US egg producers move toward settlement in price coordination investigation | Food Business Middle East & Africa - No.1 Food & Beverage Formulation, Processing & Packaging Publication
US egg producers are nearing a settlement with the DOJ over alleged price coordination, facing penalties and egg donations.Summary
Major US egg producers Cal-Maine Foods, Hickman's Egg Ranch, and Versova are nearing a settlement with the US Department of Justice over allegations that they coordinated egg prices through an industry benchmarking system. Under the proposed agreement, each company would pay civil penalties worth several million dollars, collectively donate more than 50 million eggs, and cease sharing pricing data and other commercially sensitive information with competitors. The settlement follows a DOJ lawsuit filed in April, which accused the firms of violating competition laws, and comes amid numerous class-action price-fixing suits and heightened scrutiny after avian influenza outbreaks reduced hen flocks and drove up egg prices. The United States produces over 100 billion eggs annually, with Iowa, Ohio, Indiana, Pennsylvania, and Texas supplying nearly half of the nation's output.
(Source：Foodbusinessmea)