Consumers will likely have to shell out even more for groceries next year.
The USDA’s first food price forecast of 2023 is out, and it doesn't look good. The agency predicts grocery prices could go up another 2% to 3% next year. The costs of dining out at restaurants could rise another 3% to 4%. Officials cite inflation, the war in Ukraine, and European heat waves as reasons for the rise. Industry analyst Edward Rincon says neither the private sector nor lawmakers appear to be motivated enough to address the issue.
“There doesn’t seem to be any real measure to control food prices,” Rincon said. “Even the food banks are running out of resources to help those in need across the nation.”
He adds that lower gas prices will help consumers, but solely focusing on prices at the pump won’t fix the problem.
“The saving that you might get from lower gas prices are going to be blown away by the increasing food inflation,” Rincon explained.
Food prices are also on the rise globally. That includes staples like break, milk, and eggs.