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Is butter going to be scarce in 2022?

NASHVILLE, Tenn. (WTVF) — Ahead of the holidays when Americans do extra cooking, the US Department of Agriculture (USDA) and Bureau of Labor Statistics are predicting a butter shortage. The USDA reported there is 22% less butter in storage in October 2022 than there was in October 2021.

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NASHVILLE, Tenn. (WTVF) — Ahead of the holidays when Americans do extra cooking, the US Department of Agriculture (USDA) and Bureau of Labor Statistics are predicting a butter shortage. The USDA reported there is 22% less butter in storage in October 2022 than there was in October 2021. Doubling down, the Bureau of Labor Statistics reported the cost of butter is more than 24% more than it was a year prior. "What we're hearing is it has to do with labor shortages. It has to do with increase in cost that dairy farmers are facing and for that reason, they just can't manufacture as much butter as they used to or as we're accustomed to," stated Kelly Goldsmith, Vanderbilt University graduate school of management marketing professor.

She stressed she is not encouraging panic buying, but rather planning ahead.

"If you know you've got a big important holiday meal coming up and you're the one doing the cooking you need to stock the pantry. Think ahead, get your hands on those items you know you're going to need to cook with," stated Goldsmith.

Claire Kopsky Vanderbilt University Graduate School of Management Marketing Professor Kelly Goldsmith

"A lot of the classic holiday dishes require a lot of butter and a lot of flour and a lot of those staple products that we may not use in our everyday cooking... how much butter do you put in mashed potatoes? A ton!" said Goldsmith. "If we learned anything else from the pandemic. Don't wait to the last minute to do it. Do it now if you can." Nashville butter seller Wendy French Barrett founded Wise Butter in 2016. She uses local butter to make a selection of flavored butters. "We've sourced our butter from the Hatcher family in Williamson County, and they've been dairy farmers for over 100 years," said Barrett. While the big box market is talking of a shortage, Barrett said she has not felt the pinch more than normal yet. "We always have trouble getting butter this time of year just because more people are using it with the holidays coming up. So we always plan and buy extra," stated Barrett. "And so we are well-stocked for this going into the season, because we always know that it's just a little more competitive buying butter, because more people are using it."

Claire Kopsky Wise Butter Founder Wendy French Barrett

However, she said in Tennessee, there is a cream surplus.

"A few more dairy farmers that are producing cream and it is caused us to have right now in Tennessee, we kind of have an excess of cream, and we don't have the employees and the bandwidth to produce that into butter," Barrett explained. Because of the excess, it has kept butter prices competitive for butter-buyers like Wise Butter.

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"It fluctuates a lot, but like I will tell you that for a case of butter it is the typical would be $125 it is $200, and that’s if I can get it," explained Barrett.

Claire Kopsky Wise Butter's prices haven't risen since opening in 2016

Barrett said she has not raised her prices since she opened in 2016 and said the jump in prices from the big box companies does not add up. "There's really no reason that the prices should go up like this. I know that we're having staff shortages and things like that, you know, due to COVID," Barrett said. "But it really we shouldn't be seeing this kind of increase in the prices. And if you're going to be paying more for a product, please buy local." Barrett admits, her butter is not healthier than most of what customers can buy at their grocery store but rather more concentrated. "I grew up in the South," she said. "I'm into making the most delicious food possible. And I kind of have a 'YOLO' mentality that I’m like, 'just eat a little bit of it is really good.'" Claire Kopsky The USDA reports there is 22% less butter in storage in October 2022 than their was in October 2021. "Consumer behavior is really unpredictable. So understand what your needs are, make sure those needs are met and then you can take the edge off the holidays," advised Goldsmith. So buy early, buy local or plan for different recipes this holiday season. "Let's say...you can't make your grandma's mashed potato recipes. I would actually say rather than getting too beat up about that, see this is a cool time to innovate and do something different. There is olive oil, there are substitutes. There are different recipes you can try. And I think stepping back for the pandemic and thinking about a little bit of the silver lining. We did see a lot of innovation we did see a lot of creativity," said Goldsmith. "It's a great time to try something new and let this be the one year that you try something new on the table and maybe that's a new tradition that lasts for a while."

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