Sharechat Logo

NZ food prices fall for third month on cheaper veges, milk gets more expensive

Wednesday 15th January 2014

Text too small?

New Zealand food prices fell for a third month due to cheaper vegetables which were in season, though more expensive milk pushed up prices over the year.

The food price index slipped 0.1 percent in December, adding to the 0.2 percent and 1 percent declines in the prior two months, according to Statistics New Zealand. On an annual basis, food prices were up 1.5 percent, accelerating from a 1.4 percent annual increase in November.

The monthly decline was led by a 3.7 percent fall in the price of vegetables, with cheaper lettuces, broccoli and cabbages, and were down 1.3 percent on the year.

Fresh milk prices rose 2.7 percent in December, and were up 9.4 percent on the year. More expensive dairy products were the main driver of the annual increase in food prices, with yoghurt up 10 percent, cheese up 7.7 percent and other milk products up 10 percent.

Last month the Reserve Bank gave a stronger signal in its monetary policy statement that interest rates will rise this year, noting that inflationary pressures are "projected to increase." Food prices make up almost 19 percent of the consumer price index, and the December CPI is scheduled for release next week.

Grocery food prices were flat in December, though up 2 percent in the year. Meat, poultry and fish prices rose a monthly 0.8 percent and an annual 1.6 percent.

Non-alcoholic drinks prices fell 2.1 percent in December, for an annual increase of 3 percent, and restaurant meals and read-to-eat foods prices increased a monthly 0.5 percent and an annual 1.9 percent.

 

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:

SML - Synlait Milk Limited - Trading Halt of Securities
AIA - Auckland Airport announces board chair changes
AIA - Auckland Airport announces board chair changes
CEN - Tauhara commissioning progress update
FPH initiates voluntary limited recall
March 28th Morning Report
KFL Celebrates 20 Years of Excellence in Investment Mgmt.
SVR - Savor FY24 Earnings Guidance & Change in Banking Partner
NZK - NZ King Salmon Investments Limited FY24 Results
March 27th Morning Report