A recent grocery price comparison suggested that New Zealanders paid more for kitchen staples than shoppers in Australia, the UK, and Ireland.
However, Foodstuffs said the analysis missed a key detail: where customers buy groceries in New Zealand can make a significant difference.
Chris Quin, CEO of Foodstuffs North Island, said that while grocery prices were partly driven by global supply chains, commodity price fluctuations, and local operational costs, PAK'nSAVE has consistently delivered some of the lowest prices in the country.
“Comparing prices between different countries is never straightforward. Local taxes, wage rates, transport costs, and supply chain factors all play a role. But what we do know is that within New Zealand, PAK'nSAVE works hard to deliver the best value for shoppers,” said Quin.
PAK'nSAVE Albany stacked up against international competitors and an Australian-owned local grocery chain
| Item | Woolworths NZ | Dunnes (Ireland) | Coles (Australia) | Tesco (UK) | PAK'nSAVE Albany |
| Dozen Free Range Eggs
|
$8.90 | $6.99 | $6.35 | $5.96 | $8.49 |
| Extra Virgin Olive Oil (750ml)
|
$18.70 | $7.91 | $17.26 | $16.67 | $15.99 |
| Tea Bags (100 pack)
|
$6.00 | $6.81 | $1.95 | $6.07 | $2.99 |
| Potatoes (per kg, loose & washed)
|
$2.99 | $2.56 | $3.62 | $1.74 | $2.79 |
| White Rice (1kg) | $2.49 | $2.19 | $2.34 | $1.15 | $2.39 |
|
Butter (500g)
|
$7.19 | $7.69 | $7.79 | $8.79 | $6.89 |
| Tomato Sauce (500ml) | $2.90 | $1.42 | $2.34 | $1.90 | $2.79 |
|
Cheese (500g block) |
$7.10 | $5.53 | $10.02 | $10.30 | $7.69 |
|
Wholemeal Bread (pre-sliced loaf) |
$2.49 | $2.56 | $3.34 | $1.03 | $2.29 |
| TOTAL | $58.76 | $43.66 | $55.01 | $53.61 | $52.31 |
In New Zealand, all groceries are subject to a 15 percent GST (NZD 7.85 for the PAK’nSAVE basket shown). In contrast, all the products in this list were exempt from GST/VAT in Australia, the UK, and Ireland.
If a 15 percent tax were applied to prices in Australia, the UK, and Ireland, PAK’nSAVE would be on par with Dunnes (whose significantly lower total is due to cheaper olive oil) and cheaper than the other retailers.
“As the numbers show, New Zealand grocery pricing is competitive, especially at PAK'nSAVE.”
The price of staple goods fluctuates due to international economic conditions, supply constraints, and global market factors.
For example, the recent surge in olive oil prices has been driven by production shortages in key exporting countries. Nonetheless, PAK'nSAVE has continued to offer competitive pricing across essential grocery items.
“Food prices in every country are impacted by different factors. What matters to New Zealanders is getting the best value when they shop - and PAK'nSAVE is the best place to do that.”
