Sharechat Logo

NZ food prices rise 0.9% in January as spike in apples drives up fruit, vegetable prices

Tuesday 14th February 2017

Text too small?

 New Zealand food prices rose in January, as apples surged to a record high, leading gains in fruit and vegetables.

Food prices rose 0.9 percent, seasonally adjusted, in January from December, and gained 1.4 percent from January 2016, Statistics New Zealand said. On an unadjusted basis, food prices climbed 2.8 percent in the latest month.

Fruit and vegetables led gains in both the month and the year, up 8.5 percent (unadjusted) and 3.1 percent respectively. Apples, which have been in short supply in supermarkets, were an average $5.04 a kilogram in January, from $3.60/kg in December, reaching their highest since the series began. Fruit prices jumped 12 percent, or 2.9 percent seasonally adjusted, while vegetables gained 5.9 percent, or 1.4 percent seasonally adjusted, with gains in potatoes, broccoli and carrots.

The food price index accounts for about 19 percent of the consumers price index, which is the Reserve Bank's mandated inflation target when setting interest rates. The central bank expects inflation to accelerate to a 1.5 percent annual pace in the first quarter, having returned to within its 1 percent-to-3 percent target band for the first time in two years in the fourth quarter.

Prices of meat, poultry and fish rose 2.4 percent in January, with lamb up 11 percent and chicken rising 4 percent, but fell 1.1 percent from the same month last year. Chicken prices fell 7.2 percent in the year and have declined on an annual basis since June 2015.

Grocery foods rose 2.4 percent, or 1.4 percent seasonally adjusted, in January and increased 1.8 percent from a year earlier. Chocolate prices gained 14 percent in the month and fresh milk rose 4.4 percent.

Restaurant meals and ready-to-eat food prices rose 0.2 percent in the month and 1.8 percent in the year.

BusinessDesk.co.nz

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

NZ First urged to block exploration ban
Net migration falls as growing number of migrants pack their bags
Ebos tightens grip on Australian chain
October 19th Morning Report
NZ dollar falls vs yen; investors seek haven in heightened volatility
English upbeat about NZ economy, points to headwinds
MARKET CLOSE: NZ shares mixed; Restaurant Brands soars on takeover talk
Legislate capital gains tax before election or risk 'mischief', Cullen says
NZ dollar falls vs Aussie on lower jobless rate across the Tasman
Imported coal needed to keep the lights on in NZ

IRG See IRG research reports