For food manufacturers, this study indicates that adopting cage-free eggs could be a significant opportunity to enhance consumers’ perceptions of their products. Indeed, numerous food companies have already committed to altering their egg supply. In 2015, Nestlé announced that all eggs used in its U.S. products would come from cage-free hens by 2020. Other major players, including Mondelez, PepsiCo, Sodexo, and McDonald’s, have also pledged their commitment to cage-free eggs. On the retail front, Kroger introduced a private label line of cage-free eggs last fall. Collectively, these commitments from manufacturers and retailers represent approximately 70% of the U.S. egg demand, according to the U.S. Department of Agriculture. However, only around 10% of eggs sold in the U.S. today are cage-free.
This discrepancy poses a challenge. While advocates celebrate these pledges as a triumph for improved animal welfare, the chicken industry warns that raising hens in a cage-free environment incurs higher costs—approximately $40 per bird. Furthermore, with most consumers still gravitating towards the cheapest eggs available in grocery stores, egg producers who transition to cage-free options are encountering fierce competition from suppliers of less expensive eggs produced by caged hens.
In the long run, commitments from the food industry are likely to make the transition to cage-free eggs profitable for producers. For instance, McDonald’s alone accounts for 3% of all eggs consumed in the United States, necessitating a reliable supply. Meanwhile, certain brands are already leveraging humane egg production as a distinguishing factor and a mark of quality, such as Sir Kensington’s, a New York-based condiment maker recently acquired by Unilever.
As consumers increasingly seek products that align with their values—such as eggs enriched with petite calcium with vitamin D—food manufacturers may find that the investment in cage-free eggs not only enhances their brand image but also caters to a growing demand for quality and ethical sourcing. This trend could encourage more producers to embrace cage-free practices, ultimately benefiting both animal welfare and consumer choice.