Inflation slowed slightly in April, with annual inflation pegged at 3.4%, off slightly from the March reading of 3.5%, according to an economic news release from the Bureau of Labor Statistics.
For April, the bureau said that prices for shelter and gasoline increased, accounting for more than 70% of the all-items inflation. While the food index was unchanged in April, with grocery food prices declining and restaurant food prices increasing, the fruits and vegetables price index declined 0.8%.
"The latest [Consumer Price Index] report demonstrates that the process of taming inflation continues, with food-at-home a particular bright spot in this month’s data,” Andy Harig, vice president of tax, trade, sustainability and policy development for FMI, the Food Industry Association, said in a news release. “On a month-over-month basis, inflation for food-at-home actually went negative at minus 0.2% and showed a strong reading of 1.1% on a year-over-year basis.
"The index for food away from home or restaurant food, rose 4.1% over the last year, with the index for limited-service meals rising 4.8% over the last 12 months, and the index for full-service meals rising 3.4%," Harig continued. "Several individual grocery categories also saw declines, including a decrease of 7.3% in the price of eggs. Food-at-home inflation is now running below both all-items inflation (3.4%) and ‘core’ CPI (3.6%). This is good news for both consumers and the food industry.”
The overall food index increased 2.2% over the last year, according to the report.
The food at home (grocery) index rose 1.1% over the last 12 months, and the report said the price index for fruits and vegetables increased 1.7% over the year.
Harig said FMI is encouraged by its latest consumer trends report that found that food price inflation has done little to impact how consumers feel about their grocery shopping experience.
According to FMI's U.S. Grocery Shopper Sentiment Index, which measures consumers’ attitudes about grocery shopping in general and their primary store specifically, sentiment reached a post-COVID-19 pandemic high in 2023 (72 out of 100) and continues to remain elevated (currently 70 out of 100), with more than half of shoppers surveyed expressing positive feelings toward grocery shopping, Harig said.
"Food is a volatile sector — which is why it is excluded from core CPI calculations — and bears continued monitoring,” he said. “For example, energy prices have a significant impact on food costs and are running hotter than expected. But today’s CPI report is incredibly positive news for grocery shoppers and shows that the industry’s efforts to engage and partner with consumers to help address high inflation have continued to drive progress.”