Research
October 15, 2026
Food Costs
Wholesale food prices rose in September but remained below year-ago levels
After two consecutive monthly declines, average wholesale food prices registered a moderate increase in September.
The Producer Price Index for All Foods – which represents the change in average prices paid to domestic producers for their output – increased 0.6% between August and September, according to preliminary data from the Bureau of Labor Statistics.
That followed sizable declines in both July (-1.3%) and September (-0.6%), which gave restaurant operators a temporary reprieve from the sharp increase in commodity prices that defined the last several years.
September’s trend reversal in the food price index was driven by gains in prices for unprocessed finfish (+59.1%), fresh vegetables (+36.9%), fresh fruit (+8.6%), prepared seafood (+4.0%), beef and veal (+2.6%) and wheat flour (+2.1%).
Even with the uptick in September, average wholesale food prices remained 2.6% below their September 2025 level. That was the third consecutive month in which the food price index declined on a 12-month basis.
Despite the recent moderation, wholesale food prices remained well above their pre-pandemic levels. As of September 2026, the Producer Price Index for All Foods stood 34% above its February 2020 reading.
While the overall food price index declined on a 12-month basis, pricing trends across individual commodities varied significantly.
Producer prices for unprocessed finfish (+59.6%), prepared seafood (+19.3%), fresh vegetables (+17.8%), fats and oils (+14.8%), wheat flour (+9.4%), fresh fruit (+9.1%), tea (+4.3%), soft drinks (+4.0%) and processed fruits and vegetables (+3.1%) stood above their September 2025 levels.
In contrast, the price indices for eggs (-75.3%), butter (-32.0%), pork (-19.4%), confectionary materials (-16.6%), processed poultry (-13.8%), refined sugar (-8.6%), unprocessed shellfish (-6.7%), cheese (-4.5%) and beef and veal (-3.6%) declined from their year-ago levels.
With the direction of food costs diverging across commodities, the degree to which restaurants are experiencing pricing relief depends on the menu mix of each individual operation.
The Producer Price Index for All Foods – which represents the change in average prices paid to domestic producers for their output – increased 0.6% between August and September, according to preliminary data from the Bureau of Labor Statistics.
That followed sizable declines in both July (-1.3%) and September (-0.6%), which gave restaurant operators a temporary reprieve from the sharp increase in commodity prices that defined the last several years.
September’s trend reversal in the food price index was driven by gains in prices for unprocessed finfish (+59.1%), fresh vegetables (+36.9%), fresh fruit (+8.6%), prepared seafood (+4.0%), beef and veal (+2.6%) and wheat flour (+2.1%).
Even with the uptick in September, average wholesale food prices remained 2.6% below their September 2025 level. That was the third consecutive month in which the food price index declined on a 12-month basis.
Despite the recent moderation, wholesale food prices remained well above their pre-pandemic levels. As of September 2026, the Producer Price Index for All Foods stood 34% above its February 2020 reading.
While the overall food price index declined on a 12-month basis, pricing trends across individual commodities varied significantly.
Producer prices for unprocessed finfish (+59.6%), prepared seafood (+19.3%), fresh vegetables (+17.8%), fats and oils (+14.8%), wheat flour (+9.4%), fresh fruit (+9.1%), tea (+4.3%), soft drinks (+4.0%) and processed fruits and vegetables (+3.1%) stood above their September 2025 levels.
In contrast, the price indices for eggs (-75.3%), butter (-32.0%), pork (-19.4%), confectionary materials (-16.6%), processed poultry (-13.8%), refined sugar (-8.6%), unprocessed shellfish (-6.7%), cheese (-4.5%) and beef and veal (-3.6%) declined from their year-ago levels.
With the direction of food costs diverging across commodities, the degree to which restaurants are experiencing pricing relief depends on the menu mix of each individual operation.