Dollar Tree, a popular discount store chain with around 8,000 locations across the US and Canada, has pulled eggs from its shelves due to a surge in prices, which have increased by as much as 60% in the past year. The company stated that it was unable to make a profit at its primary price point of $1.25 due to the high cost of eggs. “Our primary price point at Dollar Tree is $1.25. The cost of eggs is currently very high,” said company spokesperson Randy Guiler. Despite the eggs being removed, they are expected to return when prices are more in line with historical levels.
According to Reuters, the majority of merchandise at Dollar Tree sits at $1.25, with the store also having other items for $3 and $5. Consumer egg prices saw a slight dip last month, but still reported a 55% increase in the one-year span from the same month the prior year, with a dozen large Grade A eggs costing an average of $4.21 in February, down from January’s $4.82 average, according to data from the Federal Reserve Bank of St. Louis.
Egg prices have historically risen during the spring season, with the upcoming Easter holiday egg hunts and baking expected to contribute to the increase. “The January USDA egg report showed prices were steady to slightly lower than December, but yearly prices for eggs often peaks each spring due to Easter holiday egg hunts and baking,” said David Anderson, Texas A&M University AgriLife Extension, Bryan-College Station.
The rise in egg prices has prompted concern from consumers, as well as businesses, with Dollar Tree’s decision to remove them from its shelves being a prime example. While some believe that the use of egg substitutes or plant-based options could be a solution, others worry about the impact on the poultry industry and the supply chain. As consumers continue to adjust to the fluctuations in egg prices, it remains to be seen how businesses will adapt to these changes.
