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McDonald’s Is Switching to Cage-Free Eggs

Published on Sep 10 2015 11:01 AM in Restaurant tagged: McDonald's / Eggs / U.S.

McDonald’s Is Switching to Cage-Free Eggs

McDonald’s, will switch to serving only cage-free eggs at its almost 16,000 restaurants in the US and Canada in the next decade, a bid to appeal to diners concerned about the origins of their food.

The company buys about two billion eggs each year for its U. restaurants and 120 million for its Canadian locations, McDonald’s said in a statement Wednesday.

Chief Executive Officer Steve Easterbrook, trying to snap McDonald’s prolonged sales slump, has sought to win back consumers that have fled to rivals like Chipotle Mexican Grill in search of food that’s seen as healthier and more naturally produced. The egg switch also comes as McDonald’sprepares to start serving breakfast all day at its US locations next month, a move that risks exacerbating an egg shortage.

"Animal welfare has always been important to us and our customers," Marion Gross, chief supply chain officer for McDonald’s North America, said in the statement. "This is a bold move, and we’re confident in our ability to provide a quality, safe and consistent supply."

McDonald’s said earlier this year that it would stop serving chicken raised with some antibiotics in the US by early 2017. The company said it has been buying about 13 million cage-free eggs each year in the US since 2011.

McDonald’s will have to pay five per cent to 10 percent more for cage-free eggs and may have to raise menu prices, said Tom Elam, president of agriculture consultant FarmEcon LLC in Carmel, Indiana.

"We’re not anticipating a price change to menu items," said Lisa McComb, a McDonald’sspokeswoman. "There’s a premium today for cage-free eggs, but over the course of the 10 years we hope to be able to mitigate the pricing."

News by Bloomberg, edited by ESM. To subscribe to ESM: The European Supermarket Magazine, click here.

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