Denny’s has become the latest restaurant chain to adjust its pricing in response to the ongoing egg shortage, implementing a temporary surcharge on meals that include eggs, CNN reports.
The diner chain, known for its signature breakfast offerings, cites rising egg costs and supply disruptions caused by the bird flu outbreak as key factors behind the decision.
Since early 2022, avian flu has severely impacted egg production, leading to the loss of over 140 million egg-laying birds in the United States. The US Department of Agriculture (USDA) reports that nearly 19 million birds have been culled in the past 30 days alone. As a result, egg supplies have tightened, and prices have surged. According to the Bureau of Labor Statistics, the average cost of a dozen large, grade-A eggs rose from $3.65 in November to $4.15 in December.
The shortage has forced restaurants and bakeries to rethink their pricing strategies. Denny’s confirmed that the surcharge is being implemented on a location-by-location basis, as supply issues vary by region. However, the company has not disclosed how many restaurants are affected or the exact amount of the surcharge.
Despite the price increase, Denny’s reassured customers that it remains committed to providing value while navigating fluctuating market conditions.
Denny’s is not alone in making adjustments. Earlier this month, Waffle House introduced a temporary 50-cent surcharge per egg at its restaurants, also citing rising costs. Other major chains, such as McDonald’s, have taken a different approach. The fast-food giant announced it will not pass on additional egg costs to customers and will even offer a $1 Egg McMuffin promotion on March 2.
Bakeries, which rely heavily on eggs for baked goods, are also feeling the effects. Scott Auslander, general manager of Washington, D.C.-based Bread Furst, said the surge in egg prices has been “unprecedented,” forcing the bakery to raise prices on egg-heavy menu items.
Major grocery retailers, including Costco and Trader Joe’s, have responded by placing purchasing limits on eggs to ensure availability for customers.
With domestic egg production struggling to meet demand, the US has turned to international suppliers. Turkey, the only foreign country currently exporting eggs to the US, plans to ship a record 420 million eggs this year, nearly six times its 2023 total.
Meanwhile, US Customs and Border Protection (CBP) has reported an increase in attempts to smuggle raw eggs from Mexico. More than 90 people have been stopped at the border since January for bringing in undeclared eggs, with CBP issuing nearly $4,000 in fines. Officials warn that undeclared agricultural imports pose health risks and may result in penalties.