The informal survey shows the total cost of 16 basic grocery items in the third quarter of 2006 was $41.09, up about 3 percent or $1.13 from one year ago.

The surveyed items increased $1.18 in the third quarter of 2006, compared to the second quarter, when the survey items dropped by 82 cents.

Of the 16 items surveyed, nine increased and seven decreased in average price compared to the 2006 second-quarter survey.

Red Delicious apples showed the largest increase, up 33 cents to $1.51 per pound. Other items that increased in price:

Bacon, up 32 cents per pound to $3.39;
Flour, up 25 cents to $1.88 per 5-pound bag;
Mayonnaise, up 24 cents to $3.37 per 32-oz. jar;
Toasted oat cereal, up 21 cents to $3.10 per 10-oz. box;
Whole chicken fryers, up 10 cents to $1.38 per pound;
Vegetable oil, up 4 cents to $2.57 per 32-oz. bottle;
Eggs, up 3 cents to $1.08 per dozen; and
Cheddar cheese, up 1 cent to $3.52 per pound.

Items that decreased in price from the second quarter of 2006 were: corn oil, down 10 cents to $2.70 per 32-oz. bottle; bread, down 8 cents to $1.44 per 20-oz. loaf; Russett potatoes, down 6 cents to $2.45 for a 5-pound bag; pork chops, down 5 cents to $3.32 per pound; sirloin tip roast, down 4 cents to $3.70 per pound; and ground chuck and whole milk, each down 1 cent to $2.65 per pound and $3.03 per gallon, respectively.

“Weather-related yield reductions in Washington state, home to nearly 60 percent of U.S. apple production, contributed to the retail price increase for apples,” said AFBF Economist Jim Sartwelle. “Relatively stable retail beef and pork chop prices in the third quarter were not surprising. The supply of cattle and hogs was more than sufficient to satisfy consumer demand,” he said.

The share of the average food dollar that America's farm and ranch families receive has dropped over time, despite gradual increases in retail grocery prices. “If you look back to the mid-1970s, at that time farmers received an average of one-third of consumer retail food expenditures. That figure has dropped steadily over time and is now just 22 percent, according to Agriculture Department statistics,” Sartwelle said.

Using that percentage across-the-board, the farmer’s share of this quarter's $41.09 marketbasket total would be $9.04.

AFBF, the nation's largest general farm organization, conducts its informal quarterly marketbasket survey as a tool to reflect retail food price trends. According to Agriculture Department statistics, Americans spend just under 10 percent of their disposable income on food annually, the lowest average of any country in the world. A total of 61 volunteer shoppers in 29 states participated in this latest survey, conducted during August.

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