However, government data shows that higher food prices, for both groceries and restaurant meals, have remained stubbornly high since the pandemic began four years ago, according to analysis for Food & Wine by
Donald Grimes, a regional economics specialist at the University of Michigan.
Between January 2020 and January 2024, wholesale prices for food rose an estimated 22.4%. Though they’ve come down since 2023, wholesale costs are at the second-highest level of the past 15 years, according to the government’s
Producer Price Index for commodity foods.
Grimes’ analysis showed that prices for processed foods rose 22% in the four-year period from 2020 to 2024 and are the second highest it's ever been in the past 20 years.
Meanwhile, food eaten away from home, which includes all types of restaurants, is at its highest level in two decades, up 25.6% in 2020. In urban areas alone, the cost of sit-down restaurant meals is up 24.1%, to the highest index rate ever, while
fast food meals across the country are up 29.6%.