Topline
Americans will need to pay up for Thanksgiving dinner this November, as the average cost for a Thanksgiving feast for 10 is at an all-time high of $53.31, according to an annual American Farm Bureau Federation survey released Thursday.
Key Facts
The $53.31 price tag is a 14% increase from 2020, when the average dinner for 10 was $46.90.
The survey, in its 36th year, is based on shopper pricing data from 230 surveys completed in all 50 states and compiles prices on 12 staple Thanksgiving items such as boxed stuffing and pumpkin pie mix.
Turkeys are the primary culprit for the price increase, as the survey estimated a 16-pound turkey will cost $23.99 this year, a 24% increase from 2020’s $19.39 turkey price tag.
The expensive Thanksgiving tab can largely be traced back to high inflation hitting American consumers, as inflation reached a 31-year high in October, with the rapidly rising price in meat, poultry, fish and eggs—caused by significant labor shortages at meatpackers—a primary driving force behind the rising consumer prices.
Crucial Quote
Veronica Nigh, senior economist at the American Farm Bureau Federation, outlined the reasons for the price increase in a statement: “Several factors contributed to the increase in average cost of this year’s Thanksgiving dinner. These include dramatic disruptions to the U.S. economy and supply chains over the last 20 months; inflationary pressure throughout the economy; difficulty in predicting demand during the COVID-19 pandemic and high global demand for food, particularly meat. The trend of consumers cooking and eating at home more often due to the pandemic led to increased supermarket demand and higher retail food prices in 2020 and 2021, compared to pre-pandemic prices in 2019.”
Key Background
Not only are Americans paying more for Thanksgiving staples, they’re also having a harder time finding these items at the grocery store. Data from market research firm IRI found that in the week ending November 7 the in-stock rate for frozen whole turkeys was 22% lower than the same time last year, while cranberry sauce, liquid gravy and pies were 10%, 12% and 10% less in stock, respectively. Still, optimism remains that shelves will not go fully empty, as spokespersons for major turkey providers Butterball and Cargill both expressed confidence to CNN that the turkey supply will not run dry for Thanksgiving.
Tangent
Thanksgiving 2021 may feel more normal than last year’s holiday: 68% of Americans plan to spend this Thanksgiving with the same amount of people or more compared to before the pandemic, up from 46% from 2020, according to a Monmouth University poll released Tuesday.
Further Reading
Thanksgiving items are running out of stock — but don’t panic (CNN)
Turkey Caught In Supply Chain: Bird Prices Are 20% Higher, 30% Harder To Find (Forbes)
Supply Chain May Not Be Impacting Consumers As Badly As Expected (Forbes)