“According to the Chicago Tribune, the U.S. government left its food price inflation forecast unchanged in a monthly report Nov. 25, projecting that a sharp climb in prices will abate in 2012.”
Oh so the cost of food isn’t going to decrease, just the steep increases may decrease in 2012. Gotcha!
If you’ve done any grocery shopping in 2011, you’ve probably noticed some price increases in the food you buy. In fact, roughly all food for 2011 was expected to be up between 3.5 and 4.5% followed by a projection of 2.5 to 3.5% in 2012. Great, next year it’s going to be a wee bit more expensive to buy the same foods.
Not entirely unexpected given the 6 Causes of High Food Prices While food prices may not be projected to continue such an increase, you can bet eating in 2012 isn’t going to be cheaper than 2009. And 2020, who knows, you may want to investigate your own farm (just kidding).
The biggest jump? The meat isle. The USDA projects good old meat prices to climb 6.5 to 7.5% in 2011 followed by another 3.5 to 4.5% increase next year. Why? The cost of food to feed the food (feed costs) and a strong export. The US dollar is weak and getting weaker which means other countries that are now enjoying beef, chicken and pork can get it cheaper. Bad for us locally, great for exports. I’d suggest sticking to the tips outlined in 3 Ways to Cut Your Grocery Bill in an Economic Crisis.
If you need ideas of what types of food to buy that are healthy, that you can get at discounts, bulk or generally cheaper, check out How to Shop Like a Pro.
It looks like the steep increases might abate in 2012 but do not mistake that for a reduction in costs. I’m not an economist but nothing is getting cheaper as there are more people pulling on the demand. Except electronics. But like I’ve said before, salting up your XBox with balsamic vinaigrette is not going to work. You can’t eat that USB drive.
Got any food tips, tricks or grocery ideas?
Marc David – CPT
“The NoBull Muscle Guy”
Author of NoBull Bodybuilding