmark
Don Bell responds to Proposition 2
month egg price declined by 29% from
a January value of 89.6 cents/dozen
to 63.9 cents/dozen in February 2009.
This lowered monthly contribution
high of 130 cents/dozen in March to a
low of 66.8 cents/dozen in July.
➤Over the summer months prices are
expected to rise to 95 to 97 cents/dozen
and complete the year at 116.4 cents/dozen
Domestic U.S. consumption in 2009
will attain 245.3 per capita, compared
to 248.3 and 250.1 eggs in 2008 and
from 58 cents/hen in January to 8. 8
cents/hen in February. The average egg
price for 2008 as reported by USDA
was 93.4 cents/dozen ranging from a
Variable prices throughout 2009
Urner-Barry, Mid-West, Large grade
prices are forecast to decline from a projected price of 111.1 cents/dozen in March
to a seasonal low of 88.8 cents/dozen in
May. Over the summer months, prices are
expected to rise 95 to 97 cents/dozen but
complete the year at 116.4 cents/dozen
through November and December. EI
Don Bell can be contacted at Don.
Bell@ucr.edu. Visit his web site http://
Feed is 60% of costs
Average production costs for the rst
two months of 2009 amounted to 58.7
cents/dozen. The principal components
of cost derived from USDA data were:
✓pullet depreciation (14%); and
✓other xed and variable costs (26%).
Given a two-month average egg price
for nest-run of 76.8 cents/dozen, producers generated a contribution margin
of 18.1 cents/dozen into their plants. It
is noted that the average USDA mid-
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