New Zealand Sees 4.6 Percent Increase in Food Prices

(MENAFN) New Zealand's food inflation accelerated sharply in January 2026, with annual prices rising 4.6 percent — outpacing December's 4 percent climb — as grocery costs and fresh produce squeezed household budgets, Stats NZ reported Tuesday.

Grocery food drove much of the annual increase, posting a 4 percent rise, while meat, poultry, and fish prices added further pressure, the statistics department said. White bread recorded the steepest surge of all tracked items, skyrocketing 57.9 percent over the year. Beef porterhouse steak climbed 22.9 percent, and takeaway coffee rose 6.6 percent annually.

Stats NZ prices and deflators spokesperson Nicola Growden put the coffee increase in sharper perspective, noting: "The price of a takeaway coffee is now 1.12 NZ dollars (about 0.68 U.S. dollars) higher than five years ago."

On a monthly basis, January delivered its own jolt — food prices jumped 2.5 percent from December, marking the largest single-month increase in four years. Every food subgroup moved higher, with fruit and vegetables surging 6.7 percent and grocery food rising 2.3 percent month-on-month, official data showed.

One area of relief emerged at the fuel pump. Monthly petrol and diesel prices declined 2.4 percent and 3.2 percent, respectively, in January, with both fuels sitting nearly 5 percent below year-ago levels. Growden noted this marked the first time since mid-2025 that fuel prices had fallen simultaneously on both a monthly and annual basis — offering consumers a rare offset against mounting food costs.

MENAFN17022026000045017169ID1110751359