Fourth of July cookout costs hit record high: Survey
Inflation concerns are hitting the holiday table, with average Fourth of July cookout costs expected to soar to their highest level ever, according to new research.
This year’s American Farm Bureau Fourth of July market basket survey found that the average cost of summer cookout staples — fixings needed to feast on cheeseburgers, chicken breasts, pork chops, potato chips, pork and beans, fresh strawberries, homemade potato salad, fresh-squeezed lemonade, chocolate chip cookies and ice cream — for a gathering of 10 people will set revelers back $71.22, up 5 percent from last year and up 30 percent from five years ago.
The figure has topped $7 per person for the first time ever.
The Independence Day grocery bill is in line with the increased inflation that has hit consumers over the past year.
The Farm Bureau's experts estimate that two pounds of ground beef will cost an average of $12.77, an increase of about a dollar, or 11 percent, from last year. That comes despite the number of fed cattle in the supply chain this spring being higher than last year.
The overall cattle inventory is the smallest it has been in 73 years, however, and beef in cold storage is setting record lows for recent years, the bureau estimates.
Certain animal welfare laws, such as California’s Proposition 12 — which requires farmers to give their livestock a certain amount of space to graze — have also affected the supply. This is the first year that the law has been in full effect, per the bureau.
The change has had a notable impact on pork chops prices, which are up 8 percent nationally compared to last year — or about $15.49 for three pounds. Meanwhile, pork chop prices in California were about $19.91 for three pounds.
Another rising factor the recent spread of the infectious avian flu (bird flu), which hit more than 40 cattle herds across the country with the virus. The bird flu has also contributed to the rising prices of poultry and eggs.
Researchers also pointed to the drop in farm income — which decreased by 17 percent last year. Another decrease is expected in 2024, with experts estimating another 25 percent drop, per the survey.
"Combined with weather uncertainty and volatile commodity prices, farmers and ranchers are vulnerable to significant impacts to their businesses’ bottom line," experts wrote. "Higher food prices do not equal higher income for farmers; less than 15 cents of every dollar spent on food goes to the farm once you take into account processing, transportation and marketing."
Still, consumer prices as a whole have not risen significantly in recent months, and the annual inflation rate came slower than expected in May, per recent data from the Labor Department.