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Food Prices Rise in January

Friday, 11 February 2011, 10:54 am
Press Release: Statistics New Zealand

Food prices rise in January

Food prices rose 1.8 percent in the January 2011 month, Statistics New Zealand said today. This follows price falls of 0.8 percent in December and 0.6 percent in November 2010. All five subgroups made upward contributions to the January 2011 increase.

“Food prices usually rise in January. A seasonal increase in fruit and vegetable prices accounted for half of the 1.8 percent increase in food prices in January this year,” Statistics New Zealand prices manager Chris Pike said.

The fruit and vegetables subgroup was the key contributor to higher food prices in January 2011, increasing 7.4 percent. Fruit prices usually peak in January, and prices rose 7.7 percent in January 2011 with seasonal increases for strawberries, mandarins, kiwifruit, and apples. Vegetable prices – which are above levels usually recorded at this time of year – rose 7.2 percent in January 2011 with higher prices for lettuce and potatoes. Lettuce prices were almost double those recorded a year earlier.

Grocery food prices rose 0.9 percent in January 2011, with higher prices for chocolate (up 5.2 percent) and yoghurt (up 3.7 percent). Meat, poultry, and fish prices rose 1.7 percent in January 2011, influenced by price rises for fresh chicken (up 9.3 percent).

In the year to January 2011, food prices rose 3.8 percent, including a 2.2 percent increase in October, when goods and services tax (GST) rose. All subgroups made upward contributions. The most significant contributors were grocery food (up 3.9 percent) and fruit and vegetables (up 8.1 percent), with higher prices for milk, cheese, and eggs (up 8.9 percent) and vegetables (up 10.2 percent).

Geoff Bascand
11 February 2011
Government Statistician

END

 
 
 
 
 
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