Monday, March 10, 2008
Speaking of rising food prices
…Julie Jargon, writing in the WSJ on Mar 7, 2008, talks about some ways our favorite food companies are making (their) ends meet.
…Sara Lee is reformulating the bread with cheaper, lower-protein wheat.
…There are now only 40 kinds of Hamburger Helper—down from 75. (Seventy-five! How much help did that hamburger need, anyhow?)
…Campbell’s is cutting the number of ingredients in its soups. They described their earlier approach of different meats and flavorings as being “artisanal.” As in art of cooking?
…Coffee is shooting upwards.
…But those specialty things—like the lower-sodium soups all over TV—are expected to do better.
…Those with strong brand loyalty such as Heinz and Wrigley will hold their customers.
…Our old bud Kraft may be in for it, though. Their brands, they say, are not strong enough to withstand price increases.
…HA hates to even think it, but did she recently buy Kraft Dinner that was over two bucks?
…It’s the cheese. Really? That was real cheese? Anyhow, they say it’s the cheese in Kraft products that is not so negotiable.
…Meat companies are also vulnerable. Animal feed is going up…
…Many companies are looking to overseas markets to save them. They also will acquire other companies.
…Even Hershey, which relies on commodity markets, may face trouble.
…No chocolate? Oh, please, we can’t have a recession without chocolate. It just isn’t conceivable. Go back to the drawing boards, people.