Figures released by Stats NZ today show food prices rose 5% in 12 months ended July, compared to a 4.6% annual rise the month before - the biggest increase since November 2023.
The monthly rate appeared to be slowing, with food prices rising 0.7% in July on the month before, compared to a 1.2% rise in June.
"All five food groups recorded higher prices when compared to this time last year," Stats NZ prices and deflators spokesperson Nicola Growden said.
Higher prices for the grocery food group, up 5.1%, contributed the most to the increase prices.
The price increase for the grocery food group was due to higher prices for milk, butter and cheese.
The average price for:
- milk was $4.70 per 2 litres, up 16% annually
- butter was $8.59 per 500 grams, up 42.2% annually
- cheese was $13.01 per 1 kilogram block, up 29.5% annually.
"The price for 2 litres of milk has increased 33.9 percent since July 2020," Growden said.
"In the 12 months to July 2025, milk prices contributed more to the increase in overall food prices than any other food item."
Prices for the meat, poultry, and fish group, up 7.9%, was the next largest contributor to the annual increase in food prices.
The increase was driven by higher prices for beef steak and mince, up 24.6% and 19.3%, respectively.
"The average price of 1 kilo of beef mince costs $21.97 in July 2025, about $3.50 more than a year ago," she said.
- Allied Media and RNZ
