[mathmussim]

Have food prices risen dramatically in NZ recently? Many items here in the US have gone up over 50% in just a few months, especially for staples. I'm sure our collapsing US$ has a lot to do with it, but that doesn't explain all of it. We thought the NZ food prices were very high (in NZ$ terms) when we visited, so I hope you haven't had as much of a rise as we have.

Sim

[StevieD]

Not noticed too much, but the rising fuel costs are bound to have an effect.

[benandclare]

Think rising food prices are global so we're suffering along with other countries
:wah

[Sam B]

There was an item on the news this week about how food prices have shot up globally. But it didn't explain why. Why have food prices gone up?

[ellenmelon]

my beloved cottage cheese has gone up about 50-60c :( like most dairy products....it's subtle but businesses are passing the costs of transporting (i think its to do with petrol prices...its alllll connected! :) )food onto us.

[Moorf]

Rice and grains have risen to over three times what they were this time last year and there's a shortage which will affect the globe - some countries are even refusing to export them for fear they won't be able to feed their own people.

I feel like I'm sat watching a global car-crash in slow motion... petrol rising here, so is food - rioting in some countries due to the hikes in food prices... what next?

Some (free) food for thought: http://business.timesonline.co.uk/tol/business/industry_sectors/consumer_goods/article3799327.ece

Rice shortage threatens Asia - http://www.upiasiaonline.com/Economics/2008/04/22/rice_shortage_threatens_asia/4679/

[Nathan]

Australian drought is responsible for a significant part of the rice shortage, as selling of water rights to wine grape farmers and switching from rice production to grape production will have a continuing effect. Meanwhile, USA rice production is being shifted to more profitable crops.

Conversion of 'food crops' to 'fuel crops' and competition for grain for fuel production is causing an increase in food prices, whether it be food made from the grains or food made from the animals that eat the grain.

[kowhai]

http://blogs.nzherald.co.nz/blog/your-views/2008/4/14/have-you-curbed-your-spending-recently/?c_id=469&commentpage=1

This gives an indication of how many people are finding the current economic situation.

[akp713]

It's a big problem here in NZ too. The price of dairy products has doubled in the last year and bread is up 80%. Petrol cost US$5.67/gallon at the moment. A 277 gram carton of grated Parmesan cheese cost US$2.99 in the US but would run you US$12 in New Zealand. It's cheaper for me to have my parents ship me Kraft Parmesan cheese by the box rather than buy it here.

The price rise has to do mostly with oil prices being up. The rise in gas prices has lead the US to subsidize the production of ethanol as an alternative which means a lot of corn is being used for fuel instead of food. So anything that used corn, like anything sweet with corn syrup, or meat products that require the animals be fed with corn or grain, is going up. The pesticides used to grow the crops are petroleum based and the cost of transport goes up with the price of gas as well. The growing demand for oil and food in India and China are the major causes of all this and they aren't going away. Also, the falling US dollar hurts the global economy, not just the US.

There has been demands in NZ for the govt. to remove the 12.5% GST tax on food at the market but the govt. had said there's no chance of that. There is also talk that there will be another 25c to 40c tax per liter of petrol added in the next year.

[boatieman]

Food prices in NZ have gone up by 28%. AS in NZherald and BOP News.
Last june 2007 Diesel at Mt Maunganui BP was $0.83 Ltr. Its Now $1.59. But Nz National radio reckon thats only a 20% increase in fuel prices......yeah right!!!

[swissmissdesigner]

Have food prices risen dramatically in NZ recently? Many items here in the US have gone up over 50% in just a few months, especially for staples. I'm sure our collapsing US$ has a lot to do with it, but that doesn't explain all of it. We thought the NZ food prices were very high (in NZ$ terms) when we visited, so I hope you haven't had as much of a rise as we have.

Sim

I live in California our food prices are still the same...
Thank God!