Food prices up 33% as Americans battle highest grocery price spike in 50 years — with no relief in sight

Food prices up 33% as Americans battle highest grocery price spike in 50 years — with no relief in sight

Food prices in the US have shot up by 33% over the last seven years, the biggest jump in grocery prices in half a century — with no relief in sight.

While rampant inflation was to blame for the biggest surge during the pandemic, prices have continued to soar since, with ground beef best demonstrating the out-of-control market as it hit $6.82 a pound in June, a 79% increase from 2019, according to the US Bureau of Labor Statistics.

The fact that prices have remained stubbornly high for years means that they are not something Americans can simply weather through, but a new normal for shoppers, said Scott D. Martin, a partner at the Kingsview Wealth Management firm.

American shoppers have had to contend with soaring grocery prices that have persisted well beyond the COVID-19 pandemic Xinhua News Agency via Getty Images

“While inflation has cooled from its peak, grocery prices have not returned to where consumers remember them,” Martin told The Post.

“Food prices have effectively reset to a permanently higher level after years of supply chain disruptions, labor shortages, transportation costs, and broad inflationary pressures,” he added.

The new normal was clearly laid out in the US Bureau of Labor Statistics’ records over the last 14 years.

Between 2012 and 2019, the US saw a total increase in food prices of just 6.4%, with the cost skyrocketing once the pandemic hit in the early months of 2020.

Following the pandemic’s damaging effects — between January 2021 and January 2023, food prices surged by about 21%, and costs have continued to go up by nearly 10%.

Douglas Holtz-Eakin, President of the American Action Forum institute, noted the spike has remained persistent due to shrinking US cattle herds and the start of the Ukraine war in 2022.

“Grocery prices have gone up especially in 2021, but they have stayed high due to cattle disease and bad growing conditions,” he said. “The war in Ukraine hurt as well because it’s essentially the grain basket of the world.”


Red meat displayed at a grocery store, with price tags of $6.99 for shoulder london broil and $7.99 for beef chuck for stew.
Meat prices are among the highest, with the cost of ground beef up 79% since 2019. Getty Images

Perhaps the biggest tell that grocery prices have risen to absurd levels actually comes from Americans themselves, who have been forced to “fundamentally” change the way they shop.

“Households are increasingly purchasing private-label brands, comparing prices across multiple retailers, buying in bulk when discounts are available, and cutting back on discretionary food purchases,” Martin said.

“Even higher-income consumers have become far more price-conscious because groceries are one of the most visible household expenses,” he added.

Any relief is unlikely to come as the US contends with renewed pressure from tariffs and increasing transportation and energy costs, Martin noted.

Prices for all food are expected to increase by 3.1% in 2026, and by another 3.1% next year, according to the Economic Research Service’s latest forecast.

With Post Wires

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