New York (AFP) – It’s often said that you have to break a few eggs to make an omelette. The saying rings true under a deal where three major US egg producers will have to crack into their supplies to settle price fixing claims. Under the settlement announced Wednesday, the companies will donate 53 million eggs to food banks.
A coalition of 17 states sued the producers, alleging they secretly coordinated to influence daily egg price quotes published by a benchmark pricing service widely used in egg supply contracts. “It is unconscionable that these businesses colluded against hard-working New Yorkers to raise the price of eggs just to line their own pockets,” New York Attorney General Letitia James said Wednesday in a statement announcing the settlement. “The law is clear: price fixing of any kind is not tolerated in New York, or across our nation.”
James said Cal-Maine Foods, Versova, and Hickman’s Egg Ranch began colluding as early as 2022. In addition to the egg deliveries, the companies will pay $3.3 million to affected states and make changes to their practices to prevent future violations, the statement added.
Egg prices became a rallying point for Donald Trump in 2024’s presidential election campaign as he sought to capitalize on voters’ frustrations with the rising cost of essential items during his predecessor Joe Biden’s presidency. As avian flu spread like wildfire through the industry, poultry farmers were forced to cull 26 million birds, leading prices to skyrocket.
In the Big Apple, a box of 12 eggs reached an average price of $8.47 according to a note issued by the US Department of Agriculture in February 2025. The State of New York is to receive 4,968,000 of the eggs. The first delivery of 280,280 was made in Brooklyn, and the others are scheduled through October. The other states in the deal are Arizona, California, Colorado, Connecticut, Florida, Hawaii, Iowa, Maryland, Minnesota, North Carolina, Ohio, Pennsylvania, Texas, Utah, Vermont, and Wisconsin.
© 2024 AFP
