DEARER FOOD PRICES

Manawatu Times, Volume XLIX, Issue 3247, 18 January 1926, Page 6

DEARER FOOD PRICES

HIGHEST FOR YEARS, WHAT OFFICIAL RETURNS SHOW Food prices in New Zealand are now higher than they have been since October, ,1021, and higher than they have been at any time prior to January, 1920. This Information is contained in the December ' “Monthly Abstract of Statistics;” ‘ ■ : ;■ The last available returns showed that the retail price index for tne three food . groups—groceries, dairy produce, and meat —was 1,667, an increase of 11 points compared with the corresponding index for the prsceding month, ‘and showing a price level 5 s.ft per cent above that for July. 1914.

The official figures show that groceries rose 26 points during the monthly period. This however, Is a usual happening at the present time of the year, and is due to seasonal changes in the prices of potatoes and onions, A fall in the price of .butter accounts for a decrease of 15 points in the dairy produce group. Meat prices, which had risen 168 points during the three months ended October 15, 1925. have slackened the rate of increase. In some places, notably Taihape and Hamilton, an actual fall was recorded In November. The net increase was 0 points in the meat group, which is now within 16 points of the peak level recorded in December. 1920. In November the index number for the three groups showed a level 88 points higher than the index number for the corresponding month last year. The index number for groceries is 23 points lower, largely owing to the much lower prices now pre. vailing for sugar. On the other hand the meat group for November of this year shows a level 254 points above that of the corresponding month last year. The present higher prices for butter and ham, coupled ‘ with the comparatively higher price of eggs account for an increase of 47 points in the dairy produce group. Money spent on food, however constitute® somewhat less than two-fifths of th§ total expenditure of the average New Zealand household. If the last escertained figures for rent, clothing and miscellaneous Items wore to be combined in their proper respective proportions with the food fuel, and light figures for the last month, the result would be to show an Increase for the “all groups” re. tail price level of 63.3 per cent, over chat for July, 1914. The fall of 47 points last July in che clothing group Is due to a consideralbe drop in prices for clothing and drapery, reinforced by a minor call In footwear prices. In the miscellaneous sub-groups all except that of papers and periodicals which remain stationary, ox. bibit a fall. The largest drop is recorded la connection with crockery, closely followed by fares. The smallest falls were recorded in the furnishings and Ironmongery sub.groups

Comparison of prices with those in other parts of the Empire Is on the whole not unfavourable from the oonsumer'e standpoint to the New Zealand cities, except as regards coal. In respect to flour also New Zealand is less favourable situated from a consumer’s standpoint than any of Hi a other towns considered except

Capo Town. Sugar is very cheap In New Zealand. Despite the recent phenomenal rise In the price of meat in the dominion, this commodity, like butter and cheese is still exceptionally cheap re latively to the- • prices - elsewhere, with the possible exception of Austra. Ua. ~