The Consumer Price Index (CPI) for beer increased +4.9% in August 2022 compared to August 2021, its highest point since April, according to the U.S. Bureau of Labor Statistics (BLS). The CPI for beer continued to lag behind the CPI for all items during the same period, which increased +0.1% in August, to +8.3% over the last 12-month period.
The CPI measures the average price change over time paid by consumers for goods and services. Over the previous four months, the CPI for beer increased +4.6% in July, +4.3% in June, +4.5% in May and +5% in April.
Price increases in beer continued to outpace other alcoholic beverages, with spirits +1.7% and wine +2.5% in August 2022.
The CPI for beer away from home also increased +6.4% year-over-year (YOY), but declined compared to July.
Brewers Association chief economist Bart Watson tweeted that declines in energy prices “helped the overall CPI number look a bit better, but food/bev prices [are] still rising.”
“If there’s any good news it’s that the monthly increase for food was lower than we’ve seen in 2022 (so YOY increased but [month-over-month] was down), but that’s cold comfort when food inflation is still running at a 10% annualized rate,” he added.
Energy price drops helped the overall CPI number look a bit better, but food/bev prices still rising.
Food at home 13.5% YoY (up from July)
Food and beverage 10.9% YoY (up from July)
Beer at home 4.9% YoY (up from July)
Beer away from home 6.4% YoY (down from July)— Bart Watson (@BrewersStats) September 13, 2022
Last week, Watson shared BLS consumer data that showed per capita beverage alcohol spending was up, which he noted reflects a shift back to the on-premise channel, but is still trending below 2019 levels.
New BLS consumer expenditure data out today. Per capita bev alc spending up (mostly reflecting channel shift back to on premise) but still below 2019.
Here's a breakdown by age group. pic.twitter.com/CQUfNBnsBu
— Bart Watson (@BrewersStats) September 8, 2022