New government data show grocery prices climbed again last month, contradicting repeated claims by President Donald Trump that food costs are “down” or “way down.” According to the latest Consumer Price Index report released Friday, average grocery prices rose 0.3% from August to September, following a 0.6% increase the previous month — the sharpest jump in three years.
Overall, grocery prices are now 2.7% higher than a year ago and 1.4% higher than they were in January, when Trump began his current term. The Bureau of Labor Statistics reported that most major grocery categories saw price increases last month, continuing an upward trend that has stretched across much of 2025.
Cereals and bakery products rose 0.7% in September, as did nonalcoholic beverages. Meats, poultry, fish, and eggs increased 0.3%, and the “other food at home” category went up 0.5%. Fruits and vegetables were unchanged, while dairy and related products declined by 0.5%.
Year over year, prices are up across all six major grocery categories. Nonalcoholic beverages have climbed 5.3% since last September, meats and eggs 5.2%, and cereals and bakery goods 1.6%. Fruits and vegetables increased 1.3%, and dairy products rose 0.7%. Some individual items have surged far more dramatically: coffee prices are up nearly 19% in the past year, while beef and veal have jumped almost 15%.
Economists say multiple factors are driving the increases, including trade policies and labor shortages. Tariffs on imported goods and stricter immigration enforcement — which have reduced the availability of farm labor — have both contributed to higher food costs. Imported staples such as coffee and bananas, along with tariff-sensitive products like beef, have been particularly affected.
Though food inflation has moderated from the record levels seen in 2022 following Russia’s invasion of Ukraine, the current rise underscores the continued volatility of global supply chains. Weather disruptions and shipping costs have also added pressure on prices.
Source: Yahoo News, CNN