Cookouts a little cheaper this summer

INDIANAPOLIS — This year’s Fourth of July cookout cost a little less than last year for the average family, according to a report from Indiana Farm Bureau.

Hoosiers will pay an average of $68.33 for a cookout feeding 10 people this summer, or $6.83 per person. This is a 2% decrease compared to last year.

Indiana’s prices are 4% less than the national average price of $7.12 per person.

The study showed that the Midwest has lower food inflation rates than other regions, explained INFB Chief Economist Todd Davis.

“Inflation is slowing slightly and supply chain issues that have been prevalent for the last few years are slowly getting worked out, so we are seeing a slight decrease in prices compared to last year here in Indiana,” Davis said.

“Our location in the central part of the country — closer to where most food is produced — also plays a role in Indiana and other Midwest states coming in lower than the national average.”

The total price of $68.33 includes ground beef, cheese, hamburger buns, pork chops, chicken breasts, pork and beans, potato salad, strawberries, chips, ice cream, cookies and lemonade.

The item with the largest increase in price was ground beef, which increased 14% from last year to $13.88 for two pounds.

Cattle herds have declined to the lowest levels since 1961 because of drought impacting the Southern Plains over the last few years, resulting in higher feeding and operating costs for cattle farmers, according to INFB.

“Fewer animals mean fewer head going to market, causing a tighter supply at the grocery store,” Davis said.

Hamburger buns, pork chops, lemonade, potato salad and strawberries were also more expensive this year.

Cookies, chicken breasts, cheese, ice cream and chips are more affordable in Indiana than last year.

While inflation has led to higher food costs the past few years, farmers don’t see much of the profits.

According to the U.S. Department of Agriculture, 15 cents of every retail food dollar can be attributed to farm production, after accounting for input costs.

That makes the farmer’s share of this Fourth of July cookout a little more than $10.

“Farmers are price takers, not price makers — just like consumers,” said Janis Highley, INFB second vice president.

“It is encouraging to see that food prices in Indiana are decreasing slightly from last year, but margins are still tight for farmers due to high supply costs because the amount farmers are being paid isn’t covering that increase in expenses.”

Learn more about the national survey at https://tinyurl.com/mwx2xeh.