Webinar Cage Free Egg Production March 3, 2016 Chad Gregory President United Egg Producers
Overview of UEP & The U.S. Egg Industry
United Egg Producers National farmer coop since 1968 with current membership producing more than 95% of total U.S. egg production (more than 300 million hens) Representing Egg Producers on: Government Relations offices/representation in DC HPAI and other disease management Food Safety Environment Animal Welfare And much more
United Egg Producers 150 separate egg company members Owning 303 million laying hens more than 95% of U.S. Board of Directors of 34 egg farmers most are owners
United Egg Producers UEP Committees 10 to 25 egg producers on each committee: Government Relations Information Sharing Food Safety Public Relations Environment Organic Animal Welfare EGGPAC and now a Biosecurity Task Force UEP s Scientific Groups: Scientific Advisory Committee for Animal Welfare Environmental Scientific Panel Food Safety Scientific Advisory Council
United Egg Producers Professional staff of 7 PR firm and expertise is CMA Consulting (Charlie Arnot) Crisis Management Experts Best Ag consultants and lobbyists
U.S. Egg Industry
U.S. Egg Industry Mid 1970 s 10,000 egg farmers in U.S. (est.) 1987 2,500 egg farmers 2016 175 commercial egg companies represent 99% of all eggs produced in the U.S. 60 companies with more than one million layers These companies represent approximately 255 million layers or 89% of egg production 17 companies with more than 5 million layers
U.S. Egg Industry Surplus Deficit Balanced
U.S. Egg Industry How are consumers consuming eggs in the U.S.
U.S. Egg Industry Of the 229 million cases of shell eggs produced: (Approximately 6.8 Billion Dozens 82 Billion Eggs) 122.1 million cases went to retail (53.3%) 73.3.0 million cases were further processed (32%) 22.9 million cases went for foodservice (10%) 10.7 million cases were exported (4.7%)
Animal Welfare Issues
2001 2016 Has it been enough?
Timeline of Events UEP has been addressing AW since 1982 Prop. 2 in California Nov. 2008 2011-2013 Pursued Federal Egg Bill with HSUS HSUS resumed pursuing initiatives and corporate campaigns UEP Certified Program established In 2001 Efforts in MI, AZ, OH, OR, WA followed February 2013 Egg Bill Officially defeated
And now Massachusetts? HSUS Referendum in November, 2016 Banning the production of and sale of Pork, veal and shell eggs from crates and cages After January 1, 2022 7 million consumers in the state only 100,000 hens Hundreds of thousands of customers Taking away consumer choices Cost of food will go up significantly just look at CA And where does this stop???
Cage-Free Announcements 2015 2014 2013 2012 2011 2010 2009 2008 Total U.S. Cage-Free Flock: 8.70% 5.70% 5.90% 6.00% 5.40% 4.40% 3.60% 3.50% Layers (millions) 24.36 17.2 17.1 16.9 15.2 12.2 10.2 9.8 USDA Organic: 4.20% 2.90% 2.80% 3.00% 2.60% 2.20% 1.80% 1.70% Layers (millions) 11.4 8.7 8.2 8.5 7.4 6.1 5.1 4.9 Traditional Cage-Free: 4.50% 2.80% 3.10% 3.00% 2.80% 2.20% 1.80% 1.70% Layers (millions) 12.96 8.5 8.9 8.3 7.8 6.1 5.1 4.9 Source: USDA Agricultural Analytics
Cage-Free Announcements
Cage-Free Announcements Restaurant Chains Food Manufactures McDonald s Quiznos Nestle Burger King Sonic Unilever Taco Bell Hardee s General Mills Starbucks Carl s Jr. Kellogg s Jack in the Box P.F. Chang s Barilla Panera Bread Wendy s Grupo Bimbo Dunkin Brands Subway Flowers Foods T.G.I. Friday s Arby s ConAgra Foods Cheesecake Factory Qdoba Mondelez Au Bon Pain Cracker Barrel Campbell s Soup Noodles & Co. Red Robin Caribou Coffee Shake Shack Einstein Brothers Denny s Bob Evans Taco Johns Peet s Coffee & Tea White Castle California Pizza Kitchen Tim Hortons IHOP Applebee s Golden Corral Bloomin Brands Krystal Burgers 6.7 Billion Eggs/year 24.7 Million Hens
Cage-Free Announcements Food Service Grocery Stores Hospitality and Travel Compass Group Costco Marriott Aramark Target Hilton Worldwide Sodexo BJ s Wholesale Hyatt Delaware Trader Joe s Royal Caribbean North Centerplate Whole Foods Carnival Cruise Lines Schwan s CVS Starwood Hotels Stop & Shop Norwegian Cruise Lines Giant Martin s Peapod Albertsons 1 Billion Eggs/year 3.7 Million Hens For just restaurants and food service (as of 2/24/16) 7.6 Billion Eggs/year 28.5 Million Hens
Cage-Free Announcements Canada s Decision Time and cost to convert UEP Board Meeting March 8-9 in Napa
Conventional Caged Egg Production Around $15/hen
Conventional Caged Egg Production
Conventional Caged Egg Production
Enriched Colony Egg Production Around $25/hen
Enriched Colony Egg Production
Cage-Free Egg Production Minimum of $40/hen
Cage-Free Egg Production
UEP supports ALL 3 Production systems (and science does too!) And adamantly supports consumer choices! And recommends FMI members work with their egg supplier(s) on timing and costs
Happy to answer questions?