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High cotton prices drive up linen and towel costs

By Dr. Duru February 24, 2011 #BAL, #cotton, #hotel, #iPath Dow Jones - UBS Cotton Total Return Sub-Index ETN

In “As Cotton Prices Rise, So May the Cost of Hotel Rooms“, CNBC cites the soaring costs of linens and towels as a potential contributor to higher hotel prices. I was most fascinated with the incredible price hikes since last summer.

Prices are from 2010 to 2011 as paid by hotels.

Queen-sized sheets: $72/dozen to $116/dozen (+61%)
Pillows: $8.80 to $9.56 (+9%)
Bath towels: $41/dozen to $64/dozen (+56%)

Cotton prices have been the main driver for skyrocketing costs.

Using BAL as an example, cotton has risen at least 162% since the end of 2010.

http://plus.cnbc.com/rssvideosearch/action/player/id/1811372910/code/cnbcplayershare

By Dr. Duru

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