High gas prices cause rise in food costs
Krystel Pakitsos
Issue date: 4/24/08 Section: Front Page
The price of gas isn't the only thing going up and leaving college students with empty wallets. Food prices are, too.
And Todd Wixson, general manager of Sodexho Campus Services, blames higher food prices on higher gas prices.
"Virtually everything has increased," Wixson said. "There is no specific root to the prices rising other than gas. Gas has significant impact from the fields to the packing plant to the distributor to us."
Wixson has another explanation for the rise in food costs: ethanol.
"Ethanol is corn-based and subsequently affects other things, like the feed to the cattle. Prices go up, feed to the cattle is more expensive and now so is milk, cheese, eggs, etc. It has a ripple effect."
In fact, Wixson says, these price increases has affected campus dining services because they cannot simply pass along the increases to their customers.
"We set our prices at the beginning of the year," Wixson said. "When something like this happens, it affects us because we can't go back and renegotiate, that's not the way we operate."
So, Wixson must think of other ways to get a handle on costs.
"The only thing we can really cut the corners on is Gibson Dining Hall, reducing waste as much as possible," Wixson said. "We are removing the trays from Gibson Dining Hall. You might think of that as petty, but what it accomplishes is that inevitably somebody is going to take less. If they don't throw it away then, by
God, we've saved a couple of pennies."
Wixson said the he thinks that food inflation will get worse.
"I think what you're seeing in the restaurants is people are bracing themselves for this to be pretty consistent."
Some local restaurants have been significantly raising their prices to deal with the increasing product costs. Jenna Burks, freshman in nursing, says she may have to change her eating habits if prices continue to rise.
"I would stop eating out," Burks said. "The more they go up, the more we are just going to end up cooking our own food and eating at home because it's cheaper."
But Devin Johnson, senior in communication, takes a more stoic view.
"If you're gonna eat there, you're gonna eat there, right?" Johnson said. "It can get out of control, I guess, but if the prices are going up everywhere, you're going to pay the same. It's going to cost you."
Adam Livingston, junior in physical education, agrees that consumers will pay more if they have to.
"It will be like gas," Livingston said. "It will keep on going up, but people will keep doing the same thing. You'll gripe about it, but you're still going to do it."
And Todd Wixson, general manager of Sodexho Campus Services, blames higher food prices on higher gas prices.
"Virtually everything has increased," Wixson said. "There is no specific root to the prices rising other than gas. Gas has significant impact from the fields to the packing plant to the distributor to us."
Wixson has another explanation for the rise in food costs: ethanol.
"Ethanol is corn-based and subsequently affects other things, like the feed to the cattle. Prices go up, feed to the cattle is more expensive and now so is milk, cheese, eggs, etc. It has a ripple effect."
In fact, Wixson says, these price increases has affected campus dining services because they cannot simply pass along the increases to their customers.
"We set our prices at the beginning of the year," Wixson said. "When something like this happens, it affects us because we can't go back and renegotiate, that's not the way we operate."
So, Wixson must think of other ways to get a handle on costs.
"The only thing we can really cut the corners on is Gibson Dining Hall, reducing waste as much as possible," Wixson said. "We are removing the trays from Gibson Dining Hall. You might think of that as petty, but what it accomplishes is that inevitably somebody is going to take less. If they don't throw it away then, by
God, we've saved a couple of pennies."
Wixson said the he thinks that food inflation will get worse.
"I think what you're seeing in the restaurants is people are bracing themselves for this to be pretty consistent."
Some local restaurants have been significantly raising their prices to deal with the increasing product costs. Jenna Burks, freshman in nursing, says she may have to change her eating habits if prices continue to rise.
"I would stop eating out," Burks said. "The more they go up, the more we are just going to end up cooking our own food and eating at home because it's cheaper."
But Devin Johnson, senior in communication, takes a more stoic view.
"If you're gonna eat there, you're gonna eat there, right?" Johnson said. "It can get out of control, I guess, but if the prices are going up everywhere, you're going to pay the same. It's going to cost you."
Adam Livingston, junior in physical education, agrees that consumers will pay more if they have to.
"It will be like gas," Livingston said. "It will keep on going up, but people will keep doing the same thing. You'll gripe about it, but you're still going to do it."
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Andrew Ellifrits
posted 5/02/08 @ 1:15 PM CST
Thank you for writing such a relevant and interesting article. The economy is affecting us all and I am glad the Collegio has such stellar reporting and employs talented journalists like Ms. (Continued…)
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