The National Restaurant Association reports that food costs are lower this summer, thanks to a surplus of pork, chicken and beef, as well as coffee.
“There’s plenty of pork to be had,” commodities analyst John Barone says. “It should continue flowing.”
The USDA projects pork production will increase 1.9 percent in 2016 over last year, after increasing 7.2 percent in 2015 over 2014. That should lead to lower prices through 2017. Chicken stock should rise about 2.6 percent over last year. Beef is looking meaty after a mild winter and spring. Its production should grow 4.8 percent following last year’s 2.3 percent decline.
Wholesale food prices, overall, were down 2.9 percent through April on a year-to-date basis.
“Restaurant operators can expect to see an overall general decline in wholesale food prices this year, especially in commodities like beef, pork and eggs, as herds and flocks are recovering from recent challenges,” Barone says.
Read more about the National Restaurant Association’s analysis here.