Sue Chetwin: Grocery Action Group says StatsNZ's inflation figures are higher than they should be

Following the food inflation figures from Friday, Foodstuffs has challenged StatsNZ’s numbers. 

On Friday, StatsNZ reported a 5.0% rise in the year to July. 

But Foodstuffs is reporting a 3.4% year on year increase – arguing they have a clearer measure of grocery prices. 

Sue Chetwin from Grocery Action Group told Ryan Bridge that StatsNZ is including restaurants and takeaways in their reporting, which is throwing off their final stats. 

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Episode Transcript

Speaker 1 (00:00):
Off the back of the food inflation figures on Friday,
food Stuffs has come up with an interesting comparison. Stats
in z reported five percent increase in the edit two July.
I know, hard to swallow, hard to say, but food
Stuffs is reporting a three point four percent increase year
on year. They argue they have a clearer grasp on
grocery prices. They say stats in Z is including restaurant

(00:23):
and takeaways in their reporting. Soud Chetwyn is with the
Grocery Action Group, which is with us this morning. Hey, Sue,
good morning. What do you reckon spin or do they
have some merit in what they're saying.

Speaker 2 (00:35):
Look, I think that it's interesting statistics, and you know,
it's it's good to have them, But to me, it
really is spin stats in New Zealand. And I've been
doing these figures for a very long time, and food
Stuff is producing them when they think that they might

(00:56):
benefit them. You know, they are under the gun at
the moment because of the very high prices that Tiwis
are paying for groceries, and so they come out with
statistics like this, and of course, you know you have
to say that gst is on is on food in
New Zealand and isn't in some of the other comparison

(01:17):
countries like the UK and Australia. But you know, there's
research around that shows that even taking that into account,
that we are still paying too much for groceries here.
So I don't think it. I don't think it does
food stuff so much good to do stuff like this
in some respects because I just don't think. I think
here even more sensible than that, And they probably don't

(01:39):
believe it.

Speaker 1 (01:40):
But.

Speaker 2 (01:41):
Do you.

Speaker 1 (01:42):
But to be fair to them, I mean they get
hammered day in, day out. These guys are the reason
I can't afford to feed my family. And they'd make
some just reasonable points about you know, harsher winter and
shopping seasonally and as you say the gest I mean,
these are valid things.

Speaker 2 (01:59):
Oh look absolutely, you know there has been a harsh winter,
stops seasonally. All of those things are correct. But the
reality is that we still have, you know, a duopoly
in New Zealand. We have food stuff which is increasing
its hold actually and and we have two reports from

(02:23):
the Grocery Commissioner showing that things are tough. The barrier
to entry for us a competing supermarket is probably too high,
and that's why we don't have competition here, and that's
why we have high prices. It's not much more difficult
than that. And food stuff might be giving us all

(02:45):
this advice, but the fact of the matter is there
making excessive profits. So if they brought the price of
their food down a little bit, they would still be
making profits.

Speaker 1 (02:56):
Spend a little less on PM maybe you reckon see hey,
thanks thanks times Shipwin, who's for the Growth Reaction Group.
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