Meat prices on the rise again!

The price of meat may soon increase again as production costs mount and demand outstrips supply.

The cost of food is accelerating at a record rate due to soaring dairy and meat prices, official figures show. Supermarkets are having to pay 8.4 per cent more than a year ago for everything from milk and bread to ready meals and packaged meat. This is the highest annual rate since 1986 when the Office of National Statistics started records.

Analysts say most of the increases will be passed to shoppers already hit by record rises in household bills. Food prices have soared in recent months, with a £1.06 pack of butter 41 per cent more expensive than a year ago and a standard sliced loaf hitting £1 for the first time.

Statistics from The Grocer, the trade magazine, show that cheese is now more expensive than at any time in the past three years. Stilton is 41 per cent dearer than a year ago and experts calculate that a family which was spending £70 on their weekly grocery shop are now paying £400 more a year on their food bills.

Several factors lie behind rising food prices. British fruit and vegetables were hit by last year's poor summer. Many crops suffered, especially the pea and potato harvest. The wet weather also forced many dairy farmers to give their herds expensive winter feed, adding to costs.

Global commodity markets have also been in turmoil as poor harvests, especially in Australia, have led to lower supplies of wheat. This has combined with surging demand from India and China.

The mix of falling supply and rising demand produced spiralling prices for wheat, meat and dairy products. As a result, food factories are having to pay 16.4 per cent more for food ingredients than a year ago and double that rate for ingredients from Britain, according to yesterday's figures.

Analysts have warned that beef, pork and poultry producers are struggling with rising feed costs with wheat prices still climbing steadily.

So, with meat prices set to continue rising, those in the catering sector need to ensure that they are receiving good value for their meat purchases - and for good value in the south east, there's no better place to look than Burts.