The cost of groceries jumped half a percent in November, driven by higher prices for eggs and beef.
The 0.5% increase in the index for food at home help push the overall Consumer Price Index up 0.3% last month, although supermarket prices have still risen just 1.6% over the past 12 months.
The CPI is up 2.7% over the past year, the Bureau of Labor Statistics reported Wednesday.
The price of eggs, which has been highly volatile over the last several years because of the avian flu outbreak, rose 8.2% in November. Egg prices are up 37.5% over the past 12 months. Beef prices rose 3.1% in November, while the price of pork products was up 1.2%.
The index for dairy products fell 0.1%, reflecting a 1.2% drop in cheese prices. The index for fruits and vegetables rose 0.2%, led by higher prices for potatoes and bananas.
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USDA’s Economic Research Service, which forecasts food inflation, has estimated that food prices will be 1.2% higher for 2024 and increase 1.6% in 2025. The average increase over the past 20 years is 2.7%.
Andy Harig, vice president of tax, trade, sustainability and policy development for FMI-The Food Industry Association, which represents major supermarket chains, said in a statement that the 0.5% increase in the food-at-home index “bears watching.”
“Increases in the price of eggs (8.2%) — driven by avian influenza — and the price of beef (3.1%) — driven by high input costs — both point to challenges the food and agriculture supply chain are working to address. But November's numbers continue to demonstrate that, for consumers looking for affordability, eating at home is still the best bet,” Harig said.
The index for eating away from home rose 0.3% in November and is up 3.6% over the past 12 months.
