The latest Consumer Price Index (CPI) for Food, released by USDA on August 25, shows large increases in retail beef and pork prices this year, with eggs and milk not far behind.
For beef, the report shows a 26.5 percent increase in year-over-year prices from July 2013 through July 2014. For this calendar year, the Index projects beef prices to average 10 to 11 percent higher than those in 2013. For 2015 the index projects a smaller increase in beef prices of 3 to 4 percent.
Pork prices are up by 28.4 percent 26.5 percent year-over-year from July 2013 through July 2014, and USDA also projects a 10 to 11 percent increase for the 2014 calendar year, with another 4 to 5 percent increase next year.
Farm-level milk prices increased 23.2 percent year-over-year since last July according to the report, and are projected to show an increase of 7 to 8 percent for the calendar year. Farm-level eggs increased by 15.4 percent during the same period, with a 9 to 10 percent increase projected for the calendar year.
Other key points from the report include:
- The CPI for all food rose 0.3 percent from June to July and is now 2.5 percent above the July 2013 level.
- The food-at-home CPI was up 0.3 percent in July and is 2.7 percent higher than last July. The food-at-home CPI increased 0.9 percent from 2012 to 2013—one of the smallest year-over-year increases in decades.
- The food-away-from-home CPI also increased 0.3 percent in July and is up 2.4 percent from last July.
- Looking ahead to 2015, ERS predicts food-at-home prices will see normal to slightly lower than average food price inflation, increasing 2.0 to 3.0 percent.
Find more on the Food Price Outlook from USDA.