U.S. fresh vegetable prices rise amid farm labor concerns

U.S. retail fresh vegetable prices rose 6.3% in July 2026 compared to the previous year, according to the USDA Economic Research Service. Notable increases include a 12.8% rise in tomato prices and a 7.5% increase in lettuce prices. Federal economists anticipate that vegetable prices will continue to climb throughout the rest of 2026.

Labor availability remains a significant concern for the produce sector. A model from Michigan State University suggests that a hypothetical 10% reduction in nationwide farm employment could increase costs for approximately $115 billion worth of specialty crops by 3%, potentially adding $3.4 billion to consumer expenses.

In California, which produces about one-third of U.S. vegetables, a survey of over 500 growers found that while fewer than 1% lost workers directly to enforcement actions, roughly 15% reported losing workers due to fear and anxiety. Legislative discussions in Congress regarding the Farm Workforce Modernization Act and the Securing Agriculture's Workforce Act aim to address these issues by revising the H-2A guest-worker program.