BATON ROUGE, La. (BRPROUD) — Purchasing food items this holiday season, and filling the dinner table will be a heavy cost due to the high food prices.

Shoppers are sticker shocked by seeing the numbers doubling if not almost tripling in prices.

According to The U.S. Bureau of Labor Statistics, they reported on Tuesday, eggs are nearly 50% higher than last year, and butter rising 27%.

LSU Professor, Dr. Michael Deliberto who studies Agricultural Economics and Agribusiness says there are several factors that contribute to the price of food going up.

“Three years in the making with COVID, have still had an effect on higher transportation cost, but also high energy cost as well,” Dr. Deliberto explained.

Supply and demand have become global problems when it comes to fuel, energy, and food.

For instance, the war in Ukraine has been an effect on commodity prices with energy prices, fertilizer, and other items. “We’ve had a drought in the Western US this year That’s triggered high production costs and lower supply, driving up prices,” said Dr. Deliberto.

The Consumer Price Index, known as CPI, increased by 0.1% in November. Over the past year, inflation rose by 7.1%. Showing that food went up 0.5% last month, climbing up to 10.6% within the year. 

Dr. Deliberto says it’s not the food item itself you’re paying for, but the transportation and the producer. “For every dollar, you spend in the grocery store for the item only about 16 cents of that actually goes back to that farm, that producer,” he said.

For the cost of some items like uncooked beef or bacon, B.L.S. found those prices to decrease.
However, the cattle ranching industry is facing problems due to those western droughts potentially changing those food prices.