January saw the increase in food prices compared to January of last year. The rise in food prices is attributed to higher meat, grocery, restaurant meals/ready-to-eat food, and takeaway costs.
Since January of last year, ready-to-eat food prices rose 3.3 percent, while milk, cheese and eggs rose 2.9 percent. Restaurant meals increased 2.3 percent, and meat, poultry and fish prices were 1.9 percent.
Inversely, Stats New Zealand noted that January did see the 19-month low price for milk. Caroline White, consumer prices manager, said, “The farmgate milk price highly influences supermarket milk prices. Fonterra’s forecast milk payout was cut multiple times from May last year. While dairy farmers face tougher times, consumers usually benefit from the lower prices when supermarkets pay less to the suppliers.”