11 Nov 2011

Food prices fall again

3:16 pm on 11 November 2011

Food prices fell 1.3% in October, led by a sharp drop in vegetable prices. It was the third monthly decline.

Statistics New Zealand says much of the fall is due to seasonally lower prices for lettuce and tomatoes, although that was partly offset by higher prices for potatoes.

Prices for meat, poultry and fish fell slightly and prices for restaurant meals and ready-to-eat food rose a little.

For the year to October, prices rose 1.1%, compared with 4.7% a month earlier - a drop explained by the fact that the rise in GST, which came into effect in September last year, is no longer included in the calculations.