Food prices in September 2008
Food prices rose 0.6 percent in September 2008, following increases of 2.7 percent and 0.6 percent in August and July 2008, respectively.
In September 2008, higher prices were recorded for the following subgroups: meat, poultry and fish (up 3.7 percent), grocery food (up 0.5 percent), restaurant meals and ready-to-eat food (up 0.4 percent), and non-alcoholic beverages (up 0.3 percent). Lower prices were recorded for the fruit and vegetable subgroup (down 2.2 percent).
The most significant individual upward contributions came from higher prices for beef (up 6.8 percent), tomatoes (up 16.3 percent), yoghurt (up 11.6 percent), fresh chicken (up 5.8 percent), pork (up 11.9 percent), and broccoli (up 19.8 percent).
The most significant individual downward contributions came from lower prices for lettuce (down 20.6 percent), and cucumber (down 43.8 percent).
| Index Points Contribution |
| Subgroup |
July 2008 to
August 2008 |
August 2008 to
September 2008 |
Fruit and vegetables
Meat, poultry and fish
Grocery food
Non-alcoholic beverages
Restaurant meals and ready-to-eat food |
15.37
4.76
8.40
0.29
1.31 |
-3.73
7.11
2.34
0.30
0.75 |
| Food Price Index |
30.13 |
6.78 |
Note: Index points contributions may not sum to totals due to rounding.
Distribution of item-level movements
The table below outlines the distribution of price movements in August and September 2008. The Food Price Index (FPI) has been partitioned into those national item-level indexes that increased, showed no change, or decreased.
| Distribution of Item-level Index Movements |
| National item-level index movements |
July 2008 to
August 2008 |
August 2008 to
September 2008 |
| Increase in price |
Number of items
Percentage of all items
Percentage of expenditure weight
Index points contribution
Weighted average price increase (percent) |
107
68.2
72.1
38.1
4.7 |
97
61.8
64.9
22.6
3.0 |
| No change in price |
Number of items
Percentage of all items
Percentage of expenditure weight |
0
0.0
0.0 |
0
0.0
0.0 |
| Decrease in price |
Number of items
Percentage of all items
Percentage of expenditure weight
Index points contribution
Weighted average price decrease (percent) |
50
31.9
27.9
-8.0
2.6 |
60
38.2
35.0
-15.8
3.9 |
The distribution of item-level movements shows that:
- the percentage expenditure weight of items that increased in price fell, while the percentage expenditure weight of items that decreased in price rose
- the weighted average price increase fell, while the weighted average price decrease rose
- the percentage of expenditure weight of items that increased in price is significantly greater than the percentage of expenditure weight of items that decreased in price
- the weighted average price decrease is now greater than the weighted average price increase.
These movements resulted in a 0.6 percent increase in the September 2008 FPI, compared with a 2.7 percent increase in August 2008.
Annual movements
Food prices increased 10.8 percent in the year to September 2008, following increases of 10.6 percent and 7.6 percent in the years to August and July 2008, respectively. This annual movement is the largest since April 1990, when food prices increased 11.4 percent, which incorporates the GST increase from 10.0 to 12.5 percent in the July 1989 month.
All five of the food subgroups increased in the year to September 2008. The most significant upward contribution came from higher prices for the grocery food subgroup (up 12.8 percent), followed by fruit and vegetables (up 17.9 percent), meat, poultry and fish (up 8.8 percent), restaurant meals and ready-to-eat food (up 6.3 percent), and non-alcoholic beverages (up 6.9 percent).
Within these subgroups, the most significant upward contributions came from higher prices for lettuce (up 139.5 percent), cheddar cheese (up 61.6 percent), bread (up 16.5 percent), fresh milk (up 12.6 percent), and butter (up 89.1 percent).
The most significant downward contribution came from lower prices for tomatoes (down 10.9 percent).
| Annual Index Points Contribution |
| Subgroup |
September 2007 to
September 2008 |
Grocery food
Meat, poultry and fish
Fruit and vegetables
Restaurant meals and ready-to-eat food
Non-alcoholic beverages |
50.17
25.75
15.73
14.97
6.61 |
| Food Price Index |
113.23 |
Note: Index points contributions may not sum to totals due to rounding.
Meat, poultry and fish
Prices for the meat, poultry and fish subgroup increased 3.7 percent in September 2008, following an increase of 2.6 percent in August 2008 and a decrease of 1.0 percent in July 2008.
The most significant upward contributions came from higher prices for beef (up 6.8 percent), fresh chicken (up 5.8 percent), and pork (up 11.9 percent).
For the year to September 2008, prices for the meat, poultry and fish subgroup increased 8.8 percent. The most significant upward contributions came from higher prices for beef (up 12.8 percent), poultry (up 10.0 percent), lamb (up 17.3 percent), and pork (up 11.2 percent).
Fruit and vegetables
Prices for the fruit and vegetables subgroup decreased 2.2 percent in September 2008, following increases of 9.6 percent and 3.6 percent in August and July 2008, respectively. Vegetable prices decreased 3.3 percent in September 2008, while fruit prices increased 0.2 percent.
The most significant downward contributions came from lower prices for lettuce (down 20.6 percent), and cucumber (down 43.8 percent), both of which recorded strong price rises in August. The most significant upward contributions came from higher prices for tomatoes (up 16.3 percent) and broccoli (up 19.8 percent).
For the year to September 2008, fruit and vegetable prices increased 17.9 percent. The most significant individual upward contributions came from higher prices for lettuce (up 139.5 percent), broccoli (up 110.4 percent), apples (up 28.4 percent), and cabbage (up 167.6 percent). The most significant downward contribution came from lower prices for tomatoes (down 10.9 percent).
Other subgroups
In September 2008, higher prices were recorded for the grocery food subgroup (up 0.5 percent), the restaurant meals and ready-to-eat food subgroup (up 0.4 percent), and the non-alcoholic beverages subgroup (up 0.3 percent).
Within these subgroups, the most significant upward contributions came from higher prices for yoghurt (up 11.6 percent), cheddar cheese (up 5.4 percent), drinking chocolate (up 16.0 percent), and ready-to-eat food (up 0.4 percent).
The most significant individual downward contributions came from lower prices for snack foods (down 2.5 percent), ice cream bought in bulk (down 7.1 percent), and hummus dips (down 10.2 percent).
For the year to September 2008, prices for the grocery food subgroup increased 12.8 percent, the restaurant meals and ready-to-eat food subgroup increased 6.3 percent, and the non-alcoholic beverages subgroup increased 6.9 percent.
For technical information contact:
Gareesh Madhas or Daniel Griffiths
Wellington 04 931 4600
Email: info@stats.govt.nz
Next release ...
Food Price Index: October 2008 will be released on 17 November 2008.