Most food categories have experienced slower price increases in 2021 compared with 2020

This is a horizontal bar chart comparing midyear inflation for major U.S. food categories in 2021 with 2020 and the 20-year historical average.

Retail food prices have increased 1.6 percent in the first six months of 2021, less than the rate over the same period last year (2.9 percent) and equal to the historical average over the same six months from 2000 to 2019. Of the 13 food categories depicted in the chart, 10 have experienced slower price increases so far in 2021 compared with halfway through 2020, while 5 categories trailed their historical midyear average price increases. In the first six months of 2021, prices for five food categories increased at a rate slower than in 2020 and years prior: eggs, dairy, fresh vegetables, cereals and bakery products, and “other foods.” Conversely, prices for three food categories increased in the first six months of 2021 at a rate faster than in 2020 and in years prior: fresh fruits (4.8 percent), fish and seafood (2.5 percent), and fats and oils (1.9 percent). Inflationary pressures differ by food category. For example, fresh fruit prices currently are increasing more than four times faster than their historical average rate because of low citrus supplies and increased exports. Prices may change during the remainder of 2021; in the second half of 2020, prices increased for all food categories except eggs and the category of beef and veal. USDA, Economic Research Service (ERS) researchers project food-at-home prices will increase between 2 and 3 percent in 2021. Forecasts for all food categories, including for 2022, are available in ERS’s monthly Food Price Outlook data product, updated July 23, 2021.

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