Grocery Inflation Rises in December 2025
The latest data from the Bureau of Labor Statistics shows that grocery inflation picked up in December 2025 after a slowdown the previous month. The increase was driven by higher prices for meat and coffee.
Meat prices saw a significant annual increase of 9.2% in December, marking a continued upward trend from previous months. Inflation for meat was just under 9% in November, up from 8.5% in September and 7.3% in August, according to the Consumer Price Index data.
Specifically, beef and veal prices, which have been steadily rising, saw a sharp increase last month, with an annual rate of 16.4%, up from 15.8% in November and 14.7% in September.
The cost of uncooked beef steaks rose even faster, with an annual rate of nearly 18% in December compared to 14.7% in November and 16.6% in September.
Overall, grocery inflation in December rose to 2.4% annually, up from 1.9% in the previous month, while general inflation remained steady at 2.7%. Notably, inflation data for October was not available due to the federal government shutdown.
Among food categories, coffee prices experienced the highest inflation in December. Imported coffee prices increased by nearly 20% year over year, showing a significant jump from the rate in November and a considerable increase from June’s inflation rate of 13.4%.
On the other hand, egg prices continued to decline in December, with prices dropping by almost 21% annually. This decline comes after a period of double-digit price increases in the first half of 2025.