US Consumers brace for fast rising food prices

[brenda67]

Brenda,

Have you ever use the food grade white buckets, that you can buy or get free from bakeries, delis or fast food places? They are usually 5 gallon, with lid ( not gamma but real darn close on some) !

Actually..yes I did get quite a few free from Samsclub..but they seem to be cheaply made compared to the ones I bought from beprepared.com website..Do you think that the cheaper containers would be just as good? I don't want to take any chances kwim?

[HappyMama]

Actually..yes I did get quite a few free from Samsclub..but they seem to be cheaply made compared to the ones I bought from beprepared.com website..Do you think that the cheaper containers would be just as good? I don't want to take any chances kwim?

Not sure, most I have gotten have been more then fine. I get 50 pound bags of Sugar, Oats, Rice, Wheat berries etc and have had no trouble at all. But I do like the ones you are talking about as well and love the gamma lids.

[rebecca]

I am trying to stock up on flour, sugar and other baking goods since this is the time to get it at a good price. It seems like everytime I go to the grocery store the prices are rising!

[Debbie-cat]

Food prices here have skyrocketed. Spending $100 last year would net me quite a few grocery bags full but this year I am lucky to have 3 bags for $100.

Our turkeys were .37 per pound with no coupon or a set limit to buy first. I picked up 5. With a 10 pound turkey only costing $3.70, I couldn't resist!

Riight now all the baking supplies are on sale here too. I have been stockpiling like crazy. I know they will jump in price after the holiday!

[kyletaylor2024]

One down affect of the Federal Reserve pumping money into the economy is higher commodity prices.

Time to stockpile!!

[frugrrl]

I have seen quite a few increases on various product's that I normally use..I'm stocking up on anything that I know won't go bad and use.. I even noticed medicine has increased by .50 or more in price..I need to purchase some air tight containers w/some oxygen packets to stockup on more sugar( price at SamsClub has increased by $3.00 for the 25lb bag...YIKES) & flour...

I wouldn't use oxygen packets for sugar. I hear it makes the sugar hard as a rock.

[FrugalKate]

Darlene,

Well went right back to Walmart bought the "cheaper" as my friend put it, with a smile on my face and have loved it ever since!! Love , love , love my rival food slicer!

About how much are they selling those for at Walmart? TIA

[HappyMama]

About how much are they selling those for at Walmart? TIA

Not sure what they are selling for now, you could probably look online , they deliver to your house or site to store if not in stock at your Walmart. Mine was about 20.00 at the time I bought it, and paid for itself the first few times I sliced provolone cheese for subs.

[Nishu]

You guys have ruined me for shopping. I used to spend my extra money on books, fast food, toys for the kids... Now I buy food.

I went to the commissary yesterday and I got so many good deals on staples that I just kind of went crazy. A couple weeks ago I got a really good price on a doll that I wanted so I kinda used some of my grocery money. I'd been living out of my pantry ever since so it was starting to look barren. I love the way it looks when it's full.

[HappyMama]

Found this and thought I would post:

Food Prices Rise Sharply
SFGate

Food prices rise sharply - and there's more to come

Food prices rise sharply - and there's more to come

Stacy Finz, Chronicle Staff Writer
San Francisco Chronicle December 16, 2010 04:00 AM Copyright San Francisco Chronicle. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.



Brant Ward / The Chronicle


For the first time since 2008, inflation is hitting consumers in the stomach.

Grocery prices grew by more than 1 1/2 times the overall rate of inflation this year, outpaced only by costs of transportation and medical care, according to numbers released Wednesday by the U.S. Bureau of Labor Statistics.

Economists predict that this is only the beginning. Fueled by the higher costs of wheat, sugar, corn, soybeans and energy, shoppers could see as much as a 4 percent increase at the supermarket checkout next year.

"I noticed just this month that my grocery bill for the same old stuff - cereal, eggs, milk, orange juice, peanut butter, bread - spiked $25," said Sue Perry, deputy editor of ShopSmart magazine, a nonprofit publication from Consumer Reports. "It was a bit of sticker shock."

But it makes sense. Since November 2009, meat, poultry, fish and eggs have surged 5.8 percent in price. Dairy and related products have gone up 3.8 percent; fats and oils, 3 percent; and sugar and sweets, 1.2 percent.

While overall inflation nationwide was 1.1 percent, grocery prices went up 1.7 percent nationally and 1.3 percent in the Bay Area, said Todd Johnson, an economist for the Bureau of Labor Statistics office in San Francisco. "The largest effects on grocery prices here over the last month were tomatoes, followed by eggs, fish and seafood."
Produce steady

Across the country, the price of produce has remained fairly steady. But the U.S. Department of Agriculture predicts that next year the price of fruits and vegetables, like many other food commodities, could go up. The government agency is forecasting a 2 to 3 percent food inflation rate in 2011 - a pace that is not unusual in a rebounding economy.

"We usually err on the conservative side," said Ephraim Leibtag, a senior economist with the USDA, adding that "2011 holds a bit of uncertainty, so I wouldn't be surprised if it goes higher. If it goes to 6 percent, then we should be worried."

Michael Swanson, an agricultural economist at Wells Fargo, said that as long as corn, soybean and energy prices continue to climb, food inflation could reach 4 percent in 2011.

"The USDA always plays it safe," he said, adding that the nation is likely to see the biggest increases since 2008, when the food inflation rate was a record 5.5 percent.

The global demand for corn - used for food and ethanol - has swelled so much that feed costs for farmers and ranchers are being passed on to the consumer, Swanson said.
Gas, diesel play a role

Gas and diesel prices also are playing a role. Wheat costs went through the roof this year when 20 percent of Russia's crop was destroyed by drought and wildfires, causing the country, the third-largest producer in the world, to ban exports of the grain. The price of sugar, also used for ethanol in parts of the world, is priced at a two-decade high.

Kraft Foods Inc., one of the world's largest food producers, has already announced plans to increase its prices because of mounting ingredient costs and flagging sales. General Mills, maker of everything from flour and baking mixes to cereal and Yoplait yogurt, has said it, too, will raise some of its product prices in January. Experts said consumers can expect the same from Kellogg's and Nestle.

The silver lining, Swanson said, is that retailers such as major supermarket chains and big-box stores are likely to push back at wholesalers to keep prices from jumping too much.

"Food is a high-frequency driver," he said. "So if stores like Walmart and Kmart want to get shoppers in the door, it's to their benefit to keep prices low."

E-mail Stacy Finz at sfinz@sfchronicle.com.

This article appeared on page A - 1 of the San Francisco Chronicle