Food Prices Expected To Increase In 2018

During the past two years, we saw the national average for food prices drop just slightly.

"But in 2018 we can expect to pay 1 to 2-percent more for groceries overall than we did in 2017."

Ag Department economist Annemarie Kuhns said even with the slight hike, we're still paying less than we did back in 2015.  Kuhns said the price increase won't impact all foods.

"Fats and oils are expecting prices to decrease 1.5% to 2.5%. Pork prices could potentially decrease up to half a percent, but they could also increase up to half a percent. And we're expecting the same range for fresh vegetables and also processed fruits and vegetables."

Industry analysts are forecasting increases for pretty much every other food category, not so much because of higher prices for raw farm products, but rather small increases in "electricity, diesel prices, oil prices, labor prices, packaging, retail overhead."

Of course, these are only predictions. Last year at this time Annemarie was also forecasting prices to increase by as much as 2% in 2017, and they ended up dropping slightly.

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