Grocery prices at record high
YUMA, Ariz. (KYMA, KECY) - Grocery prices are at a record high across the nation including closer to home.
A recent study by Trace One shows U.S. grocery prices have increased by nearly 25% since March 2020, making them the highest they’ve been since the start of the pandemic.
One local grocery shopper said the high prices impact how they have to budget to take care of their family.
"I’m hoping it goes down soon," said local shopper, Ramon Haro. "With $100s, I used to be able to fill groceries. Now you don’t get nothing for $100."
The study said people spend over $250 weekly on groceries on average in 37 states. They say eggs, beef, flour, and canned produce are just a few of the items with the most significant year-over-year price increases.
I reached out to Trace One who conducted the study to ask why prices are so high. They said inflation, wage growth, and supply chain disruptions from the pandemic all play a factor.
They shared a written statement saying, “Additionally, a majority of grocers are facing labor shortages, which can drive up wages and, in turn, grocery prices. Meanwhile, extreme weather is reducing crop yields globally, and grocery chain consolidation continues to diminish competition in the industry.”
And even with the increased prices, a local agricultural agent said farmers aren't necessarily benefitted since the grocery and restaurant supply chains set the retail price. He said the farmers still have to deal with fertilizer price increases or if possible diseases affect the crops.
“It's challenging for the farmer because the farmer tends to purchase all of their inputs at a retail cost, and then they’re expected to sell what they grow at a wholesale cost, so margins are very slim for the growers,” said University of Arizona Assistant Agricultural Agent Robert Mason.
The Labor Department said it plans to see grocery prices drop slightly this Memorial Day weekend, so it might be a good time to start stalking up on your favorite items this coming weekend.
