James –
I’m a long time reader first time writer. I have been in the food business for 31 years with many companies, over the past 12 months I have had to raise my prices around 27% but my costs have risen 57%. We are afraid to continue passing on the rise because business has already decreased substantially but within the next few months we will be forced to raise our prices another 25% or quit the business. What I am trying to say is that we are at most, only halfway through the food inflation which has already occurred, as to the future it is entirely possible that it could continue unabated. The difference between now and the inflation of the 1980s is demand. In the 1980s we suffered transportation and fuel cost crisis, we are currently have those same issues combined with demand exceeding supply for many items. – JPG
Letter Re: Consumer Price Hikes for Food Will Continue
