Soaring prices on the menu

Area restaurant owners got to see some numbers Tuesday evening that they're all too familiar with.

In the past year, soy prices are up 76.55 percent, wheat is up 67.95 percent, cheddar is up 29.65 percent and diesel fuel is up 48.6 percent, according to statistics presented by representatives of Watson Sysco at a meting of the Permian Basin Restaurant Association.

But nothing has affected food prices more than the rising cost of corn, and attorney Gaylord Hughey told the gathering of 35 people it's time to do something about it.

Hughey pointed to the government sponsored rise of corn-based ethanol as a culprit in prices increasing 138 percent in the past two years.

"We believe it's been a national factor in the increased price of corn," he said. "Anytime the private sector has to compete against a government subsidy, it disturbs competitive market forces."

Hughey asked those in attendance to send letters of support for Texas Gov. Rick Perry's request of the Environmental Protection Agency for a 50 percent waiver from the federal renewable fuel standard mandate for ethanol.

Roy Gillean, restaurant association president, said he called he meeting to help restaurant owners better deal with rising costs.
"I'm hoping that, with a little bit of education, we can put our heads together and find out what we need to do," he said.

So, association members got to hear from food suppliers as well as those who help in other areas like linens - while enjoying dinner at the Barn Door Banquet Hall - which included a side dish of corn.

Although restaurant owners weren't encouraged to raise prices, Jerry Morales, owner of Gerardo's Casita, said he recently did just that for the second time in six months.

Despite having plenty of customers, Morales said he closed his Odessa location because of high costs and staff shortages.

"We have to adjust our menu pricing, but at the same time, you cannot portion smaller or sacrifice the quality of product," he said
Morales, also a member of the Texas Restaurant Association, said immigration reform also needs to be addressed.

"I want to see if they're going to come up with some kind of work visa program and put people to work," he said. "Help us with some of the staff shortages we have."