USDA says food prices to increase next year

By the end of next year, the U.S. Department of Agriculture expects food prices to increase by as much has four percent.

Some economists think prices could climb as high as five percent, according to an article on DailyFinance.com. The price for eggs is forecast to rise three percent, and beef prices will jump two percent. Lamb and seafood are expected to see a five-percent rise.

Over a year, a four-percent increase on grocery prices can add up. The consumer who spends $150 a week on groceries will be paying an extra $500 over the entire year.

Economists say meat and dairy will see the steepest price increases at the consumer level.

The reason, according to food giant ConAgra former chief economist Bill Lapp, is pork, beef, chicken and dairy producers are all losing money. As they reduce supplies, that will cause prices to rise......Full text here