FinLogic FinLogic Quantitative Think Tank Center|Why is Thanksgiving so expensive? Here's what the data says

Shoppers can FinLogic FinLogic Quantitative Think Tank Centerexpect to pay a pretty penny for their Thanksgiving meal this year. Even with food-at-home inflation slowing to 2.4% since last October, this year's Thanksgiving will not be less expensive.

According to Wells Fargo Consumer Thanksgiving report, "There are record price spreads between the wholesale price supermarkets pay versus the retail prices consumers pay – and the difference is impacting some of the most popular holiday dishes, including turkey and ham."

Here's what you need to know about Thanksgiving prices this November:

Costs of Thanksgiving:What is the average cost of a Thanksgiving meal? We break it down.

Average price of Thanksgiving meal expected to slightly increase

Last year, the average cost of a Thanksgiving feast for 10 was $64.05, according to the Farm Bureau.

Although 2023 estimates are not yet available, the Consumer Price Index shows food-at-home prices up 2.4% this year.

Even as the pace of rising grocery prices has slowed in recent months, the Bureau of Labor Statistics found that grocery prices were up nearly 17% in the past two years.

Costs of Thanksgiving:Is it cheaper to go to a restaurant for Thanksgiving dinner? Maybe not this year.

Why are Thanksgiving ingredients pricier?

Labor and food production costs contribute to the increasing cost of produce this year, and food production costs are estimated to increase by 4.1%.

"While inflation is not as extreme as last year, it is still present and grocery store prices have still been somewhat variable," Bernt Nelson, an economist at the American Farm Bureau Federation, told USA TODAY in an email.

Wildfires and droughts caused by extreme weather patterns impact crops ability to grow, which is driving up prices.

But grocery stores may be offering consumer more discounts to help lessen the financial impact of rising prices of ingredients.

According to the report, “With most food manufacturers operating at full speed based on employment growth and automation, there will be intense pressure on retailers to pass along savings to consumers in the bid for consumer shopping dollars."

How expensive are Thanksgiving side dishes this year?

Although turkey prices are decreasing, side dishes are not following similar trends. Thanksgiving side dishes are expected to be 4% more expensive in 2023 compared to last year.

This is particularly true in the Seattle, Washington metro area where, purchasing two store-bought pumpkin pies will cost around $21, according to MoneyGeek.