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    Home»Business»A grim new report shows food insecurity is getting worse in the K-shaped economy
    Business 2 Mins Read

    A grim new report shows food insecurity is getting worse in the K-shaped economy

    Business 2 Mins Read
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    Food insecurity is growing in the United States as inflation, war, drought, and more bring grocery prices higher.

    The Consumer Price Index (CPI) for grocery and supermarket food purchases rose 0.7% between March and April, according to the U.S. Department of Agriculture (USDA).

    On top of that, April’s CPI was an increase of 2.9% year-over-year (YOY). Nine of the 15 food-at-home categories saw a price increase, with fresh vegetables and beef seeing the most significant jump. 

    Beef’s rising CPI is hardly surprising—this year’s cattle herd is the lowest in 75 years, the American Farm Bureau Federation (AFBF) reports. This decline comes alongside the droughts and high fuel prices farmers across the country are facing.

    At the same time, tomato prices rose 33% over the last two months due to Florida storms and there are growing concerns about irrigation supplies in California—home to about half of the country’s vegetable production, Bloomberg reports.  

    Overall, the USDA predicts 2026 will see a jump of 3.2% for all food-at-home prices.

    Food insecurity grows in the U.S. 

    Many Americans can’t keep up with the higher cost of food, gas, and many other necessities in the current K-shape economy.

    This week, the Federal Reserve Bank of New York shared new evidence of food insecurity in the United States, comparing surveys in October 2025 and this past February to one in June 2020. 

    A growing percentage of people dipped into their savings, missed meals or didn’t have enough food, received food donations, and received SNAP benefits in the two recent surveys.

    This shift held true for individuals who are non-white, have children, make less than $50,000, and are educated through high school. 

    The USDA has reported similar findings. In its most recent survey on food insecurity, the department found that 13.7% of U.S. households experienced food insecurity at some point in 2024. This percentage rose to 18.4% when looking specifically at households with children. 



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