Grocery shoppers have noticed their supermarket receipts have gotten shorter, but the total cost has gone up. Retailers across the country have reported item shortages, worker shortages, and shipping delays, which impact the prices of the food on grocery shelves. Unfortunately, one grocery store owner claims the price increases are about to get worse.
Gristedes Supermarkets CEO John Catsimatidis recently told Fox Business he expects food prices to spike again in the coming weeks. Gristedes is a New York City-based supermarket chain with more than 30 stores in Brooklyn, Manhattan, and Westchester.
"They're going to drop all promotions, they're going to have their main products, and prices are going up," he says. "I see over 10% in the next 60 days."
Catsimatidis claims grocery stores are going to try to "get ahead of the curve" in order to keep food on the shelves and costs as low as possible.
Price increases may be causing customers to rethink their grocery shopping habits. A recent study shows that frozen food spending has risen dramatically during the pandemic because shoppers believe it is more cost-effective. The study reports that frozen food sales went up 21% in 2020, and the trend is continuing into the end of this year.
"Fresh food can be significantly more expensive at baseline than its frozen equivalent," the study states. It reported that nearly 6 in 10 customers believe frozen food prices are more stable than fresh produce.
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