Meat pushes food prices to fifth consecutive rise

Food prices rose 0.3 percent in August 2021 compared with July 2021, mainly influenced by higher prices for meat, poultry, and fish, and restaurant meals and ready-to-eat food, Stats NZ said today.

Though modest, August's movement is the fifth consecutive monthly rise. After adjusting for seasonality, prices rose 0.2 in August 2021.

Meat, poultry, and fish prices were up 1.3 percent in August, mainly influenced by higher prices for roasting pork (up 11 percent), sausages (up 3.5 percent), lamb chops (up 5.4 percent), and porterhouse and sirloin steak (up 2.3 percent). This was partly offset by lower prices for chicken pieces (down 3.3 percent).

Restaurant meals and ready-to-eat food prices rose 0.4 percent, influenced by higher prices for some takeaway food.

"COVID-19 restrictions had a minimal effect on price collection in August," consumer prices manager Katrina Dewbery said.

"Monthly field price collection, which includes most restaurant meals and ready-to-eat food, was completed under alert level 1, and supermarket scanner data, along with weekly fruit and vegetable prices collection, provides us with good coverage of all other items."

Tomato and grape prices rise sharply

Fruit and vegetable prices also increased in August 2021, up 0.4 percent, largely due to higher prices for tomatoes (up 16 percent) and grapes (up 32 percent).

Fruit and vegetable prices fell 0.2 percent after adjusting for seasonal effects.

"The weighted average price of both tomatoes and grapes rose sharply to $15.79 and $11.52 per kilogram, respectively," Mrs Dewbery said.

"The price of tomatoes previously peaked at $13.65 in August 2020, while grape prices peaked at $10.61 in November 2020," Mrs Dewbery said.

These rises were partly offset by falling prices for broccoli (down 26 percent), strawberries (down 19 percent), capsicums (down 12 percent), and avocados (down 21 percent).

Annual food prices increase in August

Annually, food prices increased 2.4 percent in August 2021, mostly due to higher prices for restaurant meals and ready-to-eat foods (up 4.6 percent), grocery food (up 1.9 percent), meat, poultry, and fish (up 2.2 percent), and fruit and vegetables (up 2.1 percent).