Food delivery is costlier in New Jersey with rising gas prices

NEW JERSEY — Starting Wednesday, skyrocketing gas costs will make it more convenient to have an Uber courier deliver dinner from your favorite New Jersey restaurant and order a more expensive ride.

Other companies that commute are also seeing their profit margins shrink as the gas costwhich stood at an average price of $4.297 per gallon in the Garden State on Wednesday, according to AAA.

It will cost 45 to 55 cents more for an Uber ride, and 35 to 45 cents more for an Uber Eats delivery, depending on gas prices in each state. The platform’s earnings remain “high relative to historical trends,” the company said in a press release, but Temporary fuel surcharge from Uber will help drivers feeling the pinch of higher prices at the pump.

Find out what’s happening in Across New Jerseywith free real-time Patch updates.

Related: Uber to Raise Fees in New Jersey to Compensate for High Gas Prices

the DoorDash delivery service offers drivers 10% cash back on gas purchases, even when not working. And those who take the most deliveries will receive bonuses of up to $15 for 225 miles.

Find out what’s happening in Across New Jerseywith free real-time Patch updates.

Grubhub driver mileage increased nationwide on March 9, Bloomberg reported, though it didn’t say by how much. Regional differences in gas prices have been taken into account.

Lyft has also added a temporary fuel surcharge, too, telling NPR in a statement that the money will go directly to the drivers. However, he did not specify how much the additional runners would pay.

Inflation was 8%, a 40-year high, in the 12 months ending Feb. 28, according to the Labor Department. With prices rising across the economy, Uber said it will continue to listen to consumers and its drivers to determine if further changes are needed.

Boston Uber driver Argenis Dominguez told NPR he had to “use gas every day to make money,” but said it cost him “a lot, $50 or $60 per day“, to keep fuel in his Toyota Highlander.

A number of rideshare drivers are also planning a global strike on St. Patrick’s Day. Posts on social media platforms indicate that drivers are protesting against low wages.

Local businesses are also suffering

Among those hurting are places hiring their own drivers like Avon, Connecticut, pizzeria owner Michael Andrew. He told NBC Connecticut that “gas prices have created an interesting challenge” for his company, E&D Pizza Co.

It’s a trickling effect“, he said. “Right now, the immediate impact we’re seeing is that suppliers are raising their prices to wholesalers who then raise their prices down the line for us.”

Andrew hasn’t had to raise the cost of the pies, but he may have to as he faces rising gas costs while paying the delivery drivers.

“We’re keeping our fingers crossed hoping we don’t see $7 a gallon gas, because then things become inevitable,” he said.

Airline costs could skyrocket

Just as traveling by car is more expensive, it will also be it costs more to fly. Costs were already rising as the travel industry retreated from the pandemic crisis, but larger increases are likely in the next two to three months as airlines hedge and lock in oil prices, giving them some spike protection, industry analysts told The Washington Post.

A 10% increase in fuel costs translates to about a 3% increase in airline operating costs, which could open the door to higher fares, Robert W. Mann Jr told The Post. ., industry analyst and aviation consultant.

But it depends. Inflation is driving up costs at every turn, and “some people will say, ‘I can either fill the oil tank with fuel to heat the house, or buy a more expensive ticket to Walt Disney World to take the family,'” Mann says La Poste.

That could put pressure on airlines to lower fares, Hayley Berg, head of price intelligence at Hopper, told The Post.

“But we would expect that if there is a continuation of a conflict and it impacts oil supply in the United States and around the world, we would expect higher airfares. this summer than what we are currently anticipating,” Berg told The Post.

Some foods cost 30% more

High fuel prices also make a trip to the grocery store even more painful than it already was. In the recent 12 months ending in February, Americans paid 13% more for meat, poultry and eggs, 11% more for milk and 8% more for fruits and vegetables.

The trickle-down effect that Connecticut pizzeria owner Andrew was talking about is also at play here. Whether plant or animal, agriculture is a fuel-intensive industry that uses gasoline, diesel and other energy as soon as fields are prepared for planting or a cow gives birth in grazing.

“It will cost us $106,000 more in diesel fuel alone operate at the same capacity as in 2021,” Virginia farmer Ben Smith told the National Desk.

All this means food prices could rise furtherup 5% in the first half of 2022, the Wall Street Journal reported.

KraftHeniz Co. said in a Jan. 24 letter to customers obtained by CNN Business that it was raising prices on certain pantry staples. The most dramatic price increase: it will cost 30% more for Oscar Mayer turkey bacon. More modest cost increases include:

  • Coffee products: 5%
  • Velveteta fresh packaging: 6.6%
  • Charcuterie and hot dogs: 10%
  • Kool-Aid and Capri Sun drink packs: 20%

General Mills plans to raise costs for dozens of brands, from popular breakfast cereals such as Cheerios, Wheaties, Cinnamon Toast Crunch, Lucky Charms and Reese’s Puffs to other items such as Progresso Soups, Yoplait yogurts, Fruit Roll -Ups, Betty Crocker and Pillsbury.

“Nothing is immune to price hikes,” said Tony Sarsam, managing director of a food retailer and distributor. Spartan Nash Co.Told
The Wall Street Journal.

One trend to watch: The heavier the vegetable, the higher the transportation costs and the cost at the grocery store, supermarket executives told the Wall Street Journal. This means that items such as potatoes and celery are likely to become more expensive.

Shrinkflation is costing you more

Contractionis also at stake. The Doritos bags are five fewer chips and the bag size is smaller at 9.25 ounces, compared to 9.75 ounces, a Frito-Lay spokesperson told Quartz. But they cost the same price.

Wheat Thins boxes are even thinner now, with about 28 fewer crackers. Consumers are also getting less M&M and less Gatorade – although the sports drink maker said the smaller 4-ounce bottles cost more due to the redesign.

“Basically we’ve redesigned the bottle, it’s more streamlined and easier to grip,” a spokesperson for PepsiCo, maker of Gatorade, told Quartz. “The redesign generates a new cost and the bottles are a little more expensive… it’s just a matter of design.”

Another example of shrinkage, according to Quartz: You’ll get one less brushing with a tube of Crest 3D White Radiant Mint toothpaste.

Happy Hour Buzz Kill

Alcoholismis also expected to worsen with rising gasoline prices. Brewers and distillers are already paying more for grain and almost everything needed to make their products.

Preparing for typical liquor cellar storage ahead of the holidays, Ryan Friesen — the head distiller of Santa Ana, Calif., Blinking Owl Distillery — and other industry players held prices at bay to give pause to their customers.

“The tendency has been to absorb this for as long as possible,” Friesen told the Los Angeles Times in December. “It will end. It has to. If we absorb an additional – and I’m not kidding – 100% increase in our transport costs, for example, we can’t take that hit forever.”

The longer the distance wine, beer and spirits have to travel to get to you, the more expensive they are likely to be. One way to save is to support local breweries, distilleries and wineries.

The cost of staying clean

Procter & Gamble – which makes Pampers nappies, Tide detergent, Gillette razors and a wide range of other personal care and hygiene products – plans to continue to increase prices in 2022.

The consumer goods giant, which saw sales rise 6% in the fourth quarter of 2021, is betting demand will remain strong for its products.

“The consumer is very resilient and very focused on these clean home, health and hygiene categories,” P&G chief financial officer Andre Schulten said in an interview with The Wall Street Journal.

Procter & Gamble price increase on 80% of products sold in the United States, CNBC reported.