Food and fresh produce inflation continues to slow.
In November, all food prices were measured 2.9% higher than a year ago, according to the latest Consumer Price Index. The inflation rate for grocery food in November was 1.7% above November a year ago, while restaurant food prices were 5.3% above last year at the same time.
For all of 2023, the USDA said food prices are predicted to increase 5.8%; grocery prices are expected to increase 5% for the year and restaurant prices are forecast up 7.1% for the year.
The USDA said retail prices for fresh fruits and vegetables are predicted to continue their slow growth relative to other categories from 2022.
Prices for fresh fruits are predicted to increase by 0.7% in 2023, while the USDA said prices for fresh vegetables are predicted to increase by 0.9% in 2023.
Farm-level fruit prices are predicted to decrease by 0.8% in 2023, and farm-level vegetable prices are predicted to decrease by 11.2% in 2023, the USDA said.
2024 outlook
The USDA expects all food prices to rise 1.2% in 2024, with grocery prices forecast to decrease by 0.6%, though restaurant food prices are expected to rise by 4.9%.
In 2022, the USDA said food prices jumped by 9.9%, with grocery prices up 11.4% and restaurant prices up 7.7%.
