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Food Price Pressure to Rise

    USDA agency looks ahead at food prices and notes that inflation levels may return to a range closer to historical norms.

Last week USDA's Economic Research Service (ERS) issued its report on food prices with a look at key inflation numbers. The agency reports that in 2013, food prices for "food-at-home" was up just 0.6% from a year ago, while "food-away-from-home" was up 2.1%.

In reviewing prices, the agency notes that, despite the historic drought of 2012 and dire predictions for food prices, "retail food prices were mostly flat in 2012.

Prices rose for beef and veal, poultry, fruit and other foods in 2012; however, prices fell for pork, eggs, vegetables, and nonalcoholic beverages. For the remaining food categories, prices were mostly unchanged."

Back to normal? USDA's ERS sees more "normal" inflation ahead, which would be an increase from 2013.

To read more about rising food prices, click here.

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