The Swiss individual egg producers are struggling with a growing scarcity of eggs, particularly affecting regional free-range egg producers, whose supply cannot meet the increasing demand. Migros and Coop are increasingly relying on imports to ensure supply. However, the higher costs for imported eggs could contribute to rising prices in the long run and further fuel inflation.
Since 2022, the demand for eggs in Switzerland has increased by around 10 percent.
The production of a chicken egg is subject to natural cycles and planning requires a lead time of around 18 months. Therefore, adjustments can only be made in the long term.
The situation is particularly critical in the winter months, when hens lay fewer eggs while demand is on the rise. This seasonal discrepancy is well-known, but the current shortages lead to noticeable gaps on the shelves of supermarkets, with popular large free-range eggs often being unavailable.
To ensure supply, the retailers have responded. Migros is increasingly relying on the import of eggs to close the gaps in production and Coop has also increased its offer of imported eggs in response to the challenges in availability.
Rising prices as a result of the scarcity?
Despite the shortage, egg prices in Switzerland have remained stable so far. Industry representatives, however, emphasize that this is not guaranteed in the long term. The increased demand could lead to price adjustments in the medium term, as producers are already calling for higher prices to cover the costs, particularly for free-range farming.
Higher egg prices could, in turn, affect other food prices, as eggs are a central ingredient in many processed products. Economists warn that this could further exacerbate the already high inflation pressure in Switzerland.
To better meet the demand, new stables would need to be built and production expanded. However, this is a complex and challenging task, with lengthy permit procedures and unattractive investment prospects due to high construction costs. A short-term easing of the situation is therefore not expected.
The current scarcity highlights the structural challenges facing the egg production in Switzerland. Even if retailers respond with imports, the question remains of how the domestic production can be expanded in the long term to meet demand sustainably and avoid a price spiral.