Food prices forecast to rise even more this year

by Jeff Ishee

A new report from the USDA Economic Research Service indicates retail food prices are expected to continue rising through the end of this year.

Prices for fresh vegetables are expected to rise in 2026. Image credit - USDA

According to the U.S. Chamber of Commerce, food price inflation is driven by a mix of supply‑side pressures, demand surges, and structural bottlenecks. The most consistently cited causes include labor shortages, supply‑chain disruptions, higher energy costs, and strong consumer demand, all of which raise the cost of producing and moving food.

Below are some examples from the USDA report, published on May 22, 2026:

• Beef and veal 12.1% increase

• Fresh vegetables 7.8% increase

• Sugar and sweets 6.3% increase

• Nonalcoholic beverages 5.8% increase

• Fish and seafood 4.9% increase

Only three categories of food are expected to be cheaper by the end of the year:

• Dairy products 0.1% decrease

• Fats and oils 1.6% decrease

• Eggs 29.8% decrease

See the complete report here>> (Excel spreadsheet)

https://ers.usda.gov/media/6459/changes-in-consumer-price-indexes-2023-through-2026.xlsx?v=12443