Rising Food Prices Prompting Consumer Stockpiling
Consumers are stockpiling foods as prices continue to rise. Published reports have cited ten box purchases of breakfast cereals and hundred dollar single purchases of canned soups and frozen vegetables when on sale. Another practice last seen in the 1970s, finds whole neighborhoods pooling money to make bulk purchases of meats and then sharing the cost of storage.
At the root of these purchase behaviors is the fast rising prices of food not only in the U.S., but also worldwide. Prices are expected to continue rising for the foreseeable future. See chart:
| The Rising Cost of Food | ||
| Staple | Increase 2005-2007 | Expected Increase 2008 |
| Meats | 6.0% | 1.5% - 2.5% |
| Poultry | 3.3% | 2.5% - 3.5% |
| Fish & Seafood | 9.5% | 3.0% - 4.0% |
| Eggs | 35.5% | 3.0% - 4.0% |
| Dairy Products | 6.8% | 3.0% - 4.0% |
| Fats & Oils | 3.1% | 8.0% - 9.0% |
| Fruits & Vegetables | 8.8% | 3.0% - 4.0% |
| Sugars & Sweets | 7.0% | 3.0% - 4.0% |
| Cereal & Baked Goods | 6.3% | 7.5% - 8.5% |
| Nonacoholic Beverages | 6.3% | 3.5% - 4.5% |
