Carolyn Young: Retail NZ Chief Executive says prices in her sector will increase soon

The conflict in Iran won't just affect petrol. 

Retail NZ Chief Executive Carolyn Young says prices in her domain haven't increased yet, but they will soon. 

She says it's been forecast that the conflict could add half a percent to inflation. 

Young told Mike Hosking that it will affect everything that needs to be delivered, whether they be by road, sea or air. 

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Episode Transcript

Speaker 1 (00:00):
Talk here, of course already as prices given a lot
of the things we buy has a petrol component to them.
As oil rises, so does the cost of living. Basically,
Caroen the Young is retail in New Zealand CEO, and
she is well, this morning's are.

Speaker 2 (00:11):
You Morina, Mike?

Speaker 1 (00:14):
Is it a little bit premature given we're barely entering
week two or are you already seeing prices move?

Speaker 2 (00:20):
Well, we are seeing prices move just yet, but they're
not far away. When you consider the price of fuel
going up. We also know that suppliers have indicated already
to a number of retailers that prices are rising, and
retailers are doing what they can to absorb those. But
as soon as domestic phrase is impacted, you know, as

(00:40):
goods are distributed across the country, that's an additional cost
that's going to go in there. And if new freighter
arrives in on higher ship and charges, it's more costs
that are going to come in there. So you know,
they're forecasting it could be you know, as high as
half of the cent on inflation. So certainly we'll see
some increases in prices.

Speaker 1 (00:58):
How do you know continue sure, How do you know
it's real versus someone gouging and just trying it on.

Speaker 2 (01:06):
Well, I think you need to if you have any concerns,
you'd need to ask three tail what's driving the price
changes and understand from them you know where that is.
I mean, if you're looking at consumption sort of, if
you're thinking about supermarkets and products that come in through
there are flowing through really quickly and regularly, they're likely

(01:26):
to hit quicker. You know, the fuel prices that the
pump are going up quite quickly, right, so as soon
as new products come in, they're going to be fixed
on those prices. We're going to see rises. But in
places like appail, you wouldn't see significant increases other than
the cost of freight potentially on those products, because you
know they may already be in the country. As such, if.

Speaker 1 (01:48):
This thing lasts three or four weeks, in other words,
another two or three weeks to go by the time
we get to October November, will this have been just
a blip and will have had minimal impact.

Speaker 2 (01:58):
We'd like to think, so absolutely.

Speaker 1 (01:59):
All right to talk to you. Appreciate it very much. Carolyn Young,
Retail New Zealand CEOs. For more from the Mic Asking Breakfast.
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