Food prices soar to 40-year highs, pinching shoppers at groceries and restaurants
Americans last month saw the biggest increase in their food bills in 40 years amid rising labor and energy costs, as well as global supply chain issues.
Americans last month saw the biggest increase in their food bills in 40 years amid rising labor and energy costs, as well as global supply chain issues.
In May, the food price index increased 10.1 percent compared to the same time last year. That's the first increase of more than 10 percent since 1981, the U.S. Bureau of Labor Statistics reported Friday.
Prices for food at home increased 11.9 percent in May year-on-year. Within that category, chicken prices were up 17.4 percent, the largest increase ever recorded. Pork prices increased 13.3 percent; bacon, 15 percent; milk, 15.9 percent; coffee, 15.3 percent; and fruits and vegetables, 8.2 percent.
Food away from home, like at restaurants, was up 7.4 percent.
U.S. households spending $450 more per month due to inflationJune 10, 202202:23What's causing the increase? It's a combination of factors, experts say. Some of the largest costs for food come from workers' pay and fuel costs to deliver products. Right now, job postings for positions at food processing plants are at all-time highs, meaning there are more job openings than employers are able to fill. Businesses have offered higher wages as a result — costs that ultimately get passed on to consumers.
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