Warning price of eggs could rise due to shortages linked to bird flu, Ritchies IGA boss says

A supermarket boss has warned Aussies will likely be forced to pay more for eggs in the coming weeks due to shortages linked to bird flu.

Two of Australia’s biggest supermarket chains, Woolworths and Coles, limited the number of egg cartons customers can purchase across most of Australia’s east coast as the industry continues to be hit by a deadly strain of bird flu.

Woolworths has had a two-pack limit per person for customers in NSW, the ACT and Victoria since Thursday.

Coles has restricted customers to two cartons each at all stores except in Western Australia since early June.

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Ritchies IGA has already experienced a 10 to 20 per cent increase in demand, chief executive Fred Harrison said, and the supermarket will introduce buying limits in Victoria from Wednesday.

“Our egg supplier in Victoria met with us and said they are now starting to run a bit short,” he told NewsWire.

“Demand is increasing significantly. As of today in Victoria, we are moving to a two-pack limit on eggs.

Ritchies IGA has already experienced a 10 to 20 per cent increase in demand. NewsWire / Nicki Connolly Credit: News Corp Australia

“We haven’t in NSW or Queensland at this stage … but if I go by what has happened in Victoria, it might be another one or two days before we change our position. Limits in all of our stores.”

He warned prices would “definitely” increase as a result of the shortages.

“There definitely will be price increases coming through,” he said.

“I’ve been advised by our team that there are going to be price increases forwarded to us this week and it will be implemented within a week or so.

“If we get the price increase, we will need to pass on the price increase.

“There’s no profiteering out of it, it’s going to be our same margin.

“But yes, standby, there are going to be price increases on top of it.

“Just like fruit and vegetables, it’s the law of supply and demand. If there is a shortage in supply, prices increase.”

IGA announced buying limits on egg products in Victoria on Wednesday. NCA NewsWire / Gaye Gerard Credit: News Corp Australia

He said the shortages and price spike could roll on for up to three months.

“This seems to be dragging on for some time,” he said.

“It’s been happening now for six or seven weeks or so. We’ve held up reasonably well, but the situation has changed. I think it just goes to show nothing is foolproof.

“This is going to take time to replenish … I think you are talking at least two or three months until replenishment levels get back to normal.”

A major bird flu outbreak on poultry farms in several states has smashed egg suppliers.

Victoria has placed “movement controls” on affected farms that mean permits are required for the movement of birds, poultry products, feed and equipment on or off the properties.

A suspected outbreak of avian flu has left Woolworths shelves empty. NewsWire Credit: News Corp Australia

Woolworths has limited the number of egg cartons customers can purchase.

The two-pack per person limit was put in place in NSW, ACT and Victoria from Thursday.

The supermarket giant said empty shelves were the result of a suspected outbreak of avian flu at an egg farm’s adjoining packing shed.

“Along with other retailers, we’re expecting a short-term delay in stock from one of our egg suppliers in NSW, ACT and Victoria, due to the temporary closure of one of their packing sheds,” a Woolworths spokeswoman said.

An outbreak of bird flu has forced Woolworths to place restrictions on the number of cartons shoppers can purchase. NewsWire Credit: News Corp Australia

“Their supply is expected to recover over the next week as they ramp up operations at their other sites.”

The supermarket giant said the limit would serve as a “precaution” to help manage stock shortages in the coming months.

“Right now, the majority of customers are only buying one carton of eggs at a time, and there’s no reason that should change,” the spokeswoman said.

McDonald’s is also feeling the effect of major egg shortages, announcing on Tuesday it will no longer offer its breakfast menu until midday.

The fast-food giant revealed the menu would only be available until 10.30am in the hope of using fewer eggs.