Food Prices Likely to Rise as Economy Improves
NEW YORK -- Prices for beef, milk, eggs and some other grocery items are likely to start moving up again as the economy recovers, according to a new federal report and economic analysts interviewed by The New York Times.
"The impact from lower energy prices on grocery store prices has largely been played out, and so we’re now looking at grocery store prices to rise modestly through the end of the year," said Mark Vitner, a managing director and senior economist at Wells Fargo.
The government report, by the Economic Research Service of the Department of Agriculture, said grocery prices decreased 0.5 percent in July, compared with June. Grocery prices in July were down 0.9 percent, compared with July 2008, when overall food costs were surging.
"The impact from lower energy prices on grocery store prices has largely been played out, and so we’re now looking at grocery store prices to rise modestly through the end of the year," said Mark Vitner, a managing director and senior economist at Wells Fargo.
The government report, by the Economic Research Service of the Department of Agriculture, said grocery prices decreased 0.5 percent in July, compared with June. Grocery prices in July were down 0.9 percent, compared with July 2008, when overall food costs were surging.