reply to post by getreadyalready
Things have not been looking very good over the past few weeks, and expect a continuing rise.
As the Coffee thread noted, weather is playing a big part in the crop supply and that is carrying over into much of the fruits and veggies we buy at
market. Have you noticed that cantaloupes, honeydews, many varieties of lettuce and berries have a much shorter shelf life than they did in the spring
and summer? That is due to lower-quality crops in Mexico and California. High-quality products are either in short supply or non-existent.
Coffee itself has been on a steady rise for some time now, but it is trending even higher as crops are being destroyed or producing smaller yields. I
see coffee becoming a big problem and we will eventually see "Starbucks-like" prices for a cup of black, regular Columbian coffee.
Grain and meat prices are interchangeable. The price of feed grain is and has been rising, which carried over into increased costs for
farmers/ranchers. Of course, this cost will be pushed onto the consumer whom will pay higher prices at the deli and meat counter. This time of year we
usually see Choice products fall a bit in price due to high-supply, and Select product climb in price due to a shorter supply. This year we may see a
reversal in that trend because many producers are using lower-quality grains and feeds and this effects the quality of meat. So, in essence, the
prices will be rising but the quality of cuts will be going down.
Another product that needs attention is oils. Shortening and fryer oils are an integral part of the food industry. Many food service distributors are
trying to buy these oils by the multi-truck load in an attempt to get ahead of the upward trend, but the prices are creeping up fast enough that the
savings are small. I, myself, just purchased over 2000 gallons of oil to get past the holiday/New Year season, yet I only saved a small amount
compared to similar purchases in the past. Purchasers cannot seal the deals before the prices rise. That's how fast this market is moving.
Lastly, many food service distributors have been cutting back on their truck fleets due to fuel and maintenance problems. For example, one of my
vendors used to use 12 trucks in my area to distribute food to local business' and markets. Now they have cut it down to 8, loading the trucks
heavier, and have began to charge a delivery fee to cover the costs of fuel. Which, in turn, raises the price of the food we buy.
In the end, we are witnessing the gradual increase in all sectors of the food market and it is not tied to the speculation market at all. Demand is
high, supply is lower than normal, so the cost is increasing.
Best thing to do would be to fill up the deep-freeze and pantry. This winter will be a rough time as crops in Mexico, California and other states are
not expected to recoup until at least the spring harvest season. Even South America has seen crop issues, and they have historically been our "backup"
to keep the supply steady and prices somewhat level.
Buy smart, buy local and buy in bulk. That's about the best thing we can do.
reply to post by camaro68ss
Once Micky Dees no longer has a dollar menu, its all over
It should have been gone a long time ago. Once the dam breaks......we will see prices rise to it's true level. They will not be able to maintain a
dollar menu and make a profit.
edit on 28-11-2011 by sheepslayer247 because: (no reason given)