The Washington Post reports breakfast costs are rising. Paragon Economics President Steve Meyer says one reason for the increased bacon cost – 5-56 per pound at the end of January – is PEDV. The price of high-grade coffee beans from Brazil – supplying 46-percent of coffee beans – has increased 71.5-percent since the end of last year due to a drought that could wipe out 10-percent of Brazil’s coffee crop by 2020. Last week – coffee prices reached two-dollars and five-cents per pound – a two-year high. There’s also a problem with orange juice. FDA blocked imports of frozen concentrated orange juice from Brazil last month because tests showed traces of a fungicide that can’t be used legally on oranges in the United States. In 2010 – Brazil supplied nearly 11-percent of orange juice consumed in the U.S.
Fast food chains are beginning to compete more in the breakfast market after restaurant breakfast traffic increased three-percent last year.