USDA Economists: Food prices could go up by 6% this year

Food prices could go up this year—by as much as six percent—but economists build a lot of wiggle room into those estimates, which is a midpoint in a wide range of possible scenarios.

Food prices could go up this year—by as much as six percent—but economists build a lot of wiggle room into those estimates. United States Dept. of Agriculture (USDA) Economist Matt McLaughlin warns consumers, producers, and the markets to never write those estimates into stone.

According to McLaughlin, next year, they may only go up by one percent, but that is just a midpoint in a wide range of possible scenarios. They could fall by seven percent or go up by as much as nine!

The ag industry expert says that is because there are a lot of things that could happen between now and the end of next year. As this year inches closer to a close, he says the Department is estimating a normal food price growth rate of around two percent.

Related Stories
Global food prices inched upward for the third consecutive month according to the latest FAO Food Price Index. While some Americans struggle to source their next meal, others are ordering high-priced food delivery straight to their door more than ever before.
The inflation rate seems to be dropping faster here in the United States than in Canada, but according to the chief economist with one of Canada’s largest banks, looks can be deceiving.