Jul 21, 2025
Have you noticed your grocery bill taking a bigger bite out of your wallet lately? You’re not alone! As a family who loves our chicken dinners, I’ve been shocked by the price tags on those once-affordable packages of poultry. It’s enough to make anyone squawk!
It could be a result of rising feed costs, the lingering effects of bird flu on the supply chain, or that more drastic increases in beef prices are driving a surge in chicken demand. But the reality is more complicated than any single factor.
Let’s dive into the real reasons chicken prices are soaring and what it means for your dinner table and wallet.
The Perfect Storm: Multiple Factors Driving Chicken Prices Through the Roof
The days of cheap chicken seem to be behind us at least for now. When I talked to my local butcher last week he confirmed what many of us have suspected – we’re dealing with a complex web of issues affecting poultry prices.
Supply and Demand Imbalance
Remember basic economics class? Well, it’s playing out in real time at your grocery store.
- Restaurant Recovery: As people return to restaurants post-pandemic, demand for certain chicken cuts (especially breasts) has exploded
- Health-Conscious Consumers: More folks choosing chicken as a “healthier” protein option
- Fast Food Frenzy: The chicken sandwich wars have restaurants competing for limited supplies
According to David Anderson, an economist at Texas A&M AgriLife Extension, “There is plenty of chicken, but we are seeing restaurants that aren’t getting as much supply as they want to get. There is only so much of certain cuts that can be used for chicken biscuits and sandwiches, which are very popular right now, and they’re all made from chicken breasts.”
Production Challenges Galore
The chicken industry hasn’t been able to ramp up production fast enough to meet this surge in demand Why? Several reasons
- Labor Shortages: Processing plants struggling to find enough workers
- Supply Chain Disruptions: Ongoing issues affecting everything from packaging to transportation
- Feed Costs: Corn and soybean prices remain high, increasing production expenses
- Cold Storage Deficit: Chicken supplies in cold storage down about 20 million pounds compared to previous years
The Bird Flu Factor: Different Impact on Eggs vs. Chicken Meat
Something interesting is happening with bird flu. While egg prices have absolutely skyrocketed (up more than 53% from last year according to the Labor Department), chicken meat prices haven’t been impacted nearly as dramatically by the avian influenza outbreak.
This difference comes down to:
- Separate Industries: Egg-laying hens and meat chickens (broilers) are raised in completely different systems
- Lifecycle Differences: Broilers have shorter lives (about 2 months) before processing, while egg layers live much longer
- Housing Variations: Egg layers typically live in larger flocks, meaning more birds are affected when an outbreak occurs
- Geographic Separation: Major broiler production concentrated in Southeast, which has been less affected by recent outbreaks
As Anderson puts it: “The thing is that chickens just have two legs, two breasts, two thighs and two wings. It just takes time to produce more chicken.”
Post-Pandemic Production Shifts
Craig Coufal, another poultry specialist at AgriLife Extension, explains that during the pandemic, producers shifted to raising smaller birds for grocery stores. Now they need to transition back to larger birds for restaurant supply.
“The birds that were raised during the pandemic were made smaller so that they would fit in grocery stores,” Coufal said. “The birds that meet the demand for chicken strips and sandwiches and processed nuggets are much bigger, and it can take some time to shift production. It will happen, but it may take some time.”
Wholesale Prices Tell the Story
The numbers don’t lie. Wholesale boneless, skinless chicken breasts were $1.91 per pound compared to just 93 cents per pound last year! Between 2015 and 2019, those cuts averaged around $1.18 per pound wholesale.
By 2025, some sources report wholesale boneless, skinless chicken breasts hitting $2.75 per pound – a full dollar higher than the previous year.
Regional Weather Events Adding to the Problem
On top of everything else, we’ve seen how weather can mess with production:
- Hurricanes: Forcing facilities to close and damaging transportation infrastructure
- Drought: Affecting corn and soybean crops used for chicken feed
- Winter Storms: Paralyzing transportation networks needed to move poultry products
What Can You Do About Rising Chicken Prices?
As someone who loves cooking for my family but also needs to watch the budget, I’ve found a few ways to cope with these higher prices:
1. Get Strategic With Your Shopping
- Buy whole chickens and break them down yourself (WAY cheaper per pound!)
- Look for sales and stock up when prices drop temporarily
- Consider less popular cuts like thighs and drumsticks (which are often cheaper than breasts)
2. Stretch Your Chicken Further
- Use chicken as a component rather than the main attraction (think stir-fries, casseroles)
- Make chicken stock from bones and scraps to get more value
- Freeze leftover cooked chicken for quick meal additions later
3. Explore Alternative Proteins
- Try incorporating more plant-based proteins like beans and lentils
- Look at eggs (despite their own price increases, still protein-rich)
- Consider less expensive cuts of other meats when they’re on sale
When Will Prices Come Down?
Unfortunately, experts aren’t predicting major relief anytime soon. The USDA actually forecasts chicken prices to continue rising by about 20% in 2025.
However, there is a glimmer of hope. Anderson noted that the volatility of the poultry market means prices could potentially drop quickly if bird flu outbreaks subside and production catches up with demand.
“For lower prices, all we need is some time and the disease to quit happening,” Anderson said.
The Bigger Picture: Global Factors at Play
We can’t ignore how global events are affecting our chicken prices too:
- Ukraine Conflict: Disrupting global grain supplies used for chicken feed
- Fuel Price Volatility: Affecting transportation costs throughout the supply chain
- Packaging Costs: Rising prices for cardboard, plastic, and other materials
- Climate Change: Increasing frequency of extreme weather events that disrupt production
Final Thoughts
As frustrating as higher chicken prices are, understanding why they’re happening helps us make better decisions at the grocery store. The poultry industry is working to catch up with demand, but it’s not an overnight fix.
In the meantime, we’ll keep looking for sales, trying new recipes with cheaper cuts, and dreaming of the day when affordable chicken returns to our dinner tables!
Have you found any good ways to save on chicken lately? I’d love to hear your strategies in the comments below!
FAQ: Why Are Chicken Prices So High?
Q: Why is chicken getting so expensive?
A: Chicken prices are increasing due to reduced production, supply chain problems, labor shortages, and higher feed costs.
Q: Is there a chicken shortage?
A: Not exactly a shortage, but labor issues in processing plants and increased demand from reopening restaurants have created supply constraints, especially for popular cuts like chicken breasts.
Q: When will chicken prices go back to normal?
A: The USDA predicts prices will continue rising by about 20% in 2025, but prices could potentially drop if bird flu outbreaks subside and production increases.
Q: Why haven’t chicken prices been affected by bird flu as much as egg prices?
A: Broiler chickens (raised for meat) have shorter lifecycles and are housed differently than egg-laying hens, making them less susceptible to widespread outbreaks.
Remember to check our weekly specials for the best deals on chicken and other proteins to help you manage these challenging food costs!
