Prepare for orange juice sticker shock
A small orange harvest in Florida has caused OJ prices to soar.
This post comes from Krystal Steinmetz at partner site Money Talks News.
You better enjoy every drop of that glass of orange juice, because it's not cheap. OJ prices have skyrocketed to their highest point in two years.
Who or what is to blame for the ridiculously high prices of juice?
Florida, the source of the majority of oranges used to make orange juice in the U.S., experienced an unusually cold winter, plus a fruit disease (citrus greening) has stunted orange growth, leading to the smallest orange harvest in nearly 30 years, The Wall Street Journal said.
The smaller U.S. crop -- down 18 percent from the previous harvest -- comes as groves in Brazil, the world's largest orange exporter, are experiencing the worst drought in decades. Brazilian growers won't know how severe the damage is until July, when the harvest starts.
"We have the two largest producers in the world both having poor crops at the same time," said Mike Seery, president of Seery Futures, a brokerage firm in Plainfield, Ill. "That's bad."
Higher prices for orange juice could potentially turn consumers away from the drink, which has been experiencing a shrinking demand for years. Once a breakfast staple, orange juice retail sales are down 32 percent from 10 years ago, plus they fell 5.3 percent in the four weeks ending March 15, NBC News said.
So, what will you soon be paying for the yummy breakfast juice? We're paying about $6.22 a gallon now, and that price is only expected to rise.
You must really like orange juice to pay $6.22 per gallon. I think I'll stick to something a little cheaper for now, like apple or cranberry juice.
What about you? Will you continue to buy OJ, even at its exorbitant price?
More from Money Talks News
Price gouging in all areas of our lives again is all this is. Gas, prices in groceries with smaller packaging (they think we don't notice), rising utilities (which the bad winter caused) and yet we get a measley cost of living raise that has already been taken before we got it.
our weekly grocery bill has gone up at least 50% in the past few years.
yes, we are eating 'cleaner' and that is more expensive...but it's all gone up.
We also started buying the better quality stuff - including the OJ - but it's probably NOT something we'd go back to the lesser quality options on. We pay around $4.00 for a half gallon - maybe we buy 2 a week on heavy weeks. Like a lot of the choices we are making...we are spending more for quality foods...and as long as we can...we'll probably stay with that.
I am confused, we have orange groves all around us in California; there are oranges everywhere "on the ground". The trees were not picked some are still very full. Another excuse to raise prices, growers given money by the government to create a shortage????
Copyright © 2014 Microsoft. All rights reserved.
ABOUT SMART SPENDING
LATEST BLOG POSTS
You can give your car the care it needs without draining your bank account if you follow this advice.
VIDEO ON MSN MONEY
BLOGS WE LIKE
MUST-SEE ON MSN
- Video: Easy DIY smoked meats at home
A charcuterie master shares his process for cold-smoking meat at home.
- Jetpacks about to go mainstream
- Weird things covered by home insurance
- Bing: 70 percent of adults report 'digital eye strain'