Tomato prices in the United States have increased 22 per cent year-on-year, according to the latest Consumer Price Index report, driven by higher fuel and fertilizer costs, a 17 per cent tariff on tomatoes from Mexico, and adverse weather during the peak growing season in Florida and Mexico.
At White or Wheat Sandwich Shoppe, manager Cael Meranda said tomato costs have increased sharply in recent months.
"When they were $36 a case, they were about a cent a slice. They're all the way up to about 25 cents a slice now," Meranda said.
According to Meranda, tomato prices rose from US$36 per case in January to US$103 per case this week for a box of 50 tomatoes. He also noted that tomato sizes have become smaller, reducing slice yields per fruit.
Despite the increase, the business has not removed tomatoes from its menu.
"I don't think we could. No, 90% of our sandwiches that go out of here have tomatoes on them," he said.
White or Wheat has changed suppliers and has so far avoided increasing sandwich prices, absorbing the additional costs instead.
At Deb's Produce, grower Deb Heldt said production costs have also risen at farm level.
Heldt, who grows tomatoes near Yutan, said fuel costs have increased by more than US$1 compared with last year, while fertilizer costs are up 80 per cent.
"These big tractors use a lot of fuel, and then you got the pickups that you have to fill up," Heldt said.
"You got to plant the rye, you got to lay the plastic, you got to till it. You got to make a lot of trips over the field."
Heldt added that profitability remains a concern as growers manage rising operating expenses during the current production season.
Source: 10 11 Now
