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Fresh Vegetables Push Food Prices Up

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Embargoed until 10:45am – 17 July 2006

Fresh Vegetables Push Food Prices Up

The Food Price Index rose 1.0 percent during June 2006, Statistics New Zealand said today. Prices for the fruit and vegetables; meat, fish and poultry; and restaurant meals and ready-to-eat food subgroups all increased. For the second consecutive month, there was no overall change recorded for the grocery foods, soft drinks and confectionery subgroup.

Higher prices in the fruit and vegetables subgroup (up 6.3 percent) drove the overall rise in food prices. The strongest contribution within this subgroup came from higher prices for fresh vegetables (up 11.5 percent), with the main drivers being potatoes (up 25.7 percent) and broccoli (up 71.7 percent).

Prices for the meat, fish and poultry subgroup increased 1.3 percent, largely driven by higher prices for fresh chicken (up 9.5 percent).

For the year to June 2006, food prices increased 2.9 percent. Higher prices for fruit and vegetables (up 9.1 percent) provided the most significant contribution to the overall increase in food prices. Prices for the meat, fish and poultry (up 3.5 percent); restaurant meals and ready-to-eat food (up 2.6 percent); and grocery foods, soft drinks and confectionery (up 1.2 percent) subgroups also increased.

Brian Pink
Government Statistician


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