FX.co ★ NZ Food Inflation Hits 15-Month High in April

In April 2025, New Zealand experienced an increase in annual food inflation, reaching 3.7%, a rise from the 3.5% recorded in March and marking the highest rate since January 2024. This uptick was primarily attributed to elevated costs within the grocery food and non-alcoholic beverages sectors, which saw increases of 5.2% and 6.8%, respectively. The rise in grocery prices was driven by more expensive milk, butter, and cheese, while a notable 21.3% increase in instant coffee prices substantially impacted beverage inflation. Interestingly, for the first time since January 2024, there was a slight rise in fruit and vegetable prices, which went up by 0.2% compared to the previous year. On a monthly scale, overall food prices increased by 0.8% in April, an acceleration from the 0.5% growth observed in March.