Egg Prices have soared across the US, with the average cost of a dozen at $8 and above. Grocery wholesaler and retail store operator SpartanNash is doing everything to keep customer costs down. SpartanNash’s CEO Tony Sarsam spoke to Jim Cramer in the CNBC edition of Mad Money, explaining how they try to contain egg prices.
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“Eggs have been a little bit of a challenge the last two years,” Sarsam said. “It is a constant, constant effort to kind of get the right pricing,” he said. Sarsam revealed that egg prices soared due to a highly contagious and deadly avian bird flu which affected chickens. The flu led to higher costs making retailers like Trader Joe’s and Costco put limitations on consumers’ egg purchases.
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SpartanNash Retail Outlets: Here’s How They’re Trying to Make Egg Prices Affordable
The avian bird flu, which lasted for nearly two years drove up egg prices burning a hole in consumers’ pockets. “it’s a complicated story with eggs,” Sarsam said, calling them “temporary events”. To keep prices down, he explained that SpartanNash works to get long-term supply agreements with farmers that “actually lock in on a great price.”
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The CEO said that SpartanNash is closely monitoring egg prices claiming they have a very competitive offering. The long-term agreements with farmers have helped the grocery store procure eggs at lower prices. He described that SpartanNash steps in when prices soar and find a solution to minimize the costs and not pass it down to consumers.
Apart from eggs, Sarsam stated that the prices of other groceries have dipped to pre-pandemic levels. He described SpartanNash as pivotal in bringing retail costs down and helping consumers save money. “Food has stabilized in terms of what people are seeking in those really, really important fundamentals in their lives,” he said.