In the year to July 2015, food prices increased 1.2 per cent. This follows a decrease of 0.1 per cent in the year to June and 0.8 per cent in the year to May.

“Fruit and vegetable prices increased 5.7 per cent, and over the year, accounted for more than half of the overall increase,” consumer prices manager, Matt Haigh, said today. Fruit prices increased 7.9 per cent in the year to July 2015, influenced by higher prices for grapes and avocados.

Restaurant meals and ready-to-eat food rose 1.9 per cent, while non-alcoholic beverage prices rose 3.9 per cent. Meat, poultry, and fish rose 1.5 per cent, influenced by higher prices for beef (up 7.1 per cent).

The combined rise in these four groups was partly offset by lower grocery food prices (down 1.5 per cent).

Food prices rose 0.6 per cent in July

In the July month, food prices rose 0.6 per cent. This follows a 0.5 per cent rise in June and a 0.4 per cent rise in May. Fruit and vegetables rose three per cent, and contributed two-thirds of the overall increase.

Prices for fruit rose two per cent in the month, influenced by higher prices for mandarins and grapes. After adjusting for seasonal influences, however, fruit prices rose only 0.8 per cent.

Vegetable prices rose 3.6 percent, but fell 0.2 percent after seasonal adjustment. The rise was influenced by seasonally higher prices for lettuce.

Meat, poultry, and fish prices rose 1.3 per cent. The biggest contribution came from chicken (up 5.2 per cent, but still 4.5 per cent below its peak in December 2014).

Grocery food prices fell 0.1 per cent, led by lower prices for bread (down 1.2 per cent) and butter (down 4.5 per cent). Fresh milk prices were up 0.4 per cent, but were down 6.7 per cent for the year.