12 Nov 2015

Food prices fall amid record-low milk prices

12:11 pm on 12 November 2015

Food prices have fallen due to milk prices dropping to their lowest level in more than seven years.

The Food Price Index declined 1.2 percent in October, compared with the previous month, official figures showed.

Statistics New Zealand said milk fell 5.7 percent, with the average price for two litres of blue-top milk at $3.13 - the cheapest since January 2008.

The cost of fruit and vegetables also went down, with seasonally lower prices for tomatoes, lettuce, and courgettes.

Chicken and lamb prices dropped too, offsetting more expensive potatoes, pork and beef, and cakes and biscuits.

On an annual basis, food prices decreased 0.5 percent.

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