Fourth of July food expected to be more expensive than last year, report finds

>>> THOSE HIGH FOOD VICES THAT HAVE SLIMED U.S. FAMILIES MAY BE DECLINING, BUT YOUR FOURTH OF JULY FEAST IS EXPECTED TO BE MORE EXPENSIVE THAN LAST YEAR. WELLS FARGO RELEASED NEW DATA SHOWCASING SOME OF THE ITEMS AT YOUR PICNIC COULD HURT YOUR WALLET. THE AUTHOR OF THE REPORT DR. MICHAEL SWANSON JOINS US NOW. WELLS FARGO CHIEF AGRICULTURAL ECONOMIST. THAT IS AN INTERESTING JOB. THANKS FOR JOINING

US. WALK US THROUGH THE ITEMS THAT COULD BE COSTLY FOR CONSUMERS. >> LET'S START WITH TICKET ITEMS. MEET. ON THE GRILL YOU WILL SEE STEAK AND AMBERS ARE UP FROM LAST YEAR. LAST YEAR THEY WERE ROCKETING HIGHER. A LITTLE HIGHER. 3% FOR THE STAKE AND 4% FOR HAMBURGERS PORKCHOPS 1%. CHICKEN IS DOWN 2%. DIFFERENT INDUSTRIES HAVE DIFFERENT DYNAMICS GOING ON EVEN THOUGH THEY ARE FACING THE

SAME ISSUES FOR COST AND LABOR. GRILLING IS A BIG PART OF THE SOLUTION ON FOURTH OF JULY. >> IF FOOD INFLATION IS SWELLING WHY ARE THESE ITEMS PRICY? >> IT TAKES A WHILE TO FINISH UP AND REPAIR THE DAMAGE THAT HAPPENED DURING COVID. LABOR COST IS UP AND TRUCKING COSTS ARE UP. WE HAVE HAD A COUPLE OF SHORT YEARS. EVEN THOUGH THE RUSSIA/UKRAINE CONFLICT LIFTED INFLATION

FROM HIGHER FEED COST. WE DO NOT HEAL IMMEDIATELY, BUT WE SEE SIGNS THAT INFLATION SHOULD BE LOW THE REST OF THE YEAR WHICH WILL BE BENEFICIAL FOR MOST CONSUMERS. >> WHY ARE POTATO CHIPS SO EXPENSIVE NOW? SUCH A ROUTE. LAST YEAR WE HAD A DROUGHT IN THE PACIFIC NORTHWEST AND IDAHO. >> GOOD NEWS, A GOOD CROP THIS YEAR AND POTATOES WILL COME BACK DOWN AND POTATO

CHIPS WILL BE TO PRINT NEXT YEAR. >> THAT MEANS POTATO SALAD, NUMBER ONE SIDE DISH FOR FOURTH OF JULY WILL BE PRICEY. >> YOU MIGHT HAVE TO MAKE TUNA SALAD. >> YOU MIGHT HAVE TO RATION. ONE SCOOP FOR YOU. >> THE QUESTION IS, ON THE FLIP SIDE YOU EXPECT AMERICANS TO SPEND FOR THESE ITEMS DESPITE THE HIGHER TICKET PRICES? THE FARMERS AND SMALL BUSINESS OWNERS TRYING

TO SELL THE PRODUCTS TO THE AMERICAN CONSUMER. >> ABSOLUTELY. WE HAVE GOOD NEWS. 4 MILLION MORE PEOPLE, A MUCH BETTER FOURTH OF JULY WHEN YOU HAVE A JOB. THE MAJORITY OF PEOPLE HAVE SEEN WAGE INCREASES. YOU CANNOT DO EVERYTHING FOR EVERYBODY. AMERICAN ECONOMY HAS MORE PERSONAL INCOME TODAY THAN IT DID A YEAR AGO BY A LARGE DEGREE. GOOD NEWS FOR SALES. PEOPLE WILL BE OUT THERE

ENJOYING THEMSELVES ON FOURTH OF JULY. >> WE POLL OUR MONEY FOR THE FOURTH OF JULY BECAUSE PEOPLE HAVE A HEALTHY APPETITE AND EVERYON HAS TO PUT IN. >> THAT ONE UNCLE THAT COMES OVER AND PILES HIS PLATE HIGH. THERE ARE THREE HOT DOGS LEFT AND HE TAKES TWO. >> WE HAVE A FEW OF THOSE UNCLES IN OUR