Average wholesale food prices fell 5.5 percent in June

After registering the second-largest monthly increase on record in May, wholesale food prices fell sharply in June, according to preliminary data from the Bureau of Labor Statistics. The Producer Price Index for All Foods – which represents the change in average prices paid to domestic producers for their output – declined 5.5 percent in June.

June’s decline followed a strong 8.2 percent increase in May, which ranked only behind the 9.2 percent increase in August 1973 as the largest on record. Beef, pork and chicken prices all fell sharply in June, but not enough to erase the strong gains posted in May.

Looking past the extremes of the last two months, average wholesale food prices stood 1.6 percent above their year-ago level in June.

Track more economic indicators and read more analysis and commentary from the Association's chief economist Bruce Grindy.