Inflation and Gas Prices Cause Christmas Tree Prices to Rise Winter Season
December 16, 2022
The holiday season being in full swing welcomes the multitude of major holidays taking place currently, one being Christmas. This festive celebration is known for a variety of traditions, such as presents, cute decor, and of course, the famous Christmas tree, which is lavishly decorated with ornaments, sentimental decor, and has an overall superb aesthetic. However, the custom of purchasing a natural tree to accessorize has skyrocketed in price recently, due to recent inflation surges and limited amounts of fully-grown trees which are ready to be sold.
Though the price individual trees vary based on type, size, and grade, the total fare is largely up to the retail lot and wholesale growers. According to CNN,“The industry group Real Christmas Tree Board in August surveyed 55 wholesale growers of Christmas trees who account for about two-thirds of the nationwide supply.” The surveyors found “…71 percent of those surveyed expect to raise the wholesale prices they charge retailers by 5 percent to 15 percent compared to last year, and some others cited increases as high as 20 percent.” Retail giants might be able “…to absorb some of the price increase, but they will likely need to pass some of those costs on to shoppers” (cnn.com).
Students at UC High have noticed the increase in prices at chain stores. Sophomore Stella Monge said, “I have already bought my tree this season.” She typically buys her trees at Walmart, and has “…noticed that prices have surged this year compared to the last.” Monge prefers her trees to be bigger, which she believes “…may have contributed to the steep price.” In the end, Monge purchased her tree for about a 100 dollars.
Sophomore Pria Kussat has noticed the same pattern at her local Christmas tree lot as well. She “…usually purchases a tree at a small lot” which is near her house, and suspected that “…inflation may be the cause of the price increase this year.” Kussat said that at her nearby tree lot, prices have “almost doubled” since last year.
Inflation is a prime factor in the price increase for trees this year, on both the consumers’ and farmers’ end. “While consumer price inflation is hovering above eight percent, farmers’ production costs are skyrocketing much higher as fees for labor, fuel, seed and fertilizer continue to rise,” said a reporter for CNN. Fuel costs rising makes transportation much more expensive. The CNN website said, “The Real Christmas Tree Board’s survey showed top concerns for growers this year are freight and shipping costs followed by supply chain slowdowns and the impact of inflation on consumer spending” (cnn.com). Monge touched on the impacts of inflation on tree transportation, and compared it to everyday transit. She said, “Gas prices rising affects daily commutes, and the same effects certainly apply to freight costs, likely to a much larger extent.”
Be sure to compare Christmas tree prices carefully if you wish for the best deal this holiday season. Prices can vary depending on the retailer, whether that be a large retail chain or a local tree lot. In the end, be sure to rest up and enjoy holiday decorating!