Food prices continue to be lower than a year ago as commodity prices remain sluggish.
Official figures show a 0.5% fall in August compared with the same month last year.
Despite this prices increased in August from July by 0.1%.
Fruit, vegetables and non-alcoholic beverages increased, while meat prices stayed the same, and ready-to-eat food fell, as did grocery prices.
ASB economist Jane Turner says prices will rise in the coming months.
"We do think that this fall will be limited," she says.
"We have started to see commodity prices stabilise, and we don't expect them to lift over the next 18 months".