Cage Free Eggs Market Size

Market Size Snapshot

Note – Market size depicts the revenue generated over the financial year

Cage-free eggs will be worth $5.2 billion in 2023, and by 2030 they will be worth $7.2 billion, a CAGR of 5.96%. This growth reflects a major shift in consumers’ preferences for more humane and sustainable food sources, as well as a growing awareness of the health and animal welfare benefits of cage-free egg production. As consumers become more aware of their food choices, the demand for cage-free eggs is expected to rise, further driving the market. There are several reasons for this growth, including technological advances, more efficient supply chains, and a growing number of retailers and food service operators committing to cage-free sourcing policies. Leading companies like Cal-Maine Foods, Eggland’s Best, and Vital Farms are investing in sustainable farming practices and establishing strategic alliances with animal welfare groups. These efforts not only improve the quality of the eggs they produce, but also help meet consumers’ demands for transparency and ethical sourcing.

Regional Market Size

Regional Deep Dive

Cage-free eggs are enjoying significant growth in various regions, driven by rising demand for humane and sustainable food sources. In North America, the market is characterized by a strong focus on animal welfare and a transparency of food supply chains, while in Europe the market is characterized by stringent regulations and a growing trend towards organic and cage-free products. The Asia-Pacific region is experiencing a gradual shift towards new practices, as consumers become more aware of the issues, although many countries are still dominated by old traditions. The Middle East and Africa are beginning to change, as health and food preferences are changing, and the Latin American region is beginning to adopt cage-free production practices, although at a slower pace.

Europe

• The European Union has implemented strict regulations banning conventional battery cages, leading to a rapid increase in the production and consumption of cage-free eggs across member states.
• Innovative farming practices, such as the use of mobile hen houses, are gaining traction in countries like the Netherlands, enhancing animal welfare while improving egg quality and sustainability.

Asia Pacific

• Countries like Japan and Australia are witnessing a rise in consumer demand for cage-free eggs, driven by health trends and increased awareness of animal welfare issues.
• The Australian government has launched initiatives to support the transition to cage-free systems, including funding for farmers to upgrade their facilities and practices.

Latin America

• Brazil is beginning to see a shift towards cage-free egg production, with local producers responding to increasing consumer demand for ethically sourced products.
• Government programs aimed at improving food safety and animal welfare are slowly encouraging the adoption of cage-free practices in several Latin American countries.

North America

• The U.S. has seen a surge in major retailers, such as Walmart and Costco, committing to 100% cage-free egg sourcing by 2025, reflecting a significant shift in consumer expectations and corporate responsibility.
• California's Proposition 12, which mandates cage-free housing for egg-laying hens, has set a precedent for animal welfare legislation, influencing other states to consider similar regulations.

Middle East And Africa

• In the UAE, there is a growing trend towards organic and cage-free egg production, supported by local initiatives aimed at promoting sustainable agriculture and food security.
• South Africa is seeing an increase in local brands, such as Free Range Eggs, that focus on ethical farming practices, catering to a more health-conscious consumer base.

Did You Know?

“In the U.S., nearly 30% of all eggs produced are now cage-free, a significant increase from just 5% a decade ago, reflecting a major shift in consumer preferences towards humane farming practices.” — American Egg Board

Segmental Market Size

Cage-free eggs are gaining ground. People are becoming more interested in animal welfare and sustainable farming practices. These products are driven by growing awareness of the ethical treatment of animals, by regulatory changes promoting humane farming practices, and by a desire for a healthier diet. The European Union’s introduction of cage-free systems has had a significant effect, especially in North America and Europe where consumers are willing to pay a premium for cage-free products. The move to cage-free is well under way. In the United States, Walmart and Costco have pledged to source only cage-free eggs by 2025. Cage-free eggs are finding their way into many products, from bakery goods to breakfast cereals. Cage-free is also gaining momentum from trends such as the focus on sustainable practices and the pandemic, which increased concern about food safety and ethical sourcing. Also, new technologies such as improved farming practices and traceability systems are shaping the industry, ensuring transparency and quality in the supply chain.

Future Outlook

Cage-free eggs market is expected to grow at a CAGR of 5.96% from 2023 to 2030. This growth is driven by the growing preference for ethically derived products and increasing awareness of animal welfare issues. By 2030, it is expected that cage-free eggs will account for around 30% of the total egg market, up from around 20% in 2023. This growth reflects the growing preference of consumers for ethically derived products. The growth is also influenced by the European Union’s ban on the use of battery cages and similar initiatives in North America. As a result of technological advances, the cost of cage-free eggs is expected to decline, which will increase the supply and thus the availability to consumers. Moreover, emerging trends such as sustainable practices in egg production and the rise of plant-based alternatives will also have an impact on the market.