Reports are out that the cost of food will likely rise 2-4 percent in 2013, about double the reported inflation rate. This will be felt first in the fresh meat department, on dairy shelves and produce sections. Within a few months, the cost of processed and packaged foods will also rise.
While last summer’s droughts are blamed for much of the predicted price increases, with the USDA stating that “most of the impact of the drought is expected to be realized in 2013,” we could also see most milk and dairy prices double if farm subsidies are cut.
Rising Grocery Prices Potential Impact on Families:
- Higher demand at local food banks and on social services
- Tighter household budgets
- Less retail purchasing, more demand for used goods
Expect more growth in local food economy in 2013
One of the good outcomes we can expect from high grocery prices is that the resurgence of local food economies in recent years will continue. This will likely include:
- More vendors and shoppers at farmers’ markets
- Larger home gardens, many new vegetable gardeners
- Increase backyard chicken flock ownership
- More interest in local beef, milk and pork production
What are your plans to help ride the tide of increased costs at the grocery store?