Companies Cut the Cheese
While waiting in line trying to decide whether to order two double cheeseburgers or just go for a Big Mac, I realize that there exists a new item on the menu called a McDouble.
As I'm standing there with three people behind me wishing me some form of pain due to my hesitation, I ask the cashier the dumb question twenty other people asked that same day, "what's the difference between a McDouble and Double Cheeseburger?" She politely informs me that the McDouble, priced at 99 cents, has only one slice of cheese while the double cheeseburger, priced at $1.
19, has two slices of cheese.
Welcome to a recession.
As of January 2009, a block of cheddar cheese costs $2.
08 per pound on the Chicago Mercantile Exchange, up 78 percent from $1.
17 per pound a year ago.
Due to the increase in dairy, some companies have been feeling the pinch of higher cheese prices.
It's not just McDonald's but restaurants across the country are being affected.
Rising cheese prices combined with record prices for gasoline have hit pizza shops particularly hard.
Pizza eateries have tried distributing the costs to customers by increasing their prices, but most wonder whether it is enough to offset the cut into profits.
As prices increase, consumers have started to look for alternatives for cheese mainly vegetarian cheeses.
These include soy cheese, tofu cheese or chreese.
Chreese is a vegan, plant-based cheese substitute made with nutritional yeast.
As of right now, there are four different types of chreese including: cheddar, mozzarella, gluten free alfredo style and kids chreese.
The situation looks to worsen as the milk supply decreases in coming months.
As usual this will lead to more companies looking for ways to save on the cost of cheese.