The pace of supplier cost increases to Foodstuffs supermarkets in April was slightly lower than last month.
The Infometrics-Foodstuffs New Zealand Grocery Supplier Cost Index (GSCI) showed an average two percent increase in what suppliers charged in April 2026, compared with a year earlier.
Infometrics Chief Executive and Principal Economist Brad Olsen said the increase recorded in April was a further slowdown from recent months' results.
These slower cost increases still largely predate rising costs stemming from conflict in the Middle East, with only limited increases in produce costs showing through so far.
Given usual lead times for cost changes to flow through supply chains, we expect more of the immediate direct impacts to show through over the next few months.
“There are multiple cost channels that are all undergoing adjustments at present," said Olsen.
"Fuel costs are set to influence costs first, followed by wider pressures from plastics and packaging costs, with further operating cost rises, like for fertiliser, showing through over time.”
Supplier costs rose across all departments in April compared with the previous year. Protein costs rose further, with average seafood supplier costs up 4.9 percent pa as fresh fillet and salmon costs rose.
Pork costs also rose in April, as higher demand and price rises for protein started to spread. Bread and grain costs also increased in April, keeping the grocery department average increase at 2.1 percent pa.
Produce costs rose 2.5 percent pa on average, with notable increases in costs for broccoli, kumara, and capsicums.
Month on month, just over 2,200 products increased in cost from March to April 2026, with the 12-month average pulling back slightly to just over 2,900 per month.
“There was a larger-than-normal proportion of cost changes of a greater magnitude in April, particularly for produce, which likely reflects some early adjustments to transport for more perishable items."
Olsen added wider cost changes related to the Middle East conflict haven’t yet shown through in the April numbers, but are expected to show through in the coming months.
"Current trends indicate pre-conflict supplier cost adjustments were generally constrained, with larger existing increases for some household staples due to other global factors.”
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