Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


NZ food prices fall in March on cheaper cakes and candy

NZ food prices fall in March on cheaper cakes and candy

By Suze Metherell

April 11 (BusinessDesk) – New Zealand food prices fell in March as cheaper cakes and candy drove a fall in grocery prices, and offset more expensive meat and produce.

The food price index fell 0.3 percent in March following a 1 percent fall in February, according to Statistics New Zealand. Food prices rose 1.2 percent on an annual basis, the first time all five components of the index increased since September 2011.

The monthly decline was led by a 1.6 percent drop in grocery prices to their lowest level since August as cakes and biscuit prices and confectionary, nuts and snacks both dropped 3.5 percent. In the year grocery prices made the smallest gains of all the subgroups, up 0.2 percent, led by an 8.8 percent gain in fresh milk and a 7.1 percent rise in cheese prices.

Last month the Reserve Bank embarked on a tightening cycle, lifting interest rates 25 basis points to 2.75 percent as it tries to stem inflationary pressure in the economy. Food prices make up almost 19 percent of the consumer price index, the inflation measure used by the central bank. First-quarter CPI is due for release next week.

“Despite food price inflation remaining subdued, inflation indicators point to a pick-up in other inflation areas,” Christina Leung, economist at ASB Bank, said in a note. “Overall, the result is in line with our expectations, and we expect the first quarter CPI released next Wednesday will show a 0.6 percent increase.”

Today’s figures showed meat, poultry and fish prices rose 0.9 percent in March, the biggest increase across the subgroups. Meat, poultry and fish prices rose 1.6 percent, with mutton, lamb and hogget prices up 15 percent in the year.

Restaurant meals and ready-to-eat food prices rose 0.4 percent in March, and were up 1.9 percent in the year, driving the annual gain.

Prices of non-alcoholic beverages increased 0.2 percent in the month for annual increase of 2.7 percent. Non-alcoholic beverages led the annual increase, with packaged coffee and tea prices climbing 5.3 percent.

Fruit and vegetable prices rose 0.5 percent in March, with cheaper apples and kumara. On an annual produce prices rose 1.5 percent with more expensive tomatoes, oranges and mandarins.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Final Frontier: Rocket Lab And NASA Sign Commercial Space Launch Agreement

Rocket Lab has signed a Commercial Space Launch Act Agreement with the National Aeronautics and Space Administration (NASA). The agreement enables Rocket Lab to use NASA resources - including personnel, facilities and equipment - for launch and reentry efforts. More>>

ALSO:

Scoop Business: Wheeler Downplays Scope For ‘Large’ Rates Fall

Reserve Bank governor Graeme Wheeler says some market commentators are predicting further declines in interest rates that would only make sense for an economy in recession, although some easing is likely to be needed to maintain New Zealand’s economic growth. More>>

ALSO:

Ruataniwha Dam: Consent Conditions Could Mean Reduced Intensity

Legal advice sought by the Hawke’s Bay Regional Council on the Ruataniwha Dam consent conditions has confirmed that farmers who sign up to take water from the dam could be required to reduce the intensity of their farming operation to meet the catchment’s strict nitrogen limit. More>>

Health And Safety: Bill Now Sees Rules Relaxed For Small Businesses

Health and safety law reform sparked by the Pike River coalmine disaster has been reported back from the industrial relations select committee with weakened requirements on small businesses to appoint health and safety representatives and committees. More>>

ALSO:

Bearing Fruit: Annual Fruit Exports Hit $2 Billion For First Time

The value of fruit exported rose 20 percent (up $330 million) for the June 2015 year when compared with the year ended June 2014. Both higher prices and a greater quantity of exports (up 9.0 percent) contributed to the overall rise. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news