'Get used to' high eggs prices, Stew Leonard's CEO warns
Egg prices are on the rise, with the US Department of Agriculture (USDA) projecting a 20% increase in prices this year amid an ongoing egg shortage. Stew Leonard's CEO and president, Stew Leonard Jr., joins Wealth with Brad Smith to discuss egg pricing dynamics and the uncertainty around when prices will come down for grocery store shoppers. Stew Leonard's sells around 100,000 eggs a week, Leonard Jr. says, noting that he hasn't seen this type of price uptick in his 50 years in retail. He explains that the price increase is driven by a supply shortage due to the spread of the bird flu. Leonard Jr. tells Yahoo Finance that farmers are taking precautionary measures to prevent the spread of the disease and protect their hens. "[As] supply starts to shrink like it is now, prices are going to go up" as farmers have added costs associated with preventative measures. Another factor contributing to high prices and the egg shortage is the sold-out baby chicks, which Leonard Jr. says will likely last six months. Leonard Jr. warns consumers, "The prices will come down a little bit, but I'd just put your seatbelts on ... I think that our customers just have to get used to an elevated egg price." To watch more expert insights and analysis on the latest market action, check out more Wealth here. This post was written by Naomi Buchanan.
