Annual Food Prices Drop For First Time In Six Years

Food prices in New Zealand decreased 0.3 percent in the 12 months to June 2024, the first annual decrease in nearly six years (August 2018), according to figures released by Stats NZ today.

"The decrease for food prices was driven by lower prices for tomatoes, cheese, and potatoes," consumer prices manager James Mitchell said.

In the 12 months to June 2024, prices for fruit and vegetables, and meat, poultry, and fish fell 16.1 percent and 1.4 percent respectively.

"The decrease for fruit and vegetable prices is the largest recorded since the series began, as prices fell from the record-high level in June 2023," Mitchell said.

All other broad food groups increased in price in the 12 months to June 2024. Price movements in order of their contribution, were:

• restaurant meals and ready-to-eat food - increased 4.0 percent
• grocery food - increased 2.3 percent
• non-alcoholic beverages - increased 4.3 percent.

Despite the annual fall in overall food prices, the price level is the third highest since the series began in 1961. Food prices increased 1.0 percent in June 2024 compared with May 2024.

"While food prices were cheaper in June 2024 than they were in June 2023, 11 of the past 12 months have actually had cheaper food prices than in June 2024," Mitchell said.

Olive oil prices increase to $19.99 per litre

Despite an overall decrease for food prices, prices were still rising for some items in the basket, such as dine-in lunch/brunch, olive oil, and soft drinks.

The average price of a 1-litre bottle of olive oil in New Zealand increased to $19.99, up 49.5 percent in the 12 months to June 2024.