Another reason to be thankful

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CHICAGO - Stocking the fridge and pantry for a big feast at Thanksgiving is never cheap. But consumers who were braced for steeper costs because of the recent spike in energy prices can relax a little when they head to the supermarket before the holiday.

Thanks to stiff retail competition that keeps stores from risking big markups, prices for most food items are only nominally higher than they were a year ago, according to government data and survey results released last week.

Even shoppers with full carts weren't grumbling in a spot check at a Chicago supermarket, finding that prices hadn't shot up as was feared in the aftermath of hurricanes that wreaked havoc with transportation costs.

"I would say things are up a little bit, but not much," said Paul Stancy, who was loading up on food and beverages last week at the store on the city's northwest side.

That sentiment jibed with monthly statistics reported by the U.S. Labor Department showing that food costs edged up 0.3 percent in October, a slight acceleration.

"I think we're seeing higher food prices than we would have absent the increases in energy costs," said Ephraim Leibtag, food price analyst for the U.S. Department of Agriculture. "But we haven't seen anything go off the charts price-wise."

Food price inflation has been relatively low in 2005, he added, with costs estimated to increase about 3 percent over last year.

That's exactly how much more a traditional Thanksgiving dinner with all the fixings is likely to cost a shopper this year compared with last year, according to the American Farm Bureau Federation. Based on results of informal price checks conducted by 108 volunteer shoppers in 30 states, the average cost of this year's feast for 10 is $36.78, up $1.10 from 2004.

Milk, pumpkin pie mix, frozen vegetables, stuffing and rolls were higher in prices while sweet potatoes and fresh cranberries were among items that were lower, the result of more-abundant crops this year.

The slight overall increase largely can be attributed to higher energy prices, which affect processing, packaging, refrigeration and shipping costs, said Terry Francl, a senior economist at the federation.