In response to an egg supply crisis, McDonald’s has announced a temporary shift in its breakfast service hours across Australia. Starting Tuesday, breakfast will now conclude at 10:30 AM instead of the usual midday cut-off.
This change follows disruptions in the supply chain caused by recent avian influenza outbreaks.
Supply Chain Disruptions and Retailer Reactions
The egg supply issue has prompted major supermarkets like Woolworths and Coles to impose purchasing limits. Consumers in Victoria, New South Wales, and the Australian Capital Territory are particularly affected, as bird flu has disrupted egg production in these regions. A Woolworths spokesperson explained that while supply is expected to stabilize soon, short-term limitations are necessary to manage the current shortage.
“Like many retailers, we are carefully managing our egg supply due to industry challenges,” said a McDonald’s spokesperson.
“We are working closely with our network of Australian farmers, producers, and suppliers to navigate this issue.”
Impact on Egg Prices and Market Dynamics
With demand for eggs surpassing supply, consumers should brace for price increases at the checkout. Ritchies IGA CEO Fred Harrison noted a significant spike in retail demand, estimating a 10-20% surge. “We’ve seen price increases of around 4-5% from some suppliers, and further hikes are expected in the near future,” Harrison said. “However, prices are likely to stabilize once the supply chain recovers.”
Coles and Woolworths have limited egg purchases to two cartons per person in affected areas. Despite this, IGA has refrained from blanket restrictions, allowing store managers to implement limits based on local stock levels.
Egg Producers Respond
Egg producers remain optimistic about managing the supply chain disruptions. Joel Owin, who operates White Swan Eggs in Victoria, reported increased demand at farmers’ markets and grocery stores.
“When the initial outbreak occurred, we saw a surge in sales within a week or two,” Owin stated. “Our customers have shown concern for our wellbeing, knowing that a virus outbreak here would mean culling our entire flock.”
Owin also highlighted the seasonal challenges impacting egg production. “Winter conditions slow down production naturally, with hens contending with colder temperatures and shorter daylight hours,” he explained. “Despite these challenges, our hens are still laying well, though not at peak levels.”
Looking Forward
As the industry grapples with avian influenza, the situation remains fluid. Retailers urge consumers not to panic buy, emphasizing that the current disruptions are manageable. However, continued vigilance is necessary to prevent exacerbating the problem.
