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Food Cost Review, 1996

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  • Elitzak, Howard

Abstract

Food prices, as measured by the Consumer Price Index (CPI), increased 3.3 percent in 1996. This increase was greater than the overall increase in the CPI (which rose 2.9 percent) for the second consecutive year. Higher charges for processing and distributing food, as measured by the farm-to-retail price spread, were primarily responsible for the 1996 increase. The prices farmers received for commodities, as measured by the farm value of USDA's market basket of foods, rose 8.1 percent. The farm value share of the food dollar spent in grocery stores in 1996 was 25 percent, an increase of 1 percent from 1995. The farm-to-retail price spread of USDA's market basket of foods rose 3.2 percent, partly reflecting higher prices of inputs, such as labor.

Suggested Citation

  • Elitzak, Howard, 1997. "Food Cost Review, 1996," Agricultural Economic Reports 305733, United States Department of Agriculture, Economic Research Service.
    • Handle: RePEc:ags:uerser:305733
    DOI: 10.22004/ag.econ.305733
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    Cited by:

    1. Li, Chenguang & Sexton, Richard J., 2009. "Impacts of Retailers’ Pricing Strategies for Produce Commodities on Farmer Welfare," 2009 Conference, August 16-22, 2009, Beijing, China 51720, International Association of Agricultural Economists.
    2. Amory Starr & Adrian Card & Carolyn Benepe & Garry Auld & Dennis Lamm & Ken Smith & Karen Wilken, 2003. "Sustaining local agriculture Barriers and opportunities to direct marketing between farms and restaurants in Colorado," Agriculture and Human Values, Springer;The Agriculture, Food, & Human Values Society (AFHVS), vol. 20(3), pages 301-321, September.
    3. Martinez, Stephen W., 1999. "Vertical Coordination in the Pork and Broiler Industries: Implications for Pork and Chicken Products," Agricultural Economic Reports 34031, United States Department of Agriculture, Economic Research Service.
    4. Reed, Albert J. & Elitzak, Howard & Wohlgenant, Michael K., 2002. "Retail-Farm Price Margins And Consumer Product Diversity," Technical Bulletins 33573, United States Department of Agriculture, Economic Research Service.
    5. Hakan Yilmazkuday, 2018. "Spatial dispersion of retail margins: evidence from Turkish agricultural prices," Agricultural Economics, International Association of Agricultural Economists, vol. 49(4), pages 455-462, July.
    6. Kinsey, Jean D., 1998. "Concentration Of Ownership In Food Retailing: A Review Of The Evidence About Consumer Impact," Working Papers 14329, University of Minnesota, The Food Industry Center.
    7. Carambas, Maria Cristina D.M., 2005. "Analysis of Marketing Margins in Eco-Labeled Products," 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark 24600, European Association of Agricultural Economists.
    8. Christensen, Lee A., 2002. "Soil, Nutrient, And Water Management Systems Used In U.S. Corn Production," Agricultural Information Bulletins 33618, United States Department of Agriculture, Economic Research Service.

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