Foodservice Inflation Slows Down in June 2024
Prestige Purchasing and CGA by NIQ just dropped the latest Foodservice Price Index (FPI), and it’s a big win for both restaurants and our wallets. For the twelfth month in a row, inflation has dipped—so that’s a relief after the inflation roller coaster many of us’ve ridden.
Key Takeaway: 3.6% Is the New Normal
The FPI shows a year‑on‑year price jump of 3.6% in June. That figure scratches the itch of “are prices still sky‑high?” and settles the tone at a “normal” level for the industry.
Monthly Tug‑of‑War – 1.3% Spike
On a month‑to‑month basis, prices actually rose 1.3% this June. After a stretch of deflation or barely‑nipping inflation, that’s the largest uptick in a year and a return to the temperatures we saw around mid‑2024. It tells us: the overall downward trend is good, but the market still loves a bit of volatility.
What’s Driving the Numbers?
- Vegetables – Still in double‑digit inflation, thanks to a potato slump caused by 2023’s bad weather and shortages that ripple into 2024. Other greens and root veggies—carrots, onions, brassicas—got a bump too, as planting delays grind out seasonal supply.
- Deflation on two fronts – A few other categories slipped below the 0% mark, easing the price pressure a little.
Industry Voices
Shaun Allen, CEO of Prestige Purchasing, said, “While the year‑long dip in inflation feels like a breath of fresh air, the return to month‑on‑month rises is a reminder that the market can still swing wildly. Operators need to keep an eye on the price tide and stay ready for any surprise rolls.”
Reuben Pullan, senior insight consultant at CGA by NIQ, added, “A whole year of falling inflation provides a much‑needed reprieve from the cost‑crunch that’s plagued foodservice lately. Combined with easing input prices and customers feeling more confident, it’s good vibes for the rest of 2024—yet the month‑to‑month uptick means prices might stay unpredictable for a while.”
Stay Updated
If you want real‑time updates on this post category straight to your device, subscribe now. Your feed will keep you in the loop as price changes keep stirring the pot.
