High Food Prices Creates Organic Food Dilemma

[S.Annadana]

JACKSON, Miss. -- Experts predict that the cost of food may hit record levels this year. In the niche of organic foods, the increasing cost has some businesses wondering if they will survive.

The Rainbow Whole Foods grocery store is already seeing the effects in slow membership numbers for the co-op and of customers buying less.

The country's two largest warehouse chains, Sam's Club and Costco, are limiting purchases of imported rice.

Sam's Club, owned by Wal-Mart, is allowing customers to buy only four 20-pound bags of jasmine, basmati and long grain rice because of what it says are "recent supply and demand trends."

At Rainbow Whole Foods, rice is only one item customers are watching.

"You think three or four times before you buy things now," said Flowood resident Sandra Thmes. "You are only buying things when you need it. You are not stocking up anymore."

Rainbow Whole Foods cold foods manager Scott Jenkins said prices in the store have had to go up, though Rainbow has sacrificed its profit margin on milk, eggs, wheat and rice to keep those prices low.

"It’s kind of getting to a point where people want to see what's going on," Jenkins said.

Rainbow managers aren't sure how the lost profit will affect the store in the long run. They said staffing is already at a minimum and they do not want to cut their selection.

"It’s really up in the air at this point," Jenkins said. "Some say the cost of gas will be over $4 this summer and that really scares us."

It also scares shoppers like Jackson resident Dawn Bynum. Bynum said she has already made cuts of her own.

"We eat more casseroles then just meat and potatoes by themselves," Bynum said. "We don't do fast food like we used to."

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