U.S. Food Inflation Hits 43-Year High in August 2022

Global food and energy commodity prices have triggered high inflation in many countries. One of the major countries affected is the United States (US).

Based on data from the US Bureau of Labor Statistics (BLS), US food inflation reached 11.4% (year-on-year/yoy) in August 2022. This figure is the highest in the last 43 years, as shown in the graph.

The increase in food prices in the US has not stopped, as evidenced by the consumer price index (CPI) for food, which rose 0.8% to 313.142 in September 2022 (month-to-month/m-to-m). This breaks down to a 0.7% (m-to-m) increase in food inflation at home and a 0.9% (m-to-m) increase in food inflation outside the home.

Meanwhile, here is the year-on-year (yoy) food inflation at home in US urban areas in September 2022:

* Cereals and bakery products: 13.0% (yoy)
* Meats, poultry, fish, and eggs: 16.2% (yoy)
* Dairy and related products: 15.9% (yoy)
* Fruits and vegetables: 10.4% (yoy)
* Non-alcoholic beverages and beverage materials: 12.9% (yoy)
* Other food at home: 15.7% (yoy)

As is known, the Russian invasion of Ukraine has impacted the supply of food and energy commodities worldwide. Russia is a major energy exporter, and Ukraine is a major food exporter in the European region.