In the coming months, consumers should expect to pay more for those trips to the grocery store, as the U.S. Department of Agriculture’s Economic Research Service (ERS) says food prices will rise 3% across the board, with produce leading the way.
Prices for fruits and vegetables – very weak in 2009 – will record the highest projected inflation.
At the lower end of price inflation will be 2% increases for the price of meat products including beef and pork, with prices for poultry and fish coming in a little bit higher.
According to ERS officials, one of the key reasons for the food price increases will be grocery stores returning to normal pricing patterns with the improvement of the economy.
Eventually, as costs of food prices stabilize and the economy in general improves, there will be less aggressive price cutting.
There will be a trend for potential resurgence of inflation this year and into 2011.
View the YouTube link of this announcement from the USDA at http://www.youtube.com/watch?v=BHZ5JzOBV1A.
