Market Survey Says: Grocery Prices Dropped

A food price survey partially conducted in Ashland shows that retail food prices in Wisconsin dropped during the latter part of 2011.

The informal survey, conducted by the Wisconsin Farm Bureau, shows that during the fourth quarter of 2011 the total cost of 16 food items that can be used to prepare one or more meals was $48.35. It was a four percent decrease from $50.55 in September.

Despite the recent drop, the state’s grocery prices saw a six percent increase over the course of 2011. Since the $45.61 average in December of 2010, the latest survey shows an increase of $2.47.

“It appears the upward pressure on the food market that consumers saw over the last year has finally run its course,” said Casey Langan, Wisconsin Farm Bureau spokesman. “Since 2010 we have seen food prices climb consistently from quarter-to-quarter for many of the food items in our survey. Strong global demand, weather extremes, high energy prices and a relatively weak U.S. dollar were all factors that drove steady price growth for many food items over the last two years,” Langan said.

Of the 16 food items surveyed by Farm Bureau, 10 decreased in price and two saw no change at all compared to the third quarter of 2011. Items that saw a decrease in price of 10 percent or more were apples, potatoes, bagged salad, bacon and flour.

The story is much different when comparing the prices for individual items over the last 12 months. Fourteen of the survey’s 16 items saw price increases compared to one year ago. The highest percentage increases were for: whole milk (23 percent), bagged salad (15 percent), flour (12 percent), Cheerios (10 percent) and orange juice (10 percent).

The two items that decreased in price over the last year were boneless chicken breast (13 percent) and a dozen large eggs (5 percent).

Along with Ashland, prices were collected for the Farm Bureau survey in the communities of Appleton, Bangor, Beloit, Brodhead, Cornell, Cedar Grove, De Pere, Eau Claire, Edgerton, Elroy, Fitchburg, Fond du Lac, Lancaster, Marshfield, Medford, Mequon, Plover, Richland Center, Saukville, Shawano, Waterford, Watertown, Wausau and West Bend.