Grocery prices rose 13.5% in August

New government data shows grocery prices climbed 13.5% in August from the year before.

(CNN)— New government data shows grocery prices climbed 13.5% in August from the year before.

That’s the highest annual increase since March 1979. Food producers say the surge is a result of paying higher prices for labor and packaging materials.

They also point to extreme weather, disease, and supply issues.

Market experts say food inflation is expected to moderate next year, but that doesn’t mean prices are going to drop.