20 Jan 2009

Food prices stay high

4:55 pm on 20 January 2009

Food prices are remaining stubbornly high despite a sharp drop in inflation.

Food prices increased 9.1% last year, with meat, poultry and fish, and groceries the main contributors.

Statistics New Zealand recorded an 11.1% rise in the cost of meat, poultry and fish, while grocery foods rose 11%.

Fruit and vegetable prices rose 8.7%, restaurant meals and ready-to-eat food increased by 6% and non-alcoholic drinks were up 5.6%.

Bread prices rose 20.2%, while cakes and biscuits cost 14% more.

In December, cheaper tomatoes, brocolli and lettuce lowered overall food prices by 0.2% for the month.

However, apple and kiwifruit prices rose during the month.