Monday, March 30, 2009

The price of milk

According to the USDA Dairy purchases account for 12% of the average family's monthly household grocery spending. About 20% of my monthly grocery bill goes to milk alone. Isn't that crazy! We drink 5 gallons of milk a week--my boys aren't even full-fledged teens yet!

I watch milk prices like a hawk. When prices go down I soar in for the kill. That's why last week I was so excited about the free milk deal when you buy Kellogg's cereal, I needed that milk.

Again, according to the USDA the cost of milk increases an average of 2% per year. In 2006 the average price of a gallon of whole milk was $3.02. In 2007 the price rose to an average $3.08 per gallon. But in 2008 the price had risen to an astounding $3.87 a gallon! That is a 26% increase in just one year!

I have never paid $3.87 a gallon but I had noticed prices were higher last year and it was really killing me. Occasionally I could catch a sale for $2 a gallon but they were far and few between last year. Even Costco's regular price was about $2.50 a gallon. I guess at least it wasn't as expensive as gas.

This year prices are falling again, on gas and milk. HURRAY! There have been sales on milk at Fred Meyer's about every 3-4 weeks, there have been several free milk coupons available at Albertsons and -------

Costco has just lowered their milk prices!! As of last week Costco was selling their 2 gallon packs of milk at the following prices
  • non-fat $2.99/2 gallons
  • 1% $3.29/2 gallons
  • 2% $3.49/2 gallons
  • whole milk $3.69/2 gallons
That means there is now a 100% chance of me purchasing milk at Costco again.

1 comment:

  1. By the way........have you checked out Trader Joe's??? Whew......now THERE'S a bargain. Not a full selection of everything, but loads of great items.

    My daughter did her shopping at Safeway, then the following week bought many of the same items at WalMart. When she compared the prices she actually saved 35% at WalMart! Many of the items were on sale at Safeway, so the prices at WalMart were still better. It's a one stop shop with tons of savings!

    Blessings,
    Spencer

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