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Jan 7, 2013 10:05 AM by Ryan Haarer

Grocery prices rise, droughts cited

TUCSON - We often forget that produce neatly arranged on store shelves and milk, pasteurized and bottled come from farms. When the drought destroys crops that contribute to just about everything on the shopping list, the final grocery bill rises.

Rincon Market is not worried about losing customers but they do fear their customers may have to pay more this year. The concern stems from a report recently done by the United States Department of Agriculture. In 2013 the agency expects grocery prices to rise 2.5 percent to 3.5 percent. Feed prices are to blame for part of that. But, when it comes down to your own grocery list you can bet stores are keeping a close eye on which items are making money.

"We'll just evaluate what increases, how much of our product increases, how big the increase is, and see where we are out now in our margins and we will have to act accordingly from there. if we have to go up we are going to have to go up," said john Abbott, general manager of Rincon Market.

John says he has seen scares like this before and not much has come of it. He is holding out to see what move the food economy makes next.

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