Second Quarter 2008 Food Prices Up Slightly

Arizona, July 8, 2008 – Retail food prices at the supermarket increased in the second quarter of 2008, according to the latest Arizona Farm Bureau Federation Marketbasket Survey. The informal survey shows the total cost of 16 basic grocery items was $54.39, up about 1.6 percent or $.86 from the first quarter of 2008. Comparatively, the American Farm Bureau Federation’s national survey was $46.67, up about 3.5 percent or $1.64 during the quarter.
 
“The encouraging note with Arizona Farm Bureau’s latest quarterly report is it looks like things are leveling off  a bit and this is good news for Arizona families,” says Arizona Farm Bureau President Kevin Rogers.
 
Of the 16 items surveyed in Arizona, eight increased, six decreased and two kept the same average price compared to the 2008 first-quarter survey. The national survey shows 14 items increased and two decreased. Compared to the second quarter of 2007 ($48.62), the overall cost for the Arizona marketbasket items shows an increase of about 12 percent.
 
To access an entire menu focused on those food items down in price and designed around stretching your food dollar, go to www.fillyourplate.org. Look for the “Stretch Your Food Dollar” menu and the additional food savings tips.
 
Two types of cooking oil and bacon showed the largest retail price increases. A 32-oz bottle of vegetable oil was up 71 cents to $3.79, a 32-oz. bottle of corn oil rose 57 cents to $3.94 and one pound of bacon was up 30 cents to $3.99.
 
Other items that increased in price were: Whole fryer chickens and one dozen large eggs were both up 27 cents to $1.72 a pound and $2.99 respectively; a 20-oz loaf of white bread, up 21 cents to $1.66; a pound of apples and a 32-oz jar of mayonnaise were both up 10 cents to $1.72 per pound and $3.82 respectively.     
 
Prices of many food items continue to creep upward, however they pale in comparison to the huge increases in energy costs ??for fuel, natural gas and electricity?? that Arizona families have become accustomed to over the past two or three years.
 
“Every farm product that leaves my farm gate and ends on the consumer’s dinner plate takes energy to produce and distribute,” adds Rogers. “Higher energy costs, including gasoline, diesel and natural gas, are the dominant force driving higher food costs. It takes natural gas to produce the fertilizer I use. It takes diesel and gasoline to produce the crop and transport it from my farm to the market. Agriculture is not a high-profit business. Global market demands and global supplies drive the price farmers and ranchers receive. Looking at the current marketbasket numbers, we hope this smaller increase in prices signals a leveling off of input costs and energy prices because right now fuel prices continue to pound on agriculture.”
 
In Arizona, center cut pork chops showed the greatest decrease in price down 57 cents to $4.72 per pound; ground chuck was down 37 cents to $3.62 a pound; whole milk was down 50 cents a gallon; a 5-pound bag of either russet potatoes or flour, down 10 cents to $2.15 and $3.59 respectively; and a pound of cheddar cheese, down 3 cents to $4.79
 
Prices remained the same on a 9-oz. box of toasted oat cereal at $3.25 and sirloin tip roast at $4.99 a pound. Prices remained steady on beef due to local supply and meat processing here in Arizona.
 
While retail grocery prices have gradually increased, the share of the average food dollar that America’s farm and ranch families receive has dropped over time.
 
“Agriculture is a business we love,” Rogers says. “Despite tight margins, serious labor shortages and the risks associated with non-competitive costs potentially forcing us to export agriculture production to other counties, we keep trying.”
 
 “In the mid-1970s, farmers received about one-third of consumer retail food expenditures on average. That figure has decreased steadily over time and is now just 19 percent, according to Agriculture Department statistics,” explains American Farm Bureau Economist Jim Sartwell.
 
Using the “food at home and away from home” percentage across-the-board, the Arizona farmer’s share of this quarter’s $54.39 marketbasket total would be $10.33.
 
The Farm Bureau Marketbasket Survey is unscientific, but serves as a gauge of actual price trends across the state. Bargain shoppers statewide should find individual items at prices comparable to the Farm Bureau survey averages and certainly cheaper with discounts and in-store specials. Arizona Farm Bureau seeks to identify the best in-store price, excluding promotional coupons and special deals.
 
 
 
 
 
Second quarter-2008
 
 First quarter-2008
 
 
 
Arizona
 National
 
Arizona
National
 
Red Delicious apples
 
 
$ 1.72
 
$1.54         ↑
 
$1.62
 
$1.40
Russet potatoes, 5 lbs
$ 2.15
$ 2.55        ↓
 
$ 2.25
 $2.47
 
 
 
 
 
 
 
 
Ground Chuck, lb.
 
 $ 3.62
 $ 2.85       ↓
 
$ 3.99
 $ 2.73
Sirloin tip roast, lb.
 
 $ 4.99 
 $ 3.84       e
 
$ 4.99
 $ 3.80
Center cut pork chops, lb.
 $ 4.72 
 $ 3.40       ↓
 
$ 5.29
 $ 3.31
Bacon, lb.
 
 
 $ 3.99 
 $ 3.57       ↑
 
$ 3.69
 $ 3.35
Whole fryers, lb.
 
