Food Prices Continue Modest Rise in February, Egg Costs Surge Again

Food prices showed a more moderate increase in February, with the latest Consumer Price Index reporting a 0.2% rise, down from January’s 0.4% increase. The mix of rising and falling prices across different food categories resulted in an overall steady trend for groceries, while dining out became slightly more expensive.

Food at home

The food at home index remained unchanged in February, as decreases in four of the six major grocery store food groups were offset by increases in the remaining two. The meats, poultry, fish, and eggs category continued its upward trajectory with a 1.6% increase, once again driven primarily by eggs, which surged 10.4%. The beef index also contributed to this rise, increasing 2.4% over the month.

Price changes in the other grocery categories included:

• Cereals and bakery products (+0.4%)
• Other food at home (-0.5%)
• Fruits and vegetables (-0.5%)
• Nonalcoholic beverages (-0.5%)
• Dairy and related products (-1.0%)

The food at home index has risen 1.9% year-over-year. The meats, poultry, fish, and eggs category led with a significant 7.7% increase, largely influenced by the dramatic 58.8% surge in egg prices over the 12-month period. Other notable annual increases included nonalcoholic beverages (+2.1%), dairy and related products (+0.8%), and cereals and bakery products (+0.3%), while fruits and vegetables decreased 0.2%.

Food away from home

The food away from home index rose 0.4% in February, doubling January’s 0.2% increase. Both full service meals and limited service meals contributed to this rise, increasing 0.4% and 0.3%, respectively.

Over the past 12 months, the food away from home index has increased 3.7%, up slightly from January’s 3.4% annual rate. Full service meals also saw a 3.7% yearly increase, while limited service meals rose 3.5% over the same period.