Prepare to Pay More for Your Christmas Tree This Year
The Real Christmas Tree Board reports that the cost of live Christmas trees will increase this year due to inflation. Like many agriculture businesses, tree farms face skyrocketing production costs, including paying more for labor, shipping, fuel, seed, and fertilizer.
In August, the Real Christmas Tree Board polled 55 wholesale growers of Christmas trees, who supply about two-thirds of the USA’s Christmas trees. 71% of growers said they plan to raise wholesale prices they charge retailers by 5% to 15% over last year, with some saying they would raise prices as much as 20%. Most retailers will have to pass some of this price increase on to customers.
The biggest worries for tree farmers this year are freight and shipping costs, slowdowns in the supply chain, and how inflation will affect how much people spend.
Despite an anticipated increase in Christmas tree costs, demand remains high, with the majority of those surveyed saying they still plan to buy a live Christmas Tree.