Grocery prices continue to strain household budgets across the country, with new data showing that food costs remain elevated years after the start of the COVID-19 pandemic, according to a study released by Trace One.
December inflation data showed overall annual price growth holding at 2.7%, supporting expectations that the Federal Reserve will leave interest rates unchanged. Grocery prices, however, rose 0.7% during the month, marking the largest one-month increase since October 2022 and reinforcing the persistence of food costs for consumers.
โIโm spending more money and walking out with fewer bags. Meat and eggs are the biggest difference,โ said Kelly McEwing, 34, of Wilmington, Delaware. โIt feels like the basics cost way more than they used to.โ
Trace Oneโs analysis of federal pricing data found that grocery inflation has exceeded overall consumer price growth since March 2020. During that period, the Consumer Price Index for food consumed at home increased 29.4%, compared with a 25.6% rise for non-food items.
Beef products recorded the steepest price increases of any grocery category. Prices for beef roast climbed 73.8% since the pandemic began, followed by beef steaks at 57.0% and ground beef at 52.5%. Trace One attributes the increases to a reduced U.S. cattle inventory driven by drought conditions, higher feed costs, and herd reductions that tightened supply nationwide.
Egg prices showed sharp swings over the same period. While egg prices rose 51.4% since March 2020, they declined 13.2% from December 2024 to December 2025 after earlier spikes eased.
โI barely buy beef anymore. Steaks and roasts are just too expensive now, so we stick to chicken or ground turkey and skip extras,โ McEwing offered.
The sustained cost of groceries has carried an additional burden for African American households, which historically allocate a larger share of income to essential expenses such as food. With less room to absorb prolonged price increases, higher grocery bills continue to affect household stability even as inflation slows in other areas.
On average, U.S. households now spend $681 per month on groceries, accounting for 43.5% of all food spending. Several states report substantially higher monthly grocery costs, including Utah, Alaska, and Idaho.
Mississippi households devote the largest share of consumer spending to groceries at 9.3%, followed closely by Hawaii at 9.2%.
The analysis was conducted using data from the U.S. Bureau of Labor Statistics, U.S. Bureau of Economic Analysis, U.S. Department of Agriculture, and U.S. Census Bureau.
โWe plan every meal now,โ said Rosalyn Upshaw, 48, of Philadelphia. โI check sales, buy store brands, and cut back in other areas just to keep groceries under control. Even if a few things come down, groceries are still one of the hardest bills to manage every month.โ

