Expect to pay more for your Christmas tree this year. Here's why.

Astrid Kayembe, Memphis Commercial Appeal
·3 min read

If you're looking for a live Christmas tree, expect to pay more this year.

Some Christmas tree sellers say they are increasing their prices by double-digit percentages and are blaming unduly high shipping costs tied to the ongoing global supply chain issues.

Add to that supply and demand issues.

With people spending more time at home in 2020 due to the COVID-19 pandemic, Christmas tree farms saw a sharp uptick in sales. While expecting a similar increase this year, sellers are concerned about the supply.

Spencer Priddy ties a mid-sized tree to a customer's car at Priddy Farms in Arlington.
Spencer Priddy ties a mid-sized tree to a customer's car at Priddy Farms in Arlington.

"Everything between the shortage, supply and demand issues and then the transportation cost, trees have really increased in price this year," said Spencer Priddy, owner of Priddy Farms in Arlington. "We started seeing it a little bit this last year but especially with transportation and fuel costs. Tree [prices] are going up considerably."

Experts said tree buyers should expect to pay between 10% and 30% more for both live trees and artificial trees this year and also have a smaller selection to choose from.

Priddy said his customers could expect to pay 25% more for their trees this year.

Average costs this year are $78 for a live tree and $104 for an artificial tree, according to the American Christmas Tree Association.

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Is there a shortage of live Christmas trees?

The shortage of live trees, sellers say, has persisted for the last decade following a cycle of overplanting and underplanting of Fraser fir trees across the country. In 2008, planters had harvested more trees than were able to be sold for the coming years. In response to the decline in demand, farmers began planting fewer trees.

Because trees take eight to 12 years to reach their full size and be ready to put on the market, we are now seeing the result of that shortage and have been for the last five years, according to Charles Wilcox, a tree grower and wholesaler with Appalachian Evergreens in North Carolina.

Spencer Priddy, owner of of Priddy Farms, said his customers could expect to pay 25% more for their trees.
Spencer Priddy, owner of of Priddy Farms, said his customers could expect to pay 25% more for their trees.

According to local wholesalers and retailers, the shortage means that there will be fewer trees to sell. Based on the demand, they're still expecting to sell out, only the profit will be smaller.

Additionally, sellers also cite an increase in costs to transport the trees — especially rising fuel costs — as another reason why prices will be higher this season.

"I, personally, have never paid this much for trees to bring them in," said Priddy, who is in his 23rd year of selling Christmas trees. "I paid twice as much [to transport] trees this year than I ever have. It's shocking. And I really hate that that reflects on the trees that I sell."

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Christmas trees feel supply chain woes

Shipments of artificial trees have been delayed this year due to supply chain issues including a shortage of truck drivers to make deliveries.

“Some of the major retailers say they have about 43% of their inventory right now when it should be closer to 70% at this time of the year,” said Jami Warner, executive director of the American Christmas Tree Association.

Sharon Hawkins from Merry Christmas Tree farm in Nesbit said she was only able to secure a third of the number of 9- to 10-foot trees she requested from her seller.

But retailers are still hopeful the season will still be successful. Hawkins said she sold out of trees by the first week of December last year and she's expecting a similar if not better turnout.

"I expect that the season will be as good as last year, you know maybe even be better," Hawkins said.

To get the best deals on a tree, farmers suggest buying a tree earlier in the season.

Despite the apparent shortage on the distribution side, Tim O'Connor, spokesperson for the National Christmas Tree Association, emphasized those who want a tree will be able to get one.

"We will have enough trees for everyone who wants one," he said. "We've never run out of trees. And this year, looks a lot like last year in that respect for planted trees."

The Associated Press contributed to this report.

Astrid Kayembe covers South Memphis, Whitehaven and Westwood. She can be reached at astrid.kayembe@commercialappeal.com, (901) 304-7929 or on Twitter @astridkayembe_.

This article originally appeared on Memphis Commercial Appeal: Christmas tree prices are expected to increase in 2021. Here's why.