April prices for food purchased at grocery stores were up 2.7% from March and 4.1% above year-ago levels, the U.S. Department of Agriculture reported.
“Notably, the newly released April Consumer Price Index numbers indicate that food-at-home (retail) prices had a month-to-month rate of inflation higher than any month since 1990, while food-away-from-home (foodservice) prices were nearly flat,” the USDA said in a summary of its Food Price Outlook Report. “For the past several years, inflation for food-at-home prices had been slower than for food-away-from-home prices; however, the effects of the COVID-19 pandemic have ended that trend.”
The food-away-from-home CPI increased by 0.1% in April and was 2.8% higher than April 2019, according to the report.
So far this year, the food-at-home prices have increased by 1.8% while food-away-from home prices increased 1.9%.
Of all the food categories USDA’s Economic Research Service tracks, the USDA said eggs have seen the largest relative price increase (7.4%); fresh fruits have had the largest relative price decrease (1.7%).
The USDA now projects food-at-home (retail grocery) prices will increase between 2% and 3% in 2020. Food-away-from-home prices are expected to increase in a range between 1.5% and 2.5% in 2020.
Highlights of price changes:
- The CPI for meats, poultry, and fish increased by 3.9% from March 2020 to April 2020 and is up 6.2% since April 2019. The USDA said closures of many meat-processing facilities have put upward pressure on retail meat prices despite abundant farm-level meat supplies.
- The CPI for eggs increased 15% from March 2020 to April 2020 and was up 17.3% from April 2019.
- Fresh fruit retail prices were up 2.2% from March to April this year, and April prices were 1.7% lower than year-ago levels;
- Fresh vegetable retail prices were up 0.6% between March and April, and April prices were 0.8% higher than a year ago.
