Trenton, NJ – The U.S. Department of Justice has filed a federal antitrust lawsuit accusing three of the nation’s largest egg producers of coordinating bidding practices that allegedly drove up egg prices nationwide, a move officials say affected consumers in New Jersey and across the United States.
The lawsuit, filed in federal court in Iowa, is accompanied by proposed settlements that would prohibit the companies from engaging in the alleged conduct if approved by a judge. Federal officials say the agreements are designed to restore competition and help keep future egg prices in check.
How the alleged scheme affected New Jersey
According to the complaint, Cal-Maine Foods, Hickman’s Egg Ranch, and Versova Holdings manipulated benchmark prices published by Urner Barry, a pricing service widely used by grocery stores, wholesalers, and restaurants to determine egg costs.
Because those benchmark prices influence wholesale egg prices nationwide, the Justice Department alleges shoppers in New Jersey may have paid more for eggs at supermarkets, diners, bakeries, and other food businesses during the period covered by the investigation.
Officials allege the companies coordinated bids, submitted offers unlikely to result in actual sales, and timed transactions to influence the benchmark price rather than reflect normal market conditions.
Prices fell after investigation began
The Justice Department said benchmark egg prices declined significantly after the companies learned of the federal investigation in March 2025 and were instructed to preserve records.
“No product more quintessentially represents affordability than the price Americans pay for eggs,” Associate Attorney General Stanley Woodward said. “These actions prove this Department’s continued commitment to protecting competition and providing real relief for everyday Americans’ pocketbooks.”
If approved by the court, the settlements would prohibit the companies from coordinating bidding strategies or sharing sensitive pricing information with competitors. The agreements would also require antitrust compliance programs and increased oversight of industry meetings.
New Jersey was not among the 17 states that joined the lawsuit, but because egg prices are largely determined through national wholesale markets, any manipulation of benchmark pricing can affect consumers regardless of where they live.
Key Points
- The Justice Department alleges three major egg producers coordinated bidding to artificially inflate nationwide egg prices.
- New Jersey consumers may have paid higher prices because the benchmark influenced grocery stores and restaurants across the country.
- If approved, the settlements would ban the alleged practices and impose new antitrust compliance requirements on the companies.
