Supervalu Transitioning To Cage Free Eggs By 2025 (NYSE:SVU)
Supervalu is now the latest grocery chain to announce a transition to cage free eggs in the coming years. The company said that it would be selling all cage free eggs under its grocery retail banners by 2025. Supervalu has a network of 3,407 stores across the United States, including 1,871 independent stores, 1,336 Save-A-Lot stores, and 200 traditional retail grocery stores. Supervalu will share annual updates on its progress during the transition.
In August 2015, Supervalu announced that all of its Wild Harvest shell egg products would be cage free by the end of last year. Today, the Wild Harvest brand sells only 100 percent cage free eggs. Currently, cage free eggs account for nearly 12 percent of Supervalu’s total grocery retail egg sales.
Supervalu is one of the largest grocery wholesalers and retailers in the U.S., with annual sales of approximately $18 billion. Headquartered in Minnesota, the company has approximately 40,000 employees in the U.S.
The cage free egg movement has won over many converts in the past few years. Many restaurants, grocery companies, food makers, and egg suppliers are switching to meet the trend. Earlier this month, Albertsons and Kroger both announced that they would be transitioning to cage free eggs by 2025. Trader Joe’s, Safeway and Sprouts Farmers Market have already joined the movement.
It will take time for these companies to transition to 100 percent cage free eggs because there are only a limited supply available today. Albertsons, Kroger and Supervalu combined operate just over 9,000 stores. The increased demand is causing the market to transition quickly. Some of the companies are saying that the transition many be completed sooner based on available supply, affordability and customer demand.