The price of beef mince in New Zealand has risen sharply, and this is making the famous Kiwi mince pie more expensive.
Stats NZ said the average price of one kilogram of beef mince is now more than $24, which is 23% higher than a year ago. This is the biggest yearly rise in mince prices since the records began in 2006.
John van den Berk, who owns John’s Bakery and Café in Hastings, said it is one of the largest price increases he has seen in a long time. He explained that meat prices had stayed fairly steady during most of the 35 years his bakery had been open, but that has changed in recent years. He said many costs have gone up, including power, rates, insurance and staff wages.
Because of these rising costs, his bakery has had to take on some of the extra expense and also charge customers more. His mince pies now cost $7.50 each. He said this is hard for small businesses because mince pies used to be one of the cheapest foods people could buy. Some customers are unhappy about the higher price, but many understand that the bakery has little choice. Even so, people are still buying pies.
ANZ agricultural economist Matt Dilly said the main reason for the rise is that beef prices are high around the world, especially because of strong demand from the United States. He also said there are not enough cattle and not enough beef being produced to meet demand.
On top of that, conflict in the Middle East and a weaker New Zealand dollar are pushing food prices even higher, which could mean shoppers pay more in the months ahead.
