The stores predicted that the egg shortage would ease after Easter, but the shelves are still empty.
Järvenpää’s K-supermarket Peltola’s egg shelf looked very empty last week on May 11. Eeva Paljakka
There have still been empty egg shelves in grocery stores, although the situation was supposed to improve after Easter.
The background is still the same reasons as previously reported, i.e. the increased demand for eggs, exports abroad and the price paid by the trade.
Both Kesko, Lidl and the S group report that the availability of eggs has improved, although momentary shortages may still occur.
– Looking at the situation for all our stores, the availability of eggs has generally improved after Easter, although occasional shelf shortages may still occur. According to the information we receive from suppliers, the situation regarding availability is improving all the time, says the purchasing and sales manager Laura Koponen From Kesko.
According to Koponen, eggs are a very big selling product group and an important part of the everyday diet of many Finns.
– As a retail group, it is therefore of no use to us if we cannot offer our customers the products they are looking for, Koponen states.
Demand continues to grow
Also product group manager of the S group’s convenience store Heidi Salmi identify challenges.
– Above all, the background is the clearly increased demand throughout Europe and the uncertainty of the disease situation, which increases uncertainty in the market. However, we deliver eggs to stores constantly, says Salmi.
According to him, the demand for eggs has been growing in Finland and Europe for a long time. Salmi estimates that the prevailing economic situation, where consumers are looking for more affordable sources of protein, is behind the growth.
– In addition, eggs have been trending on social media over the past year, which has increased their popularity, especially among young people, Salmi says and continues:
This photo was taken at Prisma in Viikki at the end of March. Joel Maisalmi
– The availability challenges have become more prominent during the beginning of the year, but since we are talking about fresh products, the situation lives on from week to week.
Koponen and Salmi do not comment on price negotiations with suppliers.
– We cannot make public the details of the contracts between us and our suppliers, such as prices, says Koponen from Kesko.
Salmi from the S group says that discussions are now held exceptionally closely to secure availability.
– We cannot publicly comment on individual purchase prices or contract terms. Due to competition legislation, we cannot comment on future price developments either, says Salmi.
Lidl paid increases
Lidl selection manager Matias Lankinen reveals, however, that action has already been taken on their part.
– We have also paid increases to our suppliers in the last negotiations, Lankinen says.
He believes that this has contributed to the availability of eggs in Lidl stores, even though there may have been temporary product shortages in individual stores.
– We have only had free-range eggs since 2016. Now other chains are also moving to this policy, which may partially affect the availability of free-range eggs. We have distributed the purchase of eggs to several different suppliers, says Lankinen.
The price makes a difference
MTK expert Mari Lukkariniemi does not want to assess whether quickly empty egg shelves are a permanent phenomenon. According to him, the change in the situation requires that the store is ready to pay the market price for the eggs.
– The share of exports has already risen to a quarter, which practically means that there is a scarcity of supply. The motive for exporting is still the same, because the price obtained for eggs abroad is still significantly higher than what the Finnish retail trade is willing to pay, Lukkariniemi explains.
He emphasizes that enough eggs are produced in Finland for the country’s own consumption. Lukkariniemin estimates that the number of chickens will increase even more toward the end of the year.