Egg producer Cal-Maine Foods has reported a huge loss of $74.3 million over the last year.
According to reports, although volume of sales has risen, sales prices have dipped.
The year has been described as a ‘challenging’ one for the egg industry for a number of reasons – including an outbreak of avian flu and over-production.
Dolph Baker, Cal-Maine’s President and CEO, said: “The egg markets have been affected by increased production levels as producers repopulated their flocks after the 2015 avian influenza (AI)-related laying hen losses, and the younger, more productive hen population has produced a higher number of eggs.
“Overall, market demand trends have not kept pace with these production levels.”
In addition, a growing appetite for plant-based egg alternatives is having an effect.
According to Baker, vegan-friendly options including potato starch and silken tofu are ‘exacerbating the oversupply’ and pushing down prices even more.