 $ 1.72
 $ 1.47       ↑
 
$ 1.45
 $ 1.37
 
 
 
 
 
 
 
 
Whole milk, gallon
 
 $ 3.65 
 $ 3.88        ↓
 
$ 4.15
 $ 3.81
Mild cheddar cheese, lb.
 $ 4.79 
 $ 4.60        ↓
 
$ 4.82
 $ 4.71
Eggs, one dozen large, Grade A
 $ 2.99 
 $ 1.82        ↑
 
$ 2.72
 $ 2.16
 
 
 
 
 
 
 
 
All-purpose flour, 5 lbs.
 $ 3.59 
 $ 2.57        ↓
 
 $ 3.69                                  
 $ 2.39
Mazola corn oil, 32 oz.
 $ 3.94 
 $ 3.48        ↑
 
 $ 3.37
 $ 3.01
Crisco vegetable oil, 32 oz.
 $ 3.79
 $ 3.01        ↑
 
 $ 3.08
 $ 2.63
Kraft mayonnaise, 32 oz.
 $ 3.82
 $ 3.19        ↑
 
 $ 3.72
 $ 3.14
 
 
 
 
 
 
 
 
Cheerios, 10-oz. Box
 
 $ 3.25
 $ 2.98        e
 
 $ 3.25
 $ 2.97
White bread, 20-oz. Loaf
 $ 1.66
 $ 1.90        ↑
 
 $ 1.45
 $ 1.78
 
Arizona price key: ↑ up; ↓ down; e even
 
Arizona Farm Bureau Money Saving Tips to Stretch your Food Dollars        
  • Make a menu and then make a list.
  • Go back to basics with your food items. The less processed foods, the more food value obtained (Today, a 10-oz. box of corn flakes only has five to seven cents worth of actual corn in the ceral while the box containing the corn flakes is actually more expensive).
  • Never shop hungry.
  • Have a plan and make fewer trips to the store.
  • Buy generic or store brand products.
  • Clip and use coupons.
  • Buy in bulk whenever possible.
  • Watch for sales.
  • Buy fresh items and less processed items.
  • Shop Alone.
 
 
Stretch Your Food Dollar Menu II
Arizona Farm Bureau put together a menu to help you stretch your food dollar by utilizing items that have gone down in price. This quarter’s items down in price are potatoes, ground chuck, pork chops, milk, cheddar cheese and flour. Items unchanged are sirloin tip roast and a box of cheerios. Arizona Farm Bureau recommends stocking up on meat items as they are ideally priced in the midst of rising prices in so many other areas of our daily lives. To obtain actual recipes for the “Stretch Your Food Dollar Menu II” go to www.fillyourplate.org.

 
Menu for the Week:
Sunday:                 Center Cut Pork Chops & Rice
                                Green salad with tomatoes, carrots
                                Apple Sauce
                                Milk
 
Monday:                Tangy Beef Lettuce Wraps 
                                Kernel Corn
                                Milk
                                Watermelon
 
Tuesday:                                Cheesy Pork & Rice Casserole
                                 (use leftover pork chops)
                                Green Beans
                                Milk
 
Wednesday:           Chili & Corn Bread (leftover ground beef & corn)
                                Iced Tea
 
                               
 
Thursday:              Ultimate Baked Potatoes
                                (Top with leftover chili, cheese, tomatoes,                                            lettuce)
                                Tossed greens with sliced apples
               
Friday:                   Fiesta Taco Pizza with homemade crust
                                (Use leftover ground beef, lettuce, corn,                                                 tomatoes, and cheese)
                                Fire & Ice Watermelon salsa
                                Milk
                               
Saturday:               Beef Roast with Vegetables
Left over onions, carrots, potatoes, green beans
                                Apple sauce
                                Milk
                               
 
              

Shopping List
 
 
Dry goods
2 cans refried beans
1 box of Jiffy® cornbread mix
1 can red kidney beans
1 can petite diced tomatoes
2 small cans tomato sauce
Long Grain White Rice
Meats:
Center cut pork chops - 8 or more
3 lbs. ground chuck – separate after purchase
3 lbs. sirloin tip roast
 
Produce:
2-3Jalapenos or jarred jalapenos
2-3 large tomatoes
2 types lettuce (Romaine, Iceberg)                       
1-2 yellow onions
2-3 bunches green onions
1 lb. bag of carrots
5 lb. bag Russett potatoes
1 large watermelon
1 -2 lbs green beans (unless you prefer canned)
1 lemon, 2 limes
1 bunch cilantro
 
Misc.
Hoisin Sauce (Asian Cooking sauce)
Burgundy (Red cooking wine)
 
Dairy:
1 dozen eggs
1 container sour cream
2 gallons milk
1 block mild cheddar cheese
1 package butter
 
Pantry items you might have on hand:
Chili powder                             Sugar
Taco seasoning             Cinnamon
White Flour                              Salad Dressing
Butter                                        Cream of Tartar                      
Salsa                                        Baking Powder
Brown Sugar                White Bread
Cooking oil                               Salt
Soy Sauce                                Hoisin Sauce
2 can green beans        Long Grain White Rice
2 cans kernel corn       Cinnamon Sticks
Garlic salt                                 Burgundy
Beef Bouillon Cube       Bay Leaf
 
About Arizona Farm Bureau
Arizona Farm Bureau began a quarterly market basket starting the fourth quarter of 2006. The Arizona Farm Bureau is a grassroots organization dedicated to preserving and improving the Agriculture industry through member involvement in education, political activities, programs and services. Go to www.azfb.org to learn more. As a member services organization, individuals can become a member by contacting the Farm Bureau. For information on member benefits call 480.635.3606.