WASHINGTON, DC, US — The Consumer Price Index for baked foods and cereal products fell 0.2% in August, its second straight month of declines, according to the Bureau of Labor Statistics of the US Department of Labor. The index for all food at home also declined, falling 0.1%.

“The latest Consumer Price Index (CPI) numbers reveal that the pace of year-over-year inflation continues to moderate,” said Andy Harig, vice president of tax, trade, sustainability and policy development at FMI — The Food Industry Association. “Today’s August CPI release showed monthly food-at-home prices remained flat while year-over-year food-at-home inflation was just 0.9%, well below the 2.5% increase in overall inflation.

“Food retailers’ profit margins are, and always have been, extremely tight — just 1.6% last year. The entire food industry works tirelessly — amidst fierce competition — to address inflation and keep prices as low as possible. Today’s inflation numbers are encouraging, even as the food industry continues to face economic headwinds that increase the costs to produce food and get it to store shelves.”

Of the 18 items followed by Milling & Baking News, 13 posted month-over-month decreases and 5 finished higher.

The August index for Cereals and Bakery Products before seasonal adjustment was 355.7% of the 1982-84 average, down 0.3% from a year ago. For all food at home, the August index was 306.4, up 0.9% from August 2023.

The CPI for cereals and cereal products in August was 286.3, down 0.3% from July and down 1% from August 2023. The index for products within this category included: flour and prepared mixes, 328.9, down 0.2% from July but up 1.5% from the previous year; breakfast cereal, 277.6, up 0.2% from the previous month but down 0.2% from a year ago; and rice, pasta and corn meal, 288, down 0.9% from July and down 2.7% from August 2023.

The price index for bakery products in August was 396.1, down 0.2% from July but up 0.1% from August 2023.

The August index for bread was 237.9 down 0.1% from July and down 0.2% from August 2023. Under this heading, the CPI for white bread was 433.9, up 1% from July but down 0.2% from August 2023. For bread other than white, the index was 458.1, down 1.4% from July and down 0.8% from a year ago.

The price index for fresh biscuits, rolls and muffins in August was 234.6, up 0.1% from July and up 0.3% from August 2023. The August index for cakes, cupcakes and cookies was 372.8, down 0.1% from July and down 0.1% from August 2023. Under this segment, other price indexes included fresh cakes and cupcakes, 392.9, up 0.4% from July but down 0.5% from August 2023; and cookies, 351.8, down 0.4% from the previous month but up 0.6% from the previous year.