Real Deal: Local granola company sees rising cost of business as cereal and bakery prices increase

Kelly's Family Foods operates out of a 6,000-square-foot warehouse that supports its current supply and demand, but costs recently have gone up across the country and for the business.

Jay Lederman and Alexa Farrell

Mar 24, 2023, 10:03 AM

Updated 421 days ago

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A family-run granola company based in Connecticut says they are feeling the rising cost of business after cereal and bakery prices are seeing an increase.
Nate Kelly is the CEO of Kelly's Family Foods in Norwalk, making about 600 lbs. of granola a day to fill 900 bags. 
Kelly says the business started in 2012 and was made with ingredients from his mom's pantry in New Canaan.
Now, Kelly operates out of a 6,000-square-foot warehouse that supports their current supply and demand, but costs recently have gone up across the country and for Kelly Family Foods.
"It's been hectic. It’s been a lot to deal with," Kelly says.
Caleb Silver with Investopedia has been studying the price increases in the state and says Connecticut consumers are paying more for baked goods and cereal.
"Even though overall inflation seems to be moderating in Connecticut, there are still some very high prices we are paying. For cereal and bakery items, consumers are paying nearly 15 percent more than this time last year," Silver says,
"We have seen a significant increase in our costs especially in the last 18 months," Kelly says.
Kelly says the company already had to raise their prices once, but that they are thankful to their customers who continue to support them by buying their product.
Kelly's Family Foods 'Four Plus' granola comes in six different varieties and is sold in grocery stores throughout the tri-state, Massachusetts and New Hampshire.


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