The price of fruit and vegetables dropped 9.9% in November althought they were higher than a year ago.
Food prices fell 0.6 percent in the November 2010 month reflecting lower vegetable prices, Statistics New Zealand said today. This follows a 2.2 percent increase in October when food prices were affected by the rise in GST, and a 0.7 percent increase in September.
Vegetable prices fell 9.9 percent in November. “Lettuce, tomato, and broccoli prices fell in November, as they usually do. However, prices are much higher than this time last year, reflecting poor weather in September and October,” Statistics New Zealand prices manager Chris Pike said.
Grocery food prices were flat (up 0.1 percent) in November 2010. This follows a 1.7 percent rise in October, when about half the prices collected that were not affected by discounting rose 2.0 to 2.5 percent (reflecting the GST rise).
Restaurant meals and ready-to-eat food prices rose 0.6 percent in November 2010, following a 1.9 percent rise in October.
The important point is that poor weather in September and October was the biggest influence on the price rise of fresh fruit and vegetables.
Yet more proof of the futility of Labour’s policy to take GST off a small part of most people’s grocery purchases.
Homepaddock 