Most expensive states/cities for groceries: Where Georgia/Atlanta rank
FILE - A customer walks past the frozen food aisle inside a Kroger Co. grocery store in Louisville, Kentucky, on June 14, 2017. Photographer: Luke Sharrett/Bloomberg via Getty Images
ATLANTA - As we are all well aware, the cost of groceries has seen a significant increase since the onset of the pandemic.
Before the pandemic, the inflation rate for food in the United States was relatively modest, standing at 1.4% in 2018 and 1.9% in 2019, according to the US Inflation Calculator. However, in 2020, this figure jumped to 3.4%, as reported by the same source.
By August 2022, the inflation rate for food had reached a staggering 11.4%, marking the highest point since May 1979. Fortunately, there has been a decline since then, with the year 2023 ending at a still-high 9.9%.
Despite this decrease, many find the current levels still challenging, especially for families, particularly those with children. According to the US Census Bureau's Household Pulse Survey, the average American household spends over $1,000 a month on groceries.
Breaking it down further, families without kids spend approximately $270 a week, while families with children spend an average of $331 a week—41% more than their childless counterparts. The spending patterns vary across states, with California topping the list at $297 weekly, while Georgia comes in at number 12 with nearly $20 less per week. Midwestern states like Iowa spend significantly less at around $240.
Miami claims the title of the most expensive city, with the average household spending $327 a week—14% higher than Florida's statewide average. Atlanta secures the 10th spot on the list of most expensive cities, with an average of $277.54.
Here's a snapshot of the top 5 states:
- California: $297.72
- Nevada: $294.76
- Mississippi: $290.64
- Washington: $287.67
- Florida: $287.27
The top 5 cities:
- Miami: $327.89
- Houston: $302.65
- Riverside: $300.50
- San Francisco: $298.44
- Los Angeles: $295.33
FULL LISTS FROM HELPADVISOR.COM
Now, let's explore why food prices have reached such heights. Several factors contribute, including inflation, rising labor costs, disruptions in the supply chain, and the impact of the Ukraine conflict, according to NerdWallet. The avian flu caused a spike in egg prices, and droughts and wildfires in the Western U.S. led to lower-than-average crop yields.
It's noteworthy that Ukraine, often termed "the breadbasket of Europe," historically contributed 9% of the global wheat market and 12% of the corn market before the war with Russia.
At this time, projections indicate that food prices will continue to rise in 2024, albeit at a slower pace than in 2023, according to the USDA. Food inflation is expected to slow to about 3% in 2024.