Grocery prices keep climbing

CASTALIA — No matter for milk or meat, produce or pastas, shoppers continue to pay high prices for grocery store staples more than, quite possibly, ever before. "I would say, overall, prices have gone up 6% to 15%, depending on the item," said Castalia Market owner Mark Griffin when comparing costs today from about a year ago. "No one is happy about it. But, unfortunately, it's a fact of life due to the economic conditions of the country right now." So what gives? The price spike represents yet another negative ramification stemming from factors related to COVID-19, according to Bill Kosteas, an educator at Cleveland State University. He serves as the associate dean in its college of graduate studies as well as an economics labor professor. Some issues causing this recent round of inflation include supply chain problems, transportation lapses paired with fuel price surges, delivery snafus, factory closures and labor shortages. Regarding the labor component, what's causing soaring figures, in part, circles back to creating a pool of money so employers can hire and keep employees at places short on staff — think raises, signing bonuses and the like. For companies to maintain a profit, they oftentimes make up the difference by pricing products higher than normal, thus placing a greater financial burden onto customers. "If you have rising wage and labor costs, the question really becomes, 'How much can (companies) absorb, and how much can they pass on to the consumer?'" Kosteas said. Kosteas noted the skyrocketing inflation — not just for food but also for cars, real estate, furniture, electronics and many other products — began in 2021. But is there an end in sight? "Depends on who you talk to," Kosteas said. "The folks who predict inflation, it's really all over the place. Some expect it (to go back to normal) in the second half of 2022. Some are saying we will come back down to 3% by the end of the year. Others are saying it will stay elevated but maybe not quite at this level." There are some encouraging signs inflation could return to its average year-of-year rate of about 3%. At the end of 2021, inflation totaled 7%. "In the last jobs report, we started to see people come back into the labor market," Kosteas said. "And if the pandemic continues to wane, and fears of catching COVID and other things can be alleviated — like child care and people being able to drop off their kids somewhere and head back to work — then things will get better. How long that takes us, though, I'm not sure." Kosteas did offer some advice for shoppers during their upcoming grocery shopping trips. "Be price-sensitive," he said. "We have seen folks that are going back to bargain hunting and using coupons, things like that," he said. "It pays to take the time, if you have it, to shop smart." People running a business, such as Griffin, hope prices revert to a more reasonable level sooner rather than later. "It has been difficult when you consider everything," said Griffin, who praised his customers for their patience and understanding during these tough times. "I've got to give them credit: Most people have accepted it, and they have been very good about it. We just want to provide them with the best products we can at the lowest possible prices."