The latest data from the U.S. Bureau of Labor Statistics shows that the Consumer Price Index (CPI) for baked foods and cereal products remained unchanged in July.
In contrast, the index for all food at home edged slightly higher, rising 0.1%.
Out of 18 items tracked by Milling & Baking News, 11 recorded price decreases, 6 saw increases, and 1 remained steady.
Experts note that while the CPI report is generally positive for food-at-home costs, broader economic pressures like tariffs and supply chain costs are creating uncertainty.
Andy Harig of FMI, The Food Industry Association, explained during a recent media briefing that grocery shoppers remain price sensitive, closely watching how trade policies and tariffs could affect household budgets.
He also noted that tariffs on materials such as aluminum and steel are feeding into food production costs, putting additional pressure on manufacturers.
According to FMI data, 55% of grocery shoppers list tariffs as their top concern related to food prices, one of the highest levels since tariffs were introduced in recent years.
Breaking down the July CPI:
- Cereals and Bakery Products Index stood at 360% of the 1982-84 average.
- Cereals and Cereal Products dropped 0.5% from June and 1.2% from last year.
- Bakery Products rose 0.2% from June and 2% from July 2024.
- Bread, cookies, cakes, and muffins showed small gains, while items like frozen pies and donuts saw slight declines.
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