On Monday, July 5th, the Nightly Business Report on PBS broadcast a special
on the “Markets at Midyear.” The special cover the stock market, real estate and
commodity pricing. As part of the story on the surging prices in commodities,
Midwest Bureau Chief Diane Eastabrook toured Eli’s to see Eli’s Cheesecake being
made and to find out the increases in our commodity costs.
We reported an over 60% increase in a number of our commodities including
cream cheese, butter, milk and vanilla. Coupled with a surcharge on freight,
increases in packing and health care means that it is far more expensive to bake
a cheesecake this year than last year. We did raise our prices slightly, but
that just covered a fraction of the higher costs. We are hoping that the major
run-up in dairy costs will ease up during the balance of the year.