19 Aug 2010

Cost pressures on producers rise

12:22 pm on 19 August 2010

Pricing pressures on farms and factories continued to rise in the June quarter.

Statistics New Zealand figures show the Producer Price Index for output, which measures the prices producers are paid for their products, rose 1.1%, driven by higher dairy, meat and fuel prices.

The index for input costs, which is a measure of wholesale inflation, rose 1.4% during the quarter, mainly because of the rise in meat products and crude oil.

BNZ senior economist Craig Ebert says the historical data is unlikely to feed into current inflation figures, as it doesn't take into account recent falls in commodity prices.