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Peanut Butter Prices Expected to Rise

Peanut butter prices are on the rise and pretty soon it’ll be just as expensive as gasoline.

Cleveland.com reports, because of the major droughts and ridiculously hot weather in the peanut agriculture states, consumers will see a rise in prices for peanut butter and peanut products.

States like Texas and Georgia, two of the nation’s leading peanut farming states, have had difficulties growing the crop this past year. The states faced problems due to the dry weather.

The United States Department of Agriculture predicts that this year’s peanut crop is estimated at 3.61 billion pounds, a 13 percent decrease from last year’s 4.16 billion pounds.

Vincent Byrd, Smucker President and Chief Operating Officer, said that, “Our peanut prices will be significantly higher as we end the calendar year 2011.”

Prices are estimated to go as high as 30 percent, so stock up now folks or get use to just plain jelly and banana sandwiches.

[THX: Cleveland Business  Photo Credit: Gus Chan, The Plain Dealer]