GST only one factor in price

From Napier MP Chris Tremain’s Facebook page:

I went fresh vegetable shopping over the weekend to compare prices. Here at a market garden I purchased a pumpkin for $3, a head of broccoli for $1.79, and a cabbage for $1.69. Just down the road at the supermarket the same vegetables were over $6, $3.49, and $3.99 respectively. On one day and without seasonal variation over 100% difference in the price. So consumers have a choice to buy cheap fresh vegetables now, 100% cheaper. Do you really think removing GST from these products will make a difference?

All sorts of things impact on the price of fresh fruit and vegetables.

Taking GST off fresh produce won’t necessarily reduce the price by 15%. Seasonal availability, weather and how much of a mark-up retailers choose to charge could just as easily increase the price by that amount or more.

9 Responses to GST only one factor in price

  1. Andrei says:

    So consumers have a choice to buy cheap fresh vegetables now, 100% cheaper

    Silly man, you need to use petrol to go to roadside stalls, which for him may not be too distant but for many would not make it economic and for the poorest of course not even an option.

    Still it’s not up there with Jenny Shipley’s offer to live off what the benefit pays for two weeks to “show how easy it is”. That prosperous plump woman’s preposterous offer was one worthy of utter contempt to ring down the ages along with Marie Antoinette’s apocryphal let the, eat cake.

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  2. Brian Smaller says:

    Then there is the whole inanity of buying imported and/or out of season produce and complaining about how expensive it is. Tomatoes at $14.kg at PakN Slave v a 400g tin for $1.80. People are fucking morons.

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  3. Andrei says:

    People are f***ing morons.

    Particularly prevalent amongst our ruling class who’d be the primary consumers of imported hot house tomatoes and pomegranates I’d be picking.

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  4. homepaddock says:

    Andrei – I think that was Katherine O’Regan not Jenny Shipley.

    But such stunts are just stunts and do nothing to help.

    Brian – that shows the stupidity of exempting GST from fresh fruit and vegetables but leaving it on processed ones.

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  5. Andrei says:

    I think that was Katherine O’Regan not Jenny Shipley.

    Are you sure? It has entered New Zealand’s mythology as having been Jenny Shipley.

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  6. gravedodger says:

    @ Andrei re Petrol, Tremain, living in Hawkes Bay, would know that with a bike and a backpak most could access many of the plethora of Road-sides with ease, even walking distance
    I doubt there would be many of the target for bribing with the GST rubbish who now drive to get Maccas or KFC would be seriously put out, and the exercise would do them good.
    Bit different in say Invercargil I guess.

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  7. homepaddock says:

    GD – another way is to car pool, or set up an informal buying co-operative.

    Andrei: I’m 99% sure and if I remember correctly she became ill part way through the experiment and gave up.

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  8. Andrei says:

    Ele

    Andrei: I’m 99% sure and if I remember correctly she became ill part way through the experiment and gave up.

    Well if she became ill and gave up that surely would be poetic justice.

    GD

    I doubt there would be many of the target for bribing with the GST rubbish who now drive to get Maccas or KFC would be seriously put out, and the exercise would do them good.

    I actually find that sort of statement offensive, the poor have a diet which almost entirely consists of plain pack weetbix and instant noodles.

    Of course being poor is just about the worst crime someone could commit and therefore the poor are prime targets for mockery and contempt from those of privilege who do have the option of KFC or McDonalds .

    Be thankful in your blessings mate – and if you know of a poor struggling family, take their kids to McDonalds and give them a rare and unexpected treat.

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  9. Alwyn says:

    It is not surprising that Tremain found the price of fruit and veges much cheaper at a stall than in a supermarket. As far as I have been able to understand the fruit and veges sold in HB supermarkets are, in many cases, grown in the Bay, transported to the supermarket distribution centres in Auckland and then transported back to HB for sale. No wonder they are not very fresh and very expensive.
    Gravedodger, as far as walking between the roadside stalls, you would have to be very fit. Cycling yes but not walking I suggest.

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