By Paul WalshPublished Jun 11, 2017 05:21:12Welch’s Fruit Drying, a major fruit company, and Whole Foods, a supermarket chain, are among the top 10 companies that saw their prices rise on average during the third quarter, according to research firm Food Innovation Alliance.
While prices were down across the board in the second quarter, the impact was much greater for the fruit companies, whose price increases were nearly three times greater than those of other food retailers.
In the third-quarter, the food and beverage category saw the biggest increase in prices, with prices up 2.4% compared to the previous quarter, and more than four times the increase of the other categories, including bakery, ice cream, ice-cream maker, ice creams, soft drinks and soft drinks mixes.
Overall, food and drink was the third largest category, with total increases in the fourth quarter of 9.9%, according to Food Innovation.
It was followed by wholesale, retail and restaurant food, with 7.3%, 6.8% and 5.3% increases respectively.
Welches Fruit Dressing, which sells fruit-flavored drinks and snacks, saw its prices rise by $8.6 billion in the third period compared to $8 billion in 2016, while the company said it expects the cost of its fruits and snacks products to rise again next year.
Wendy’s, the nation’s largest grocery chain, saw a 3.3 percentage point increase in its prices during the quarter, but the increase was offset by a decline in wholesale and retail prices.
Walgreens, which operates more than 400 grocery stores and more general stores than any other company, saw the largest increase in wholesale prices, up 4.2%.
The grocery chain said it plans to increase the cost for fresh produce by an average of 9% in the coming year.
Walgreens also plans to spend $300 million on a new distribution system that will give its customers greater choice in where they can buy their groceries.
Walmart, which also operates more stores than anyone else, saw an increase in the average price of its groceries, from $0.06 per pound in the first quarter to $0:09 in the quarter.
The increase was mostly due to an increase of $2.4 billion in wholesale costs, the company reported.