The UK grocery retail sector is undergoing significant changes as the deadline for retailers’ cage-free egg commitments approaches. With just under twelve months remaining until the 2025 target, supermarkets are racing to transition to non-caged eggs, reflecting both market demands and welfare concerns. According to Poultry News, the current landscape shows that while some retailers have completed their transitions, others are still working towards these goals.

Aldi spearheaded the movement earlier this summer, achieving its 100% cage-free status more than a year ahead of schedule. This accomplishment aligns with similar dedications made by other grocery giants such as Sainsbury's, Waitrose, and M&S. Conversely, Tesco, Lidl, and Asda remain committed to transitioning fully to cage-free options in both shell eggs and ingredients by 2025, albeit with varying degrees of progress.

Industry figures indicate that the shift is substantial, with Defra reporting that barn egg production more than doubled from 2022 to 2023, reaching 121 million dozen. Meanwhile, enriched cage production has seen a nearly 50% decline over the past five years, now at 213 million dozen. Free-range eggs account for the largest segment, comprising 555 million dozen.

Concerns are surfacing regarding whether retailers will fulfil their commitments amid rising consumer demand for eggs. Lidl recently modified its strategy, proclaiming plans to source from a new UK facility by Griffiths Family Farms, based on the Dutch Kipster model, aimed at offering higher-welfare eggs. In parallel, Morrisons, which switched to 100% free-range eggs in 2022, asserts it will achieve full cage-free status in other product ingredients and processing by the 2025 deadline. However, questions have been raised about the implications of Morrisons' rapid shift on its overall market performance.

Industry experts also express apprehensions that the accelerated transition may lead to increased imports as local producers struggle to meet growing demand. A source within the egg industry noted, “Morrisons went really quickly, and anyone can look at their data and see they have struggled since they went free-range only," highlighting the challenges in balancing supply and demand for essential food products.

The issue of affordability is a significant consideration. A commentator, wishing to remain anonymous, highlighted the predicament faced by lower-income consumers. They noted that while cage-free commitments were made by the industry, the implications on pricing and accessibility for consumers who rely on cheaper options were not adequately addressed.

In 2024, official data indicates that farmgate egg prices surged by 5.4% to an average of 146p per dozen compared to the previous year, reflecting broader trends in production costs. Industry figures from the previous year depicted an astronomical rise in prices, with organic eggs reaching 229.6p per dozen.

While numerous companies have pledged to meet the 2025 target, the Compassion in World Farming (CIWF) has kept a close watch on compliance with the help of its publicly visible EggTrack tool. Almost half of the 40 reporting companies have been classified as 'leaders', including major retailers like Burger King, Greggs, McDonald's, and The Co-op. Seven additional companies, including Booker and Tesco, have been identified as 'on track' to achieve full compliance.

However, notable concerns linger regarding those identified as 'at risk' of not meeting their commitments, such as Asda and Morrisons. The CIWF report also highlighted three companies that have either lagged behind or have not provided adequate reporting on their progress.

The UK's shift to cage-free practices places it ahead of several EU nations, with 77% of the egg market transitioning, compared to France's 70%, Italy's 66%, and even lower figures from Spain and Poland.

As 2025 looms, animal welfare groups continue to advocate for legislative backing to reinforce these changes, pushing the government to impose a ban on new cage systems and a phased ban on existing cages for egg-laying hens by the end of the current Parliament. The CIWF’s Anthony Field notes, “It’s clear that the public and industry are in support of a ban on the use of cages for egg-laying hens, but the government is lagging behind.”

The evolving dynamic in the UK egg production industry signifies a significant shift towards higher welfare standards and, as deadlines approach, the focus will intensify on whether retailers can meet their commitments while managing market demands.

Aldi won Silver for their Specially Selected Golden Yolk Eggs in the 2024 Qs. Discover the full list of winners here: 2024 Quality Food Awards Winners.