Australian States Reach Agreement on Caged Eggs Ban, Sparking Price Hike Concerns

Eggs are seen at a grocery store in Washington, DC, on Jan. 19, 2023. Stefani Reynolds/AFP via Getty Images

Caged eggs will be banned in Australia as part of a national agreement to improve animal welfare in the poultry industry.

While animal advocacy groups have welcomed the news, there are concerns that the new agreement will put eggs out of the reach of consumers.

During a meeting on July 13, state agriculture ministers endorsed the new Australian Animal Welfare Standards and Guidelines for Poultry.

The new standards will significantly change the way farmers raise poultry, effectively banning the use of battery cages.

Battery cages are a housing system commonly used for raising egg-laying hens that involves putting together rows and columns of identical cages.

Many farms were reported to keep battery hens in cage areas less than the size of an A4 paper, causing them to be unable to perform normal behaviour for chickens like stretching their wings, perching, or scratching.

Animal welfare groups have long demanded battery cages be banned in Australia to protect chickens from “cruel production systems.”

While a consensus has been reached, states and territories will decide when to adopt the new standards themselves.

Federal Agriculture Minister Murray Watt said despite the difference in the pace of adoption, all jurisdictions were working towards phasing out battery cages by 2036.

“Some states will be able to do it more quickly than others, and if some states are struggling, that is something we can discuss,” Mr. Watt said.

The minister noted that the 2036 deadline would give the industry plenty of time to adjust to the changes.

Meanwhile, New South Wales has not committed to a specific timeline.

“We will work to our own timeline to make sure that we’re working with industry in NSW to get the best outcome,” NSW Agriculture Minister Tara Moriarty said in comments obtained by AAP.

“We’re going to work with industry so that we’re not impacting supply, and we’re not worried about cost of living issues.”

Egg Industry Pushes Back the 2036 Deadline

Following the agreement between state ministers, Bede Burke, the chair of Egg Farmers of Australia, a peak industry body, called for extra time to allow farmers to adjust financially to the new standards.

“We want until 2046. That’s because it can take up to 30 years to pay off debt on an existing cage egg business,” he said.

“Any earlier time frame would financially impact on many family egg farms.”

Federal Nationals leader David Littleproud also supported an extension to the supposed 2036 deadline.

“Our egg farmers deserve support, not surprises, from state governments,” Mr. Littleproud said.

“Farmers have made investment decisions worth millions of dollars, predicated on the current guidelines, believing they had until 2046.”

A Pakistani poultry worker feeds chickens on a farm in Karachi, Pakistan, on April 10, 2007. Asif Hassan/AFP via Getty Images

Egg Farmers of Australia warned that the agreement would cause the future of cage egg production to remain in limbo and prompt farmers to seek compensation from states.

Meanwhile, Australian Alliance for Animals policy director Jed Goodfellow expressed disappointment that a national timeline hadn’t been reached.

“This places the 2032-2036 timeframe contained in the national standards at risk and fails to provide the community, and the industry, with certainty,” he said in a statement.

“It is incumbent upon all state governments to now announce their respective phase-out timeframes so that all stakeholders know where they stand and can prepare for the future.

“These timeframes should be as short as possible to ensure that millions of hens do not continue to suffer unnecessarily inside these outdated, barren cages.”

Concerns about Skyrocketing Egg Prices

The agreement follows concerns that egg prices could soar to $15 (US$10.3) a carton from the current average of $7, keeping them out of reach of low-income Australians.

It was reported that the infrastructure required for caged-free egg production could cost as much as $4 million.

Farming experts said that farmers would be forced to pass these hefty costs on to consumers if states rushed to enforce the new poultry standards.

Nationals Senator Bridget McKenzie warned that an early ban on battery cages would drive up the cost of eggs and other types of food made from eggs.

“We eat 17 million of them every single day. And 40 percent of the eggs that are sold at every supermarket every day actually are caged eggs because they are an affordable option for so many families,” she said.

“To see them rise like we’re seeing when similar decisions made in other countries will just put the cost of delivering healthy food on the table every night so much harder.”

Meanwhile, Mr. Watt has rejected the idea that egg prices would soar because of the battery cage ban.