With soaring demand for meat, dairy and lettuce, your Fourth of July BBQ this weekend will probably be the most expensive it’s ever been.
According to Bloomberg’s “Chart of the Day” the popular fourth of July food prices rose 5.1 percent over a year. The foods tracked in the index were ground beef, white bread, American cheese, iceberg lettuce, tomatoes, ice cream and potato chips, and Bloomberg says the 16 percent spike in ground beef prices is largely due decreasing cattle numbers. The article also indicates that the 12 percent spike in tomato prices might be attributed to by California’s severe drought.
Rabobank’s annual “BBQ Index” says the average 10-person BBQ this year will cost $67. On average, the largest spikes are in beef (up by $1.18), tomatoes (up $0.21), and cheese (up $0.29). The index also says that 20 top-selling craft beers have also increased by an average of 10 percent over the last five years. The only things cheaper this year are soda and chips, according to Rabobank. (See the infographic below!)
“While commodity price fluctuations are not always passed on to retail prices, American consumers will feel some significant market changes this Fourth of July,” said Bill Cordingley, head of food and agribusiness research at Rabobank, to the LA Times.
But Don Close, a vice president for animal protein at Rabobank Food and Agriculture Research and Advisory in St. Louis, told Bloomberg that consumers are getting used to the prices. “I would expect the overall grilling demand to be very good,” he said. “The natural long weekend will be a benefit…. Do we expect there to be some trade-offs and some adjustments made on the behalf of some consumers? No doubt that’s going to happen. Overall, I think they’re ready to take the plunge and say, ‘Let’s go enjoy the holiday.’”
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FEATURED PHOTO: H. Michael Karshis/Flickr