USDA awards $45K contract for eggs to Cal-Maine Foods, Inc. under full and open competition

Contract Overview

Contract Amount: $45,000 ($45.0K)

Contractor: Cal-Maine Foods, Inc

Awarding Agency: Department of Agriculture

Start Date: 2026-04-09

End Date: 2026-05-15

Contract Duration: 36 days

Daily Burn Rate: $1.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: COMMODITIES FOR USG FOOD DONATIONS: 2000011223/4100033973/EGGS 15 DOZEN

Place of Performance

Location: LULING, CALDWELL County, TEXAS, 78648

State: Texas Government Spending

Plain-Language Summary

Department of Agriculture obligated $44,999.7 to CAL-MAINE FOODS, INC for work described as: COMMODITIES FOR USG FOOD DONATIONS: 2000011223/4100033973/EGGS 15 DOZEN Key points: 1. Contract awarded to a single, established supplier of eggs. 2. The contract value is relatively small, suggesting a localized or specific need. 3. Risk appears low due to the commodity nature of the product and established supplier. 4. Spending falls within the 'Food Manufacturing' sector.

Value Assessment

Rating: good

The contract value of $44,999.70 for 15 dozen eggs appears reasonable given market prices for bulk egg purchases. Without specific per-unit cost data, a direct comparison is difficult, but the total amount suggests a standard procurement for a perishable commodity.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives fair market value.

Taxpayer Impact: The taxpayer impact is minimal, given the relatively small contract value of under $45,000 for a necessary commodity.

Public Impact

Ensures availability of essential food items for government programs. Supports domestic food supply chains and agricultural producers. Provides a consistent source of a perishable commodity for donation purposes.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price fluctuations in perishable goods.
Logistical challenges in distribution of donated food.

Positive Signals

Supports food security initiatives.
Utilizes a competitive bidding process.
Procurement from an established industry leader.

Sector Analysis

This contract falls under the 'All Other Miscellaneous Food Manufacturing' sector, specifically for commodity food items. The value is modest compared to larger food production contracts, indicating a focused procurement for donation purposes.

Small Business Impact

While this contract was awarded under full and open competition, there is no specific indication that small businesses participated or benefited directly from this particular award. The supplier, Cal-Maine Foods, Inc., is a large corporation.

Oversight & Accountability

The contract is managed by the Department of Agriculture's Agricultural Marketing Service. Standard oversight for definitive contracts would apply, ensuring delivery and quality standards are met within the specified timeframe.

Related Government Programs

All Other Miscellaneous Food Manufacturing
Department of Agriculture Contracting
Agricultural Marketing Service Programs

Risk Flags

Perishability of goods.
Potential for price volatility.
Limited scope of the commodity.
Lack of small business participation noted.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $44,999.7 to CAL-MAINE FOODS, INC. COMMODITIES FOR USG FOOD DONATIONS: 2000011223/4100033973/EGGS 15 DOZEN

Who is the contractor on this award?

The obligated recipient is CAL-MAINE FOODS, INC.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Agricultural Marketing Service).

What is the total obligated amount?

The obligated amount is $44,999.7.

What is the period of performance?

Start: 2026-04-09. End: 2026-05-15.

What is the specific intended use or recipient of these donated eggs?

The data indicates the eggs are for 'USG FOOD DONATIONS,' suggesting they will be distributed through government-sponsored programs aimed at alleviating food insecurity. The exact recipient agency or program is not specified in this data, but it aligns with the USDA's mission to support nutritional assistance.

What are the potential risks associated with procuring perishable goods like eggs?

The primary risks involve spoilage during transit or storage, leading to waste and potential health hazards. Price volatility in the egg market can also impact the long-term cost-effectiveness if the contract were extended. Ensuring proper handling and timely delivery is crucial.

How does this contract contribute to the overall effectiveness of food donation programs?

By securing a reliable supply of a key protein source like eggs, this contract directly supports the operational effectiveness of food donation programs. It ensures that beneficiaries receive nutritious food items, contributing to improved food security and public health outcomes.

Industry Classification

NAICS: Manufacturing › Other Food Manufacturing › All Other Miscellaneous Food Manufacturing

Product/Service Code: SUBSISTENCE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: 123J1426B0181

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1052 HIGHLAND COLONY PKWY STE 200, RIDGELAND, MS, 39157

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $45,000

Exercised Options: $45,000

Current Obligation: $45,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline