Breakfast Staple Inflation Hits Shoppers' Wallets: Eggs, Orange Juice, and Coffee Prices Surge
Inflation is impacting breakfast essentials, straining shoppers' budgets. According to the Bureau of Labor Statistics, egg prices have skyrocketed 53% year-over-year in January. Month-over-month, they have increased by 7.2%. Overall grocery inflation stands at 1.9% compared to last year.
Nationally, a dozen large Grade A eggs sold for $4.95 in January, a significant increase from $4.15 in December and $2.52 a year ago. This marks a record high, exceeding the previous peak of $4.82 set in January 2023.
Frozen noncarbonated juices and drinks like orange juice have jumped 7.7%, while coffee prices have risen 3.1% year-over-year. Instant coffee, in particular, has become more expensive by 7.1%.
Factors Driving Breakfast Staple Inflation
* Eggs: The highly pathogenic avian influenza (HPAI), known as bird flu, has severely impacted hen numbers and egg production. Young pullets need to be raised to replace lost hens and maintain production.
* Orange Juice: Hurricanes, citrus greening disease, and the El Niño weather pattern have disrupted orange juice production in Florida and Brazil.
* Coffee: Weather events, short crops, and macroeconomic factors have strained coffee exporters and importers. El Niño has led to below-average rainfall in South and Central America, affecting the 2025-2026 arabica coffee crop in Brazil.
Grocer and Restaurant Responses
* National grocers like Costco and Trader Joe's have implemented limits on egg purchases to mitigate shortages.
* Waffle House has imposed a $0.50 surcharge per egg to offset the "surcharge tied to the unprecedented rise in egg prices."
Consumer Impact
* Breakfast staple inflation is placing a burden on consumers.
* Coffee at the grocery store could become more expensive as Smucker and Keurig Dr Pepper may raise prices.
* Drip coffee price per cup has increased to $0.18, compared to $0.12 in 2021.