Food costs rose 4% last month, leading a rise in regional consumer prices
Regional food prices rose 4.1% in Decemter year-over-year, with the cost of groceries increasing 3.7% and restaurant meals increasing 4.6%. Credit: Newsday/Steve Pfost
Rising food costs led a modest increase in consumer prices in the metropolitan area in December, according to federal data released Wednesday.
The U.S. Bureau of Labor Statistics said its consumer price index for the 25-county region that includes Long Island climbed 1.6% last month compared with December 2019.
Martin Kohli, the bureau’s chief regional economist, said food prices rose 4.1% year-over-year, with the cost of restaurant meals increasing 4.6% and groceries increasing 3.7%.
The increases were partially offset by a 14.6% drop in gasoline prices and a 2.6% drop in natural gas prices.
Among pricier grocery items, nonalcoholic beverages rose 7.8% last month compared with December 2019 while dairy products rose 5.3%.
The cost of housing climbed 1.3%, year over year. While other spending categories rose by higher percentages, housing costs are given greater weight in the price index because housing represents a larger percentage of most consumers' budgets.
The price of new and used automobiles increased 5.3% in December compared with a year earlier. The cost of medical care and recreation was up 3.2% and 3.8%, respectively.
The cost of electricity rose 9.3% year over year.
James T. Madore writes about Long Island business news including the economy, development, and the relationship between government and business. He previously served as Albany bureau chief.
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