Food up 1.9% bad tidings, but cheaper bubbly adds cheer

Christmas lunch will cost Kiwis more as food prices continue to rise - and those with a sweet tooth could be hit especially hard.

But if you have a taste for bubbly or can bring yourself to replace some meat and pudding with seasonal fruit and vegetables, costs can be cut.

Statistics New Zealand figures show food prices increased 1.9% in the year to November, and some items likely to be in desserts this Christmas rose in price by much more.

Strawberries are up 13.7% to $13.38 a kilogram, and the ice-cream to go with them has gone up 7.6% to $5.82 for two litres bought in bulk.

But some vegetable prices were down 8.8% and some fruit dropped 6.1%.

The price of avocados dropped 48%, tomatoes 25% and potatoes 12%.

And although strawberries were more expensive than they were in November last year, their price dropped 37% compared with October.

Wine and champagne will cost much the same as during the holidays last year, New Zealand Winegrowers chief executive Philip Gregan said.

"But often you'll see [more] deals on champagne at cheaper prices at this time of the year than any other. There are price deals on champagnes and sparkling wines, because people do buy that sort of wine as a celebratory drink for Christmas."

Increasing international demand meant the industry was on the verge of a change in the supply-and-demand dynamic, but prices were still stable, Mr Gregan said.

"The key thing for consumers, one is price, but two, you've got to make sure you get the quality that you want. Price is one thing, but there's another equation, and that's quality."

Statistics NZ says the cost of meat, poultry and fish rose 3.2% in the year to November.

But poultry is a festive bargain, down 4.7% to $8.32 for a No 15 frozen chicken.

 - Nicholas Jones