13 December 2010 Media Statement
Food prices reflect grim struggle for Kiwi families
The latest food price index underlines what a difference Labour’s policy of scrapping all GST on fresh fruit and
vegetables will make for struggling Kiwi families, says Labour’s Finance spokesperson David Cunliffe,
Today’s index, released by Statistics New Zealand, shows that food prices rose 4.8 percent in the year to November 2010,
David Cunliffe said.
“The really significant factor, however, is that within the overall food prices index, grocery food rose 5 percent, and
fruit and vegetables a staggering 11.9 percent.
“For Kiwi families who have lost jobs, or received no pay rises, this is creating a real problem,” David Cunliffe said.
“John Key’s tax switch has helped his wealthy mates, but struggling families, who have missed out on the tax cuts but
are paying the 20 percent increase in GST, are finding it a crippling burden buying healthy, fresh food.
“While vegetable prices fell in November because of the time of the year, that relief will be short-lived,” David
Cunliffe said.
“Labour’s policy of scrapping all GST on fresh fruit and vegetables will make a real difference to the lives of tens of
thousands of Kiwi families. They’re the tens of thousands John Key doesn’t give a toss about.”
ENDS