The regional egg market in Lithuania and Poland continues to react to the effects of recent avian influenza outbreaks, potentially setting the stage for a new crisis.
Despite moderate increases in retail egg prices across Lithuania in recent weeks, the wholesale market is experiencing significant double-digit growth. According to Aleksandrs Izgorodins, an analyst at Citadele Bank, this increases the likelihood of further price adjustments hitting consumers soon, as current demand remains relatively subdued.
Concerns Over Shortages
Market dynamics are heavily influenced by fears of future shortages, with avian influenza outbreaks leading to the culling of hundreds of thousands of hens in Lithuania and millions in Poland. However, Gytis Kauzonas, director of the Lithuanian Poultry Association, reassures that local production capacities remain robust. He stated that Lithuania is poised to produce between 800 and 880 million eggs in 2025, a figure that can adequately meet local demand.
“This volume can fully satisfy our needs, especially considering a considerable portion is exported to neighboring countries like Latvia,” Kauzonas explained. “Furthermore, many processed egg products are shipped across Europe and even as far as America and Japan.”
Supply Constraints Persist
Despite the reassuring production forecasts, the supply situation in the Baltic egg market remains strained. Over recent weeks, Poland faced significant losses, losing nearly 7 million hens—double the number available in Lithuania. Earlier this year, a severe outbreak at the Vilkyčių paukštyne poultry farm in Lithuania led to the culling of 246,000 hens, which still impacts the market.
In contrast, egg prices in Latvia and Estonia have finally stabilized after a period of consistent increases, as evidenced by various market analyses.
Push for Free-Range Farming
In light of ongoing challenges in the egg market, the Agricultural Affairs Committee of the Estonian Parliament, Riigikogu, is revisiting a draft bill aimed at phasing out caged hen farming by 2035. During discussions with egg producers, lawmakers raised the prospect of encouraging a voluntary transition to free-range farming practices, according to Urmas Kruuse, chairman of the rural life committee.
Producers expressed the need for government support to navigate this transition without further straining prices in an already volatile marketplace. Nevertheless, Estonian authorities are considering leveraging EU funds to assist in the shift.
“Currently, the number of laying hens in Estonia is minimal, making up only 0.2% of the total EU count. Thus, if a decision is made at the European level, appropriate funding mechanisms will need to be established to support this transition,” Kruuse concluded.
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