3 On Your Side: Ice Cream Prices May Not Be So Sweet This Summer
By Jim Donovan
PHILADELPHIA (CBS) -- It's an ingredient found in many baked goods and lots of summer treats. But now a vanilla shortage is causing costs to spike.
In today's 3 On Your side consumer report, why ice cream prices may not be so sweet this summer.
Tiny black flecks are one of the special ingredients that give "Philadelphia Style" ice cream its signature flavor and look.
So what are those flecks made from? Vanilla beans!
"Philly ice cream makers decided to add the bean specks to mark it as natural vanilla," said Eric Berley, co-owner of The Franklin Fountain.
But the all natural ingredient doesn't come cheap. It's actually the second most expensive spice in the world.
"It smells amazing," said Berley.
And this year it's even pricier than usual, according to Berley.
"Typically in Madagascar, where 95 percent of all the vanilla is grown there was a massive shortage in the production."
That shortage is impacting the bottom line of businesses throughout the country including Karen Holmes' bakery.
"In January we paid 80 dollars a pound for beans. In February we paid 120 a pound for beans," said Holmes.
And those spiking vanilla prices are forcing a number of retailers to pass some of those added costs on to their customers.
"I do believe all prices are going to go up in the bakery and the ice cream world at least three to five percent," said Berley.
At the Franklin Fountain, they're doing their best to maintain prices on their most popular item.
"We were able to keep our single cone price the same this year as we have the last year and the year before that," said Berley.
They have increased prices on the larger sizes and bulk items.
But some might say that mouthwatering taste of vanilla is worth it, no matter what the price.
"Vanilla is just one of those yummy, basic, clean, beautiful flavors in its pure form. Its really something special," said Holmes.
While you might pay more for your favorite ice cream and goodies this spring and summer, experts are hopeful that the next crop of vanilla will be more robust and those prices will level off.