Strawberry prices squished as exports drop

Strawberry prices fell 43 percent in November 2020 as COVID-19 border restrictions reduced exports, Stats NZ said today.

Soaring air freight costs since COVID-19 border closures has made exporting products much more expensive, and a shortage of international workers in the fruit picking industry has meant that growers can’t pick their fields fast enough, meaning that many berries are too ripe for exporting.

“With less exports there is more supply available for domestic consumption, causing lower prices,” consumer prices manager Katrina Dewbery said.

Strawberry prices were an average price of $3.45 per 250g punnet in November, down from $6.04 in October.

“Prices are lower than we typically see for a November month with December generally being when they are cheapest. Some people may be seeing even cheaper prices during the first half of December,” Mrs Dewbery said.

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Overall, food prices fell 0.9 percent in the month, mainly influenced by vegetable prices falling 9.9 percent, partly offset by fruit prices rising 5.2 percent, despite the drop in strawberry prices.

Tomato prices fell 51 percent in the month to an average price of $3.99 per kilo, down from an all-time high of $13.65 in August this year, see Tomato shortage follows lockdown for more information.

“Tomato prices have adjusted back down to a price we would expect to see for this time of year, slightly higher than the five-year average price for the November month of $3.74 per kilo,” Mrs Dewbery said.

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Mainly influencing the rise in fruit prices are higher prices for kiwifruit (up 78 percent), apples (up 13 percent) and oranges (up 34 percent). These fruit prices typically become more expensive heading into summer as they go out of season.

Kiwifruit has risen to an average price of $7.11 per kilo, 86 cents more expensive than this time last year.

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/Stats NZ Public Release. View in full here.