Omaha Steaks President and CEO Discusses Meat Prices Amidst Soaring Grocery Costs
Soaring grocery prices have taken a toll on American consumers, with some food prices continuing to soar. According to Nich Tremper, senior economist at Gusto, food prices, particularly breakfast staples, saw significant increases in 2024. Factors contributing to these price hikes include severe weather, illness, and state-based regulations.
The price of eggs jumped 8.2% in November, with a dozen eggs now costing $5.77, a 146.6% increase from 2023. This surge is attributed to seasonal price increases during the holidays and disruptions in egg supply due to bird flu. Professor Sylvain Charlebois, director of the agri-food analytics lab at Dalhousie University, notes that rising feed costs and labor shortages in the agricultural sector have further driven up production and retail costs.
Coffee prices have also risen, with ground coffee in stores jumping 11% over the past year to an all-time high. Global weather disruptions, particularly in Brazil and Colombia, have hurt coffee production, while domestic supply chain challenges and growing demand for specialty and premium coffee have further inflated prices.
The price of orange juice continues to climb due to citrus greening disease, which has decimated Florida’s orange groves, reducing yields to historic lows. Extreme weather events and increasing costs for inputs such as fertilizers and transportation have also driven prices higher.
Finally, beef prices have been climbing for years due to multiple factors, including high feed costs driven by droughts that have impacted corn and hay supplies. The price of sirloin steak is up 16.7% from 2023, now sitting at around $15.09 per pound.
