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NZ: Food prices unchanged in October

In October 2014, food prices were unchanged overall from the previous month, Statistics New Zealand said today. This follows a 0.8 percent fall in September and a 0.3 percent rise in August.

"Overall, food prices were flat in October, with seasonally lower vegetable prices countered by higher prices for chocolate, milk, and meat," prices manager Chris Pike said.

Fruit and vegetable prices fell 3.2 percent. Vegetable prices fell 5.6 percent, mainly due to lower prices for tomatoes, cucumber, and lettuce.

Grocery food prices rose 1.1 percent, with higher prices for confectionery, nuts, and snacks (up 2.3 percent, mainly influenced by less discounting for chocolate) and fresh milk (up 3.2 percent, due to less discounting in supermarkets). Fresh milk prices are at their highest level, 0.9 percent above their previous peak in July 2014.

Annual change in prices

In the year to October 2014, food prices increased 0.9 percent, following a 0.1 percent decrease in the year to September 2014.

Restaurant meals and ready-to-eat food prices increased 1.6 percent.

Fruit and vegetable prices increased 2.6 percent, with higher prices for lettuce, carrots, nectarines, and courgettes. Both fruit (up 3.4 percent) and vegetable (up 2.3 percent) prices increased.

Grocery food prices decreased 0.2 percent, with lower prices for bread and cereals (down 3.2 percent) due to lower bread prices. Supermarkets discounted some of their own-brand bread to about $1.00 in recent months. These price decreases were partly offset by higher prices for fresh milk (up 6.2 percent) and cake and biscuits (up 3.6 percent).

The food price index (FPI) measures the rate of price change of food and food services purchased by households. Statistics NZ visits shops across New Zealand to collect prices for the FPI and check package sizes.

Source: voxy.co.nz

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