Thanksgiving turkey, fixins are going to cost more this year
MIAMI -- As we count down to Thanksgiving you should know that this one is going to be more expensive than usual.
Grocery prices have jumped 12.4 percent since the beginning of the year.
"I just saw (the turkeys) right now, they're really expensive," said Andrew Devalois, as she stepped out of one of the traditional big markets in South Florida. She said she will no longer get an organic turkey.
This holiday season it's not just about inflation when it comes to serving Thanksgiving turkey. An avian flu outbreak has killed millions of turkeys nationwide leading to lower supplies.
"Go around, shop around," suggests Marlo Hiddo of Homestead. The week before the traditional holiday dinner is served, he has been comparing prices at smaller family-owned markets.
The latest numbers from the Bureau of Labor Statistics show turkey costs almost 17 percent more than a year ago. The average price for a whole, frozen bird is $2.45 per pound, that's up 70 cents from last year.
"The farmers don't have enough turkeys this year," said Andres Marmolenos, owner of Meat Giant in southwest Miami-Dade.
He suggests families seeking a specific-sized turkey should not wait until the last minute because, according to him, there will be less inventory this year compared to last. Additionally, he says some companies and people are buying big quantities, leading stores like Costco to put up signs limiting the amount of turkeys sold per person.
Grocery staples are also on the rise. Eggs are up a whopping 43 percent; butter nearly 27 percent; and potatoes are 15 percent higher.
"Unfortunately I think the cost of food will remain high for both Thanksgiving and Christmas, Hanukkah season," said CBS News business analyst Jill Schlesinger.
But within the bureau's report, there are signs of improvement. Overall, prices are slowing, a sign the Federal Reserve's interest rate increases are working to cool off the economy.
"At the December meeting, the Federal Reserve will raise interest rates, probably by half a percentage point, not by point 75, and the reason why is they are going to be happy with the results of this particular report," said Schlesinger.
She says prices could continue to trend lower but it will be some time before inflation drops from the current rate of 7.7 percent to the fed's target rate of just 2 percent.