Food Prices Soar

COURT HOUSE – American food prices have steadily risen, creating a concern for households that spend a lot of their overall budget on purchasing food. Whether it is shopping at the local grocery store or eating out in a restaurant, food prices have skyrocketed. 

According to the U.S.Department of Agriculture (USDA), retail food prices partially reflect farm-level commodity prices, but packaging, processing, transportation, and other marketing costs have a greater role in determining prices on supermarket shelves and restaurant menus.   

Other factors affecting food prices include supply and demand, weather, and disease outbreaks, like the bird flu.  

The United Nations Food and Agriculture Organization (FAO), as reported on newsnationnow.com, stated that the war in Ukraine was largely responsible for the 17.1% rise in the price of grains, wheat, oats, barley, and corn. 

Global demand for food is high, but higher fuel prices and shipping costs, along with other supply chain bottlenecks, like a shortage of truck drivers and shipping containers, continue to push up prices, said Christian Bogmans, an economist who commented on nytimes.com.   

At the same time, worker shortages in our country are prompting restaurants and businesses to raise their pay rate, and offer bonuses to attract new job applicants, forcing the owners to raise their prices to secure a profit. 

When interviewed for this story, many residents said they are now shopping around, using coupons more often, and buying generic. According to usatoday.com, consumer prices have jumped 8.5% and food costs are expected to continue to rise. The only category that the USDA expects not to rise is fresh vegetables.

Comparing Food Prices from Pre-pandemic 2019 to Post-pandemic 2022