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Subscribe to RSSGrocery stores around the nation may soon see a ripple effect of the drought, with animal-based, perishable foods costs increasing by nearly 5 percent in the coming year. NBC's Janet Shamlian reports
FORT WORTH, Texas – At a grocery store in Fort Worth, shoppers walk the aisles with coupons in their hands and off-brand products in their carts. A still-recovering economy has many looking to save a few dollars on their food bill, a job that is expected to become more difficult before year's end.
The lingering and pervasive drought that's taking its toll on farmers and ranchers across America's heartland now is expected to soon impact families across the country in the form of higher prices at the market.
How much higher is a tough question.
Rising costs
While the USDA predicts a 3 to 5 percent increase on everything from cereal to steak, some economists believe price hikes will come closer to 10 percent.
One study suggests a family of four will spend $600 more in 2013 to buy the same products they purchased last year.
"I'll be more careful about how much I buy so there's no waste and be careful what I buy," one woman told me as she was choosing oranges in the produce section.
Drought conditions plague much of the United States after a summer of scorching temperatures and a lack of rain. The dryness is affecting America's farmland, threatening crops like soybean and corn.
The pictures of wilted crops and hungry cattle – so prevalent this summer – tell us beef and corn will affected. But experts say even items like chips and peanut butter will be more expensive at this time next year.
“I think we’re going to see price increase across the board,” said Bernard Weinstein, an economist at Southern Methodist University. “Because corn, in particular, is such a ubiquitous product – it’s used in the manufacture of most processed foods. “
So the ripple effect will mean price hikes down every aisle – on products like cereal and chips.
"I will try to find the best price because we don't have a lot of extra money to spend on groceries," said one woman visiting from Ohio and shopping with her daughter.
The biggest hikes are expected to be on some of the staples – dairy, eggs, poultry, pork and beef.
However, beef prices may actually ease a bit in the short term, as ranchers who can't afford to feed their cattle are selling them off early – so there's a healthy supply hitting the market now.
But next year at this time, there will likely be shortages. So things like hamburger meat, sometimes considered a budget-friendly meal, may soon be priced more like steak.
North Carolina, the second largest poultry producer in the nation, is facing big challenges as the price of grain rises. NBC's Anne Thompson reports.
‘You’ve got to eat’
Talking to shoppers in this Texas market, they're aware of what's coming and resigned to it.
"Food is not a discretionary item," one man said as he put a carton of eggs in his basket. "You've got to eat."
From farmers’ pastures to our own kitchen tables, the drought of 2012 will exact a high toll.
More coverage of the drought:
Drought sends Mississippi into ‘uncharted territory’
‘Best year ever’ for some farmers outside drought region
Forced to sell cattle during drought, dairy farmers ‘just keep praying’ for rain
Americans tell their story of #Drought2012
In drought-stricken Wisconsin, farmers helping farmers
Emergency well drilling brings relief to farmers stricken by drought
Have you been affected by the worst drought in more than 50 years? Share your photos with us on Instagram, Tumblr or Twitter with the tag #Drought2012. You can also upload your photos in the box below.
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economywatch.nbcnews.com/_news/2012/08/14/13277650-consumer-prices-may-ease-soon-despite-drought-driven-spike?lite
Seeing the overweight folks in the video, i hope prices do go up!
we are overfed pigs in this country. Every person I see use food stamps is OBESE!
We could all use less food and be healthier for it. Please give me a break, we throw out more food in this country than some countries have!!
I guarantee beer prices will not go up! Keep us dump and drunk!
Dumb! HaHa
During this food drought two common sense things we can do Stop making all this High fructose, which is made from corn It is also subsidized to help make big corporations more money which does NOT make any sense during these times. It has also been studied as a dangerous substance And then stop making our Corn into ethanol for Gas Use the corn only to bring down food prices down for corn is used almost for all our foods
Good luck in the future farmers, but if you want consistency you should push to have a large pipeline system built from the Great Lakes and maybe the Minnesota land of lakes that could spare some water pumped south for a decent proft per gallon. If we get another drought year or two soon, we will wish we had built a pipeline infrastructure to pump water across the farm land. Oh but repubs don't like spending of any type now, maybe they would rather see about 100 million Americans vanish as long as they are left to have their own little conservative racist world.
There definitely has been a drought. We are organic market farmers and irrigation has been the name of the game this summer, plus feeding our bees every week from May on, and chickens who quit laying eggs. Lots of additional money and work involved attempting to keep plants, insects, and animals watered and well. Yes, we are being impacted by climate change - whether heat versus cold or floods versus drought, we're experiencing the extremes, and it will only get worse. Food prices are only a fraction of what they're going to be in a few years. If you don't believe it, try working on a market farm growing fruits and vegetables.
2 incidents of food contamination and 2 refinery fires back to back. ... hhmmm ... coincidence? $$$$$$
250 year-old gov. system. everyone sick of it. total blame-game backand forth. who else is sick of it?
global policeman government. money needed here, for problems here. anyone else sick of it?
half your paycheck gone, before you get it. anyone else sick of it?
imagine living in a country totally off the ''radar-screen'' like greenland, or Austria lets say. no terrorism threats, no 25 percent defense budget, just super quality of life for you and your family. think how much happier we would all be.
Remember when just part of the US (2% of the Earth) was hot and they claimed it was proof of global warming even while the other 98% of the Earth was having cooler weather?
Now the entire lower 48 is below normal temperatures. So if 2% is proof of global warming, 2% must also be proof of global cooling.
https://twitter.com/BigJoeBastardi/status/237564172462858240
And the media won't dare to write a story on things being cooler because it doesn't fit the agenda.