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# Food costs are rising, squeezing the poor
- URL: https://www.smdp.com/food-costs-are-rising-squeezing-the-poor/
- Published: 2008-04-21T15:00:00.000Z
- Updated: 2026-10-24T19:19:52.000Z
- Author: Kevin Herrera
- Tags: local, Downtown, #archive-import

*Local 12 MONDAY, APRIL 21, 2008 A newspaper with issues Rising food prices hitting families hard*

DOWNTOWN Dave Ranftle can probably bake a large mozzarella and ricotta cheese pizza in his sleep, but explaining why the price for a Dagwoods pie has jumped twice in the past year required mastering a thornier topic — global economics.

He and other managers at the popular pizzeria founded in New York City have had the difficult and sometimes uncomfortable task of explaining to customers the various factors contributing to the price hike — dairy prices driven higher by conglomerates buying up milk supplies, farmers choosing to grow more corn for export and Ethanol than wheat, heat waves in Europe and California, demand from emerging markets and the weak dollar.

Ranftle said he doesn’t want customers thinking Dagwoods was jacking up the prices just to make more money, but it seems no matter how much explaining he does, there will be those with that opinion.

“Most of the time people understand, but they are not very happy about it,”Ranftle said. “We are getting by the same way as before but we are forced to charge higher prices. I don’t think we can raise them anymore. That just wouldn’t be fair. It’s a major bummer.”

The U.S. is wrestling with the worst food inflation in 17 years, and analysts expect it to get worse before it gets better. That is putting the squeeze on poor families and forcing bakeries, bagel shops and delis to explain price increases to their customers.

U.S. food prices rose 4 percent in 2007, compared with an average 2.5 percent annual bump for the last 15 years, according to the U.S. Department of Agriculture. And the agency believes 2008 could be worse, with a rise as much as 4.5 percent.

For the U.S. poor, any increase in food costs sets up an either-or equation: Give something up to pay for food.

“We have noticed a tremendous increase of people coming for food assistance.A lot of people are coming to food pantries who have never gone before,” said Genevieve Riutort, director of development for the Westside Food Bank in Santa Monica, which provides fruits, vegetables and canned goods to local agencies such as St. Joseph Center, where families flock for food.

“Need is creeping into middle-class families so many of our food pantries have reported increases of 9 percent and we expect that to rise to 15 or 20 percent this year,” Riutort said. “It’s because the price of food is going up so dramatically. This is the first time in the 26-year history of the bank that the cost of food is rising faster than overall inflation.”

The cost of chicken is up by 7 to 8 percent and the price of canned tuna, one of the more inexpensive sources of protein, has doubled and in some cases tripled, forcing the food bank to cut back on purchasing it unless the bank has funds donated specifically for that purpose.

The food bank is cutting back on the number of eggs it is handing out as well. Now, only those agencies with kitchens are receiving eggs because the price for eggs has doubled. Fresh produce is also expensive, forcing the food bank to increase its fundraising efforts and donation drives.

“We have put the word out in the community that we need foods that are high in protein,” Riutort said. “We’ve particularly asked for peanut butter and canned tuna. Those are things hardest for us to acquire at current prices. We’ve had some success, but we could also use more help.

“We are going to have to cut back on the amount of food we are able to distribute.”

For some families, the rising cost of food has forced them to dig deep. Some have resorted to adding an extra cup of water to their soup to make it last or watering down their milk, or giving their children soft drinks because it’s cheaper than milk.

U.S. households still spend a smaller chunk of their expenses for foods than in any other country – 7.2 percent in 2006, according to the USDA. By contrast, the figure was 22 percent in Poland and more than 40 percent in Egypt and Vietnam. In Bangladesh, economists estimate 30 million of the country’s 150 million people could be going hungry. Haiti’s prime minister was ousted recently following food riots there.

Still, the higher U.S. prices seem eye-popping after years of low inflation. Eggs cost 25 percent more in February than they did a year ago, according to the USDA. Milk and other dairy products jumped 13 percent.

USDA economist Ephraim Leibtag explained the jumps in a recent presentation to the Food Marketing Institute, starting with the factors everyone knows about: Sharply higher commodity costs for wheat, corn, soybeans and milk, plus higher energy and transportation costs.

The other reasons are more complex. Rapid economic growth in China and India has increased demand for meat there, and exports of U.S. products, such as corn, have set records as the weak dollar has made them cheaper. That’s lowered the supply of corn available for sale in the U.S., raising prices here. Ethanol production has also diverted corn from dinner tables and into fuel tanks.

Soybean prices have gone up as farmers switched more of their acreage to corn.Drought in Australia has even affected the price of bread, as it led to tighter global wheat supplies.

The jump has left people in the food business to do their own explaining. Merchants have started posted signs in shop windows explaining the changes in prices. Some have called for an immediate halt to exports and a change in farm policy. A new farm bill, stalled in congress, would expand farm subsidies if it passes.

For some Santa Monicans, the resulting increases might be barely perceptible. The Cheesecake Factory raised prices by 1.5 percent at the end of February,Applebee’s by 3 percent. Santa Monicans, for the most part, tend to be wealthier than the average American,which has helped families here cope.

“It’s not a big deal yet,” said Gina Steele, a resident who was shopping at the Vons at Broadway and Lincoln Boulevard earlier this week. “I still buy the same things as before. I haven’t changed my habits.”

But for the poorest of families, the higher costs may mean going hungry. A family of four is eligible for a maximum $542 a month in food stamps, which has never lasted a whole month before.

It could mean a return to clipping coupons for others.

“I follow sales and use coupons regularly,” said resident Madelaine Matyas. “I am very aware of the prices of food in all supermarkets because I am a low-income resident and I have to be careful.”

For Israel Feuer, the rising cost of food is just something he has to live with.

“I have noticed the prices changing,” he said. “But what can I do? I have to buy food.”

![](https://storage.ghost.io/c/55/9f/559f9abc-8372-4a2e-8c2d-27386da4e363/content/images/2026/10/042108-01_01.jpg)

HOT ITEM: Luis Romo prepares a pizza at Wildflour. (Photo: Photo courtesy)

*Originally published in the Santa Monica Daily Press print edition on April 21, 2008.* [Read the original PDF.](https://s3.us-east-1.amazonaws.com/smdp%5Fbackissues/042108.pdf?ref=smdp.com)