We’re seeing lower food prices at the grocery store than we did a year ago this time, according to a new survey just released from the American Farm Bureau Federation.
Lower retail prices for several foods, including whole milk, cheddar cheese, bacon and apples resulted in a slight decrease in the 2015 Fall Harvest Market Basket Survey.
The informal survey shows the total cost of 16 food items that can be used to prepare one or more meals was $54.14, down $.12 or less than 1 percent compared to a survey conducted a year ago. Of the 16 items surveyed, 10 decreased and six increase
d in average price. Higher milk and pork production this year has contributed to the decrease in prices on some key foods.
“Energy prices, which affect everything in the marketbasket, have been quite a bit lower compared to a year ago. Processing, packaging, transportation and retail operations are all fairly energy-intensive,” said John Anderson, AFBF’s deputy chief economist. Lower energy prices account for much of the modest decrease in the market basket.
According to the survey, milk prices are down 17%, bacon is down 11%, apples are seven percent lower than a year ago, and cheese is down five percent. On the other hand, egg prices are dramatically higher compared to 2014, up 56%. Orange juice and ground chuck are up seven and six percent, respectively.
“As expected we saw higher egg prices because we lost so much production earlier this year due to the avian influenza situation in Iowa, Minnesota and some other Midwestern states,” Anderson said.
Price checks of alternative milk and egg choices not included in the overall marketbasket survey average revealed the following: 1/2 gallon regular milk, $2.21; 1/2 gallon organic milk, $4.79; and one dozen “cage-free” eggs, $4.16.