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The Real Inflation Fear - US Food Prices Are Up 19% In 2014

The Real Inflation Fear - US Food Prices Are Up 19% In 2014.

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The Real Inflation Fear - US Food Prices Are Up 19% In 2014

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  1. The Real Inflation Fear - US Food Prices Are Up 19% In 2014 We are sure the weather is to blame but what happens when pent-up demand (from a frosty east coast emerging from its hibernation) bumps up against a drought-stricken west coast unable to plant to meet that demand? The spot price (not futures speculation-driven) of US Foodstuffs is the best performing asset in 2014 - up a staggering 19%... h/t Bloomberg's Chase van der Rhoer

  2. Grade Inflation In The Maple Syrup Aisle: Now Everything Is An 'A' • It's All Grade A Now: Different grades of maple syrup are displayed in East Montpelier, Vt.

  3. Inflation is Already Here… But It's Being Masked • In many packaged products, as much as 50% of the contents is just empty space. • Large food companies have recently announced that they will raise the prices they charge for commodities-based products. For example, a chocolate bar will cost more soon: Hershey last week announced a 10% increase for most of its confectionery goods.

  4. Chipotle plans first price hike in 3 years • NEW YORK (AP) — Chipotle is feeling confident that customers are willing to pay more for its burritos, bowls and tacos. • The Mexican food chain said that it would raise prices for the first time in three years as its popularity continues to soar. Menu boards with the new prices should start rolling out in coming weeks and be in place at all restaurants by this summer. • Executives have said in the past they were considering a hike of about 3% to 5%. • Jack Hartung, Chipotle's chief financial officer, said during a conference call with analysts that price is not the main reason customers visit its restaurants anyway. • "Most of the value comes from the experience," he said.

  5. Cost Of "Breakfast In America" Soars

  6. Procurement Partner • Food Cost Control • Buying Right • Contracted items • Drop Size incentives • Improve Margins • Why use a purchasing program • SYSCO – US FOODS Merger • Buying Right • Contracted items – What are they? • What should we buy • What about Chefs preferences • Today’s costs going –up what should we do? • Savings • Monitor results • What about the smaller companies Procurement Challenges

  7. The attached photos show the oz. wts. from the two strip loins from the meat delivery.The box shows a net wt. of 20.66 and our invoice shows a charged wt. of 20.66 lbs. Actual net wt. was 313 oz. (19.36 lbs.) A short weight of 1.3 lbs. At an average of $ 5.50 per pound, this one piece of meat cost the customer $ 7.15. Perhaps the packer kindly added the weight of the box to insure his future pension. This type of mishandling leads to distrust to say the least.

  8. In his photo, the box shows a net wt. of 19.5 and our invoice shows a charged wt. of 19.5 lbs. Actual net wt. was 271.04 oz. (16.94 lbs.) A short weight of 2.56 lbs. At an average of $ 5.50 per pound, this one piece of meat cost the customer $ 14.24.

  9. Re-Glazing In this example, extra layers of ice is built up on the product. Sales weight is both product and ice. This product can ALWAYS be sold for less.

  10. Product Packed in Ice

  11. Ice On “Local” Shrimp

  12. The Curious Role Of BrandThe Cost of Development is Significant

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