Grocery prices strain household budgets as shoppers cut back

Food bought for home consumption in American cities costs about 33% more than it did at the beginning of 2019, according to government data cited by the Associated Press. Before the recent stretch of rising prices, grocery costs had risen 6.4% over the previous 7 1/2 years.

Pandemic supply problems, higher labor and shipping costs, drought, hurricanes, bird flu, tariffs and the war in Ukraine all contributed to higher prices. Grocery inflation also varies by region, with June prices up about 2% year over year in St. Louis and 6% in San Francisco.

The pressure is heavier for lower-income households. Americans spent an average of 12.9% of pretax income on food at home and eating out in 2024, while the lowest-earning fifth of households spent about 33%.

Many shoppers are using coupons, visiting multiple stores, buying generic products and planning meals around sale prices. Some families are also relying on food assistance and food banks.

Read the full story at thecooldown.com.