| To give an indication of the size of the gluten free | | | | provides more evidence. Ref 2 The comparison |
| market, in 2004, Americans consumed 133 | | | | was performed on prices for all food products |
| pounds of wheat per person. From July 2004 to | | | | labeled "gluten-free" and comparable |
| July 2005, consumers spent over $600 million on | | | | gluten-containing food from two large-chain |
| gluten-free foods, an annual growth of 14.6%. | | | | general grocery stores. The researchers |
| The market for GF foods and beverages in USA | | | | compared the unit cost of each food, calculated |
| in 2007 exceeded $700 million, and is forecast to | | | | as the price in dollars per 100 grams of each |
| be $1.7 billion in 2010. | | | | product. Not surprisingly, all 56 gf products were |
| ECONOMIC COSTS | | | | more expensive than regular products. And in |
| While only a few studies have been made, they | | | | particular: |
| do give us a good indication of what being a celiac | | | | - The average unit price for gluten-free products |
| can cost you at the cash register. Consider this | | | | was$1.71 |
| study in June 2007 "using data from the United | | | | - The average unit price of regular products was |
| States Department of Agriculture (USDA) about | | | | $0.61 |
| typical household food consumption, researchers | | | | - The statistical probability of this result was very |
| assembled "market baskets" of regular and gfree | | | | high (p |
| foods. The availability and the difference in price | | | | SPECIFIC COSTS |
| between the 11 regular and gfree items in the | | | | The following data is from a 2007 US |
| market basket were compared according the | | | | Government study (ref 2). It shows that the cost |
| type of store and the region in which the items | | | | of gluten-free products is considerably higher than |
| were purchased. Researchers surveyed local | | | | their equivalent wheat filled products: |
| grocery stores, upscale grocery stores or regional | | | | - Wheat flour $0.34/lb TO Brown rice flour $1.89 |
| chains, health food stores, and 4 online sites. | | | | lb |
| Regions of the country were represented by | | | | - Wheat bread $1.09/loaf TO GFREE bread $6.00 |
| New York City and Westchester County, Portland | | | | loaf |
| OR, Atlanta GA, Rapid City SD, and Chicago IL." | | | | - Wheat pasta $0.87/lb TO GFREE pasta $3.69/lb |
| Ref 1 | | | | - Chocolate chip cookies $2.69/lb TO GFREE |
| The researchers found that health food stores | | | | chocolate chip cookies $12.83/lb |
| and online sites had the largest selection of | | | | - Wheat crackers $1.63/lb TO Rice crackers $9.12 |
| gluten-free foods, carrying 94% and 100% of the | | | | lb |
| market basket items respectively, compared to | | | | (ref Study by the US Department of Labor, |
| availability of 41% in upscale markets and 36% in | | | | 2007, Bureau of Labor: Consumer Price Index ) |
| local grocery stores. | | | | CONCLUSIONS The rationale for the extra |
| HOW MUCH MORE Expensive? | | | | expense of g-free foods you pay for is |
| The price of the gf foods was found to be 79% | | | | compelling: |
| more than their equivalent foods. Bread and pasta | | | | - GF foods need to have production lines and |
| was twice as expensive as their wheat-based | | | | factories cleaned of all gluten products before |
| counterparts. Cost was affected more by | | | | they can be manufactured. This single use |
| shopping venue than geographic location. In this | | | | environment usually means production costs for |
| American study, GF cereals were found to be the | | | | manufacturers are increased. |
| exception in that they cost about the same. | | | | - GF is a fledgling and captive market, only a small |
| However in Australia, GF cereals tend to be much | | | | number of suppliers are producing foods that |
| more expensive as they are often sold in smaller | | | | meet the strict GF standards. This means that |
| boxes (half the weight) for the same price as | | | | they are able to set a higher price for their |
| equivalent gluten cereals. It was found that | | | | relatively exclusive wares. |
| internet shopping portals were the most | | | | - Supply is often limited to specialty stores, which |
| expensive place to buy gf foods, followed by | | | | typically have higher margins. |
| health food stores and upscale markets. | | | | - Additional ingredients (such as xanthan gum, |
| Again in Australia the reverse appears to be true | | | | guargum, etc.) require extra preparation steps |
| as we generally find that online supermarkets are | | | | that add to the cost. |
| one of the most price competitive locations - | | | | Until enough celiac are diagnosed (note current |
| excluding postage costs. The researchers (ref 1) | | | | levels are about 10% to 20% in developed |
| admitted that they performed the analysis over a | | | | countries) to reach a critical mass in the |
| relatively small sample number so it is wise to | | | | manufacturing and retail segments, the prices will |
| compare this with any other research. A study on | | | | remain high. |
| GF Food cost at Dalhousie University, Nova Scotia | | | | |