Food prices up since last year but down in October 2023

Food prices in New Zealand were 6.3 percent higher than a year ago but were cheaper in October 2023 than they were a month earlier, according to figures released by Stats NZ today.

Food prices fell 0.9 percent in October 2023 due to broad falls in the majority of subgroups.

In October 2023, the annual increase was due to price rises across the five broad food categories measured by Stats NZ. Price movements for all five groups for the 12 months to October 2023, in order of their contribution to the overall movement, were:

• grocery food prices increased 7.9 percent
• restaurant meals and ready-to-eat food prices increased 7.7 percent
• non-alcoholic beverages prices increased 5.7 percent
• meat, poultry, and fish prices increased 3.3 percent
• fruit and vegetables prices increased 3.3 percent.

"The largest contributing food group was grocery food, mainly driven by higher prices for fresh eggs, potato crisps, and yoghurt," consumer prices manager James Mitchell said.

The increase for restaurant meals and ready-to-eat food, the second largest contributor to the annual movement, was driven by eat-in-brunch/lunch, takeaways, and restaurant evening meals.

Monthly food prices fell 0.9 percent in October 2023 compared with September 2023. After adjusting for seasonal effects, they fell 0.1 percent.

"Prices fell across the board in October, with only dining out and takeaway food being more expensive than in September," Mitchell said.

The fruit and vegetables subgroup was the largest contributor to the monthly fall, followed by grocery food. The grocery items that contributed the most to the monthly fall were cheese, white bread, and muesli bars.