Food Prices Increase 1.2 Percent Annually

Food prices increased 1.2 percent in the 12 months to September 2024, following a 0.4 percent increase in the 12 months to August 2024, according to figures released by Stats NZ today.

Higher prices for restaurant meals and ready-to-eat food and grocery food drove the annual increase in food prices, up 3.5 percent and 2.7 percent, respectively.

The price increase in restaurant meals and ready-to-eat food was due to higher prices for lunch/brunch, takeaway coffees, and hamburgers.

The price increase in grocery food was due to higher prices for olive oil, butter, and chocolate biscuits.

"The price for a 1-litre bottle of olive oil has increased by about 58 percent since this time last yea r, with an average price of $21.56," consumer prices manager Nicola Growden said.

Despite an overall increase in food prices, decreasing prices in the fruit and vegetables group had the largest impact on food prices, falling 8.3 percent in the 12 months to September 2024.

Fruit and vegetable prices were driven by lower prices for kūmara, potatoes, and onions.

Kūmara, potato, and onion prices were coming down from near-record-high levels in 2023. In the 12 months to September 2024:

• kūmara prices fell 57.5 percent
• potato prices fell 27.4 percent
• onion prices fell 43.7 percent.

"The average price of 1kg of onions was $1.68 in September 2024. This is the cheapest recorded price since 2012," Growden said.