Annual food price increase remains high at 12.1 percent

Food prices were 12.1 percent higher in May 2023 than they were in May 2022, according to figures released by Stats NZ today.

In May 2023, the annual increase was due to rises across all the broad food categories Stats NZ measures. Compared with May 2022, listed in order of contribution to the overall movement:

• grocery food prices increased by 12.7 percent
• fruit and vegetables prices increased by 18.4 percent
• restaurant meals and ready-to-eat food prices increased by 8.7 percent
• meat, poultry, and fish prices increased by 11.7 percent
• non-alcoholic beverage prices increased by 11.6 percent.

"Increasing prices for fresh eggs, potato chips, and lollies were the largest drivers within grocery food," consumer prices manager James Mitchell said.

The second-largest contributor to the annual movement was fruit and vegetables. The increase was driven by avocados, kūmara, potatoes, and tomatoes.

Monthly change

Monthly food prices rose 0.3 percent in May 2023 compared with April 2023. After adjusting for seasonal effects, they were up 0.5 percent.

"Prices for non-alcoholic beverages such as soft drinks, energy drinks, and bottled water increased 4.5 percent in May, contributing the most to the overall monthly rise," Mitchell said.

"Decreasing prices for fruit and vegetables such as tomatoes, mandarins, and kiwifruit mostly offset the non-alcoholic beverages movement."