Food remains an economic bargain in U.S.

Posted 1/31/01

Food remains an economic bargain in U.S.

Food in America is affordable.

In fact, between Jan. 1 and Feb. 7, the average American will have earned enough income to pay for his or her familyís entire food supply for 2001.

As a result, the Minnesota Farm Bureau Federation (MFBF) is celebrating Feb. 7 as Farm Bureauís Food Check-Out Day. Last year, it fell on Feb. 9.

To mark the occasion, MFBF will donate $500 worth of food to Ronald McDonald Houses in both Minneapolis and Rochester.

The Ronald McDonald House provides a ìhome-away-from-homeî for the families of seriously ill children receiving medical treatment in these areas.

The food will be used to help feed visiting families staying at the houses.

In addition, the MFBF State Promotion & Education Committee will hold special events at grocery stores in Stillwater and Rochester.

The Stillwater event will take place Feb. 6 from 2 p.m. to 6 p.m. at the Stillwater Cub Foods grocery store.

Several county Farm Bureaus across the state of Minnesota will also be holding special events at local grocery stores.

According to the latest statistics compiled by the Agriculture Departmentís (USDA) Economic Research Service, American families and individuals currently spend, on average, 10.4 percent of their disposable personal income for food.

That average percentage is down from last yearís figure of 10.9 percent.

Applying the current 10.4 percent statistic to the calendar year, it means the average household will have earned enough disposable income ñ that portion of income available for spending or saving - to pay for its annual food supply in just 38 days.

ìNot only is Americaís food supply the world's safest, but itís also the most affordable,î according to Larry Michaletz of Lester Prairie, MFBF State Promotion & Education (P&E) Committee chair.

"It speaks well of our nation's increasing standard of living which would certainly be reduced without the affordable, domestic food supply produced by America's farmers and ranchers,î Michaletz said.

In comparison to Food Check-Out Day, Tax Freedom Day (the day the average American earned enough money to pay federal, state and local taxes) was May 3 last year, according to the Tax Foundation.

ìI find it amazing that people can pay for their yearly food supply three months earlier than it would take them to satisfy their tax burden,î Michaletz said.

ìRather than being an economic burden, food remains quite a bargain for shoppers,î the chairman said, adding, ìThatís the way it should be.î

Michaletz said he hopes Americans will come to understand that the high-quality, affordable food they enjoy is ìa product of our successful food production and distribution system.î

Michaletz said the systemís success must also be attributed to Americaís farmers as they continue to focus on retaining access to effective and affordable crop protection methods.

ìThis day should hold meaning for most Americans,î Michaletz said.

ìAs food producers, we are concerned that some Americans cannot afford to buy the food they need, but we are proud of the part Minnesota farmers play in making our food supply more affordable for all,î he said.

The percent of disposable personal income spent for food has declined over the last 25 years.

In 1970, Food Check-Out Day was 11 days later, Feb. 20.

Food is more affordable today due to a widening gap between increases in per-capita incomes and the amount of money spent for food, according to the USDA.

This overall decrease is made more notable by the fact that trends indicate Americans are buying more expensive convenience food items for preparation at home as well as more food away from home.

USDAís latest statistic, compiled for 1998, includes food and non-alcoholic beverages consumed at home and away from home.

This includes food purchases from grocery stores and other retail outlets, including food purchases with food stamps and vouchers for the Women, Infants and Childrenís (WIC) program.

The statistic also includes away-from-home meals and snacks purchased by families and individuals as well as food furnished to employees.

ìFood Check-Out Day tracks the amount of income needed by Americans to purchase food on an annual basis,î Michaletz said.

ìIt should be useful over time to measure fluctuations in the affordability of food,î he said.

For more information on Food Check-Out Day, contact your county Farm Bureau office.