DOJ targets egg producers in price-fixing probe
Cal-Maine shares fall as antitrust suit looms
20 April 2026
1 minute read
By: The US Justice Department is preparing an antitrust suit against a few major egg producers, including Cal-Maine Foods and Versova, over alleged price coordination, Reuters reported, citing the Wall Street Journal on Friday. WSJ cited people familiar with the matter.
Shares of Cal-Maine Foods were down nearly 3% in extended trading following the news.
US egg producers have been facing a growing wave of class action lawsuits accusing them of price-fixing amid consumer frustration over higher prices of food products, including eggs.
The cost of eggs in the US has been skyrocketing in recent years after bird-flu outbreaks wiped out millions of laying hens, triggering widespread supply shortages.
Additionally, US producer prices rose to a seven-month high in February, driven by higher service and goods costs, with further pressure likely from rising oil prices and the persistent pass-through from tariffs.
According to the Producer Price Index report, US producer goods prices were up 1.1% in February, with egg prices rebounding 93.6% after crashing 63.9% in January, when the Trump administration rolled back some tariffs.
Last year, Cal-Maine said it was cooperating with a US Justice Department investigation into potential price-fixing by egg producers, after a civil investigative demand, adding that the scope, duration and outcome of the probe were uncertain.
Cal-Maine and privately held Versova did not immediately respond to Reuters' requests for comment.
The lawsuit claims the egg producers coordinated using an industry price-benchmarking service, according to the report.
Friday's report said the agency and the egg producers could still reach a settlement to avoid litigation.
The Justice Department is also separately investigating the markets for beef, fertiliser and crop seeds, the report added.
