How regulatory policy, immigration, and tariffs affect the cost of BLT ingredients

According to data from the federal Bureau of Labor Statistics (BLS), in January 2021 the average cost of a pound of bacon was $5.83, whereas it now reaches about $6.60. The price increase is partly linked to the impact of Proposition 12, passed in California in 2018. This regulation requires providing more space for chickens, calves, and pigs, and also applies to all producers wishing to sell meat products in the state. According to estimates by the National Pork Producers Council, compliance with these requirements has increased production costs across the board by approximately 9 percent.

The market for leafy greens is affected by the labor situation in Yuma, Arizona, where farmers depend on the labor of immigrants using H-2A visas. Tightened immigration controls, including intensified checks and heavy fines, have resulted in some workers refusing to travel for seasonal work. The Department of Labor has warned of the threat of an "imminent labor shortage" that could affect food supplies and the supply chain for sandwich lettuce.

In addition, changes in trade policy have affected the tomato market. Last year, President Donald Trump terminated the 1996 agreement that allowed Mexican tomatoes to be imported into the US duty-free. As a result, Mexican tomatoes, which ensured the availability of fresh vegetables for most of the year thanks to longer growing seasons, became subject to tariffs. Following the introduction of tariffs, prices for fresh vegetables rose by nearly 40 percent year-over-year.