FMI Statement on August CPI Food Price Numbers

Arlington, VA - Today, FMI - The Food Industry Association issued the following statement in response to the latest Consumer Price Index (CPI) numbers from the Bureau of Labor Statistics, which shows a 0.6% monthly increase in food-at-home prices for August and a 2.7% rise on a year-over-year basis.

FMI Vice President of Tax, Trade, Sustainability and Policy Development Andy Harig stated, "The rise in grocery prices after remaining flat in July is likely a result of significant production cost increases in July flowing through the supply chain. Food price inflation continues to experience challenges driven by input costs and market uncertainties."

FMI Vice President of Research and Insights Steve Markenson added, "Shoppers remain resilient regarding increases in grocery prices. FMI's September Grocery Shopper Snapshot found that 40% of shoppers expect their household finances to be better a year from now, a four-point increase since April but also four points below its peak in January. The impact of tariffs on grocery prices is shoppers' top concern, with 57% either very or extremely concerned. Despite these concerns, grocery shoppers remain savvy, as 81% feel in control of their household grocery expenses."

Harig concluded, "As an industry committed to ensuring access to affordable, safe, nutritious food, we are encouraged by the Trump administration's recent executive order establishing a zero-tariff rate for country-specific products if certain conditions are met. We are hopeful this positive step will lay the groundwork for broader and more favorable trade conditions. However, we are keeping our eye on other economic pressures that can impact production costs, supply chains, labor availability and consumer purchasing power."