Beloved grocery store staple about to get a major price hike | Official Website of Louis Velazquez, entrepreneur, finance guy and tech innovator

Inflation is a word no one likes to hear, but everyone who has to pay for living expenses likely knows it well.

It’s a common joke that older people complain about inflation a lot — but it’s typically because they’ve been alive long enough to remember when things cost about half of what they do now.

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While inflation anxiety is common, ever since President Donald Trump enacted his tariffs plan in April, consumers have been more worried than ever that the cost of living will surge.

It’s a fair concern to have. The U.S. is the largest goods importer in the world, with $330 trillion spent on imports in 2024 alone. Additional levies on these imports present a new problem for businesses — either eat the costs, which few can afford to do, or pass them on to the consumer.

The 90-day pause on tariffs was originally set to expire as of July 9, but the Trump administration announced it will push that date to August 1 for countries that have not struck a deal with the U.S.

So while that change does buy a small bit of time, it’s still likely that U.S. consumers will see price hikes this year.

Now one particular grocery item is set to become more expensive, and it actually has nothing to do with tariffs (for now).

Watch out for a price hike in the peanut butter aisle.

Image source&colon; Jeff Greenberg/Getty Images

Favorite sandwich spread faces troubles

While most Americans have grown up with the classic peanut butter and jelly sandwich, an alternative sandwich spread has captured the hearts of many who love rich flavors: Nutella.

The spread is made with hazelnuts, which Italian maker Ferrero currently buys from Turkey. It’s been making the product since 1964, when a cocoa shortage post-World War II inspired the idea of turning to hazelnuts instead.

The majority (65%) of the world’s production of hazelnuts originates in Turkey. But a cold snap in April severely damaged the crops, leading to a hazelnut shortage.

Ibrahim Yumakli, the country’s agriculture minister, said on social media at the time it was “one of the largest agricultural frost events in our history since the major agricultural frost event in 2014.”

Wholesale prices for hazelnuts leapt 30% because of the shortage. And per data from agricultural intelligence firm Expana, that cost could keep rising.

Nutella may not disappear from store shelves anytime soon; Ferraro issued a statement saying it did not expect a disruption.

Still, a price hike is likely.

Grocery stores hit hard by inflation

While the nature of inflation is typically that things slowly become more expensive over time, the last five years have posed a more dramatic change that’s left many consumers feeling overwhelmed.

Between 2020 and 2024, U.S. food prices have surged 23.6%, per a report from the U.S. Department of Agriculture.

“Food price increases in 2020-21 were largely driven by shifting consumption patterns and supply chain disruptions resulting from the Coronavirus (COVID-19) pandemic,” the report says.

Experts also predict that tariffs going into effect will drive food prices up again, with costs rising 2.6% in the short term, according to the Yale Budget Lab. It also predicts that number will settle at around 3% higher than what consumers paid before the tariffs took effect.

In other words, you may want to consider stocking up on some staples before August 1 rolls around — and grab a few jars of Nutella while you’re at it.