Tuesday, October 11, 2011

Peanut butter prices about to soar due to poor harvest

The PB&J: Classic. Comforting. And, with peanut prices skyrocketing, soon to be more costly. After searingly hot weather devastated the summer crop of Runner peanuts, the variety mostly used to make peanut butter, raw peanuts that cost about $450 a ton in 2010 now cost $1,150 a ton, according to USDA figures.
The crunch will affect the 90% of U.S. households that consume peanut butter — Americans eat about 1.5 million pounds of peanut products annually. The industry, according to the National Peanut Board, contributes more than $4 billion to the domestic economy each year.

High prices are expected to trickle down to consumers soon. J.M. Smucker Co.’s Jif will boost wholesale prices 30% this fall, according to the Wall Street Journal. Unilever’s Skippy brand will see a 35% increase while ConAgra Foods Inc.’s Peter Pan label will jump nearly 25%.

I went out and bought five 28 oz jars of Peanut Butter on sale for $2.49 each.  I'll watch prices and pick up some more later.  I eat a jar every two weeks or less.  Peanut Butter is a big part of my diet; it is the cheapest form of quality protein on the market.  But maybe not for too much longer.  Get some now before the prices go up.

1 comment:

  1. Margaret has discovered fluffer-nutter sandwiches. Her new favorite. I have 2 jars in the pantry but I will need to get more on my next shopping trip. PB has such a long shelf life so I have no concerns with stocking lots extra. I like a rounded tablespoon with a banana. I enjoy it for breakfast or mid morning snack.
    Since peanut butter is a staple for the poor families as a cheap protein source I wonder if the churches and food banks will continue to stock it if the price raises 30%? It is the only protein that WIC (Women, Infant and Children services) supplies, too.