Inflation has caused prices at the grocery store to spike in recent months, leading to higher bills across the country. Unfortunately, economists at Goldman Sachs say Americans should prepare to spend more in the months ahead.
According to a report released by Goldman Sachs on Monday, the firm projects that prices at grocery stores will go up between 5 and 6% this year.
"The stage has been set for further substantial increases in retail food prices this year," Goldman Sachs economists wrote in the report, according to CNN.
The analysts blamed grocery price increases on the ongoing supply chain turmoil, a worker shortage, COVID-19 and other issues.
The Wall Street Bank says food commodity prices are already up 6% in 2022, and rising costs for items like fertilizer will make things worse. The rapid increase in prices has contributed to the highest overall rate of inflation that the U.S. has seen in nearly four decades.
The increases are projected to come after food prices skyrocketed in 2021, according to a January report from the Bureau of Labor Statistics. That report noted grocery prices jumped 6.5% year-over-year.
The foods that saw the highest price jumps were meat and fish (12.5%), nonalcoholic beverages (5.2%) and fruits and vegetables (5.0%).