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Food prices rise 0.6% in July as cold winter pushes up vegie prices
Annual food price inflation was 8.4% in July and prices rose 0.6% from June as cold winter weather hampered growing conditions and pushed up vegetable prices, Statistics New Zealand (Stats NZ) said on Thursday.
The 3.1% rise in fruit and vegetable prices from June accounted for nearly all of the increase in the overall index over the month, Stats NZ said. Lettuce prices rose by 41.6% over the month, and represented three-quarters of the overall increase.
The meat, poultry and fish subgroup experienced price falls of 0.7% in July, although prices were still up 12.4% from a year ago, compared to 12.1% annually in June.
Overall prices in the grocery food subgroup rose 0.5% in July, and annual growth was 7.8%, from 7.9% in June.
Both the non-alcoholic beverages group and the restaurant and ready-to-eat food subgroup saw 0.3% monthly rises, with the former up 7.1% from July 2008 (7.3% in June), and the latter up 4% from a year ago (4.3% in June).
In June, overall food prices rose 2.8% from May.
This is the housing market
This is the housing market all over again.
Vegatables are now well above their historic long term average price which is not sustainable relative to the average income.
It has nothing to do with 'cold weather' or 'lack of vegies'. These are lies perpetrated by people with a vested interest in increased vegie prices. The problem is that greedy people are buying vegies who shouldn't be.
As every opinionator on this site knows the only way to bring down the cost of vegies is to reduce vegie demand by increasing prices (through additional taxes and removal of vegetable tax 'advantages') which will force 'ma & pa' vegie purchasers out of the vegie market - freeing up their money to be invested in something more useful.