Drought hits consumers' food budget

Saturday, November 3, 2012

According to an estimate that The Food Institute announced in early September, the drought in the American Midwest will cost an American family of four just over US$351 in added food costs in the coming year, or about $6.75 a week. The Food Institute apportions one third of this to increased beef costs. Fresh produce will cost an additional $23.50 a year next year. Extra spending on meats will cost an additional US$44 over all of next year for a family of four, or $30 for a family of two.

The organization calculates these costs based upon the U.S. Department of Agriculture's latest food price projections, which include reports that prices for food eaten at home will increase by four per cent next year. Food eaten away from home will rise by up to 3.5 per cent.

The Food Institute is based in Upper Saddle River, N.J.  BF