New Zealand Food Prices Jump 5 Per Cent Driven By Dairy Products

(MENAFN- IANS) Wellington, Sep 16 (IANS) New Zealand's food prices surged 5 per cent in the 12 months to August 2025, maintaining the pace set in July, the statistics department Stats NZ reported on Tuesday.

The increase was largely driven by the grocery food group, particularly dairy products, which saw steep rises, reports Xinhua news agency, quoting Stats NZ.

The average price for 2 litres of milk jumped 16.3 per cent to 4.72 NZ dollars (2.81 US dollars) for the cheapest available options, with cheese soaring 26.2 per cent and butter climbing 31.8 per cent, it said.

"Dairy products continue to be the main driver for the higher annual food prices," Stats NZ prices and deflators spokesperson Nicola Growden said.

The price of 2 litres of milk has increased by 88 cents since December 2023, Growden said.

Meat, poultry, and fish posted the next largest group rise, up 8.1 per cent year-on-year, led by beef steak, beef mince, and lamb leg, statistics show.

Meanwhile, national rent prices rose 2.1 per cent in the year to August, the smallest annual jump since March 2011, Stats NZ said.

Earlier in August, the statistics department Stats NZ reported that New Zealand's volume of retail sales rose by 0.5 per cent in the June 2025 quarter compared to the March quarter.

The growth was driven mainly by increases in electrical and electronic goods, supermarkets and groceries, pharmaceutical retailing, and department stores, said Stats NZ economic indicators spokesperson Michelle Feyen.

Despite this overall growth, retail sales fell in most regions, with the South Island seeing a slight increase of 0.2 per cent, while the North Island experienced a 0.3 per cent decline, statistics show.

Over the longer term, from June 2022 to June 2025, retail sales in the South Island have grown significantly faster than in the North Island, according to Feyen.

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