Reversing the upward trend, New Zealand recorded 0.7 per cent decline in food prices in September led by significant drop in the vegetable prices. Food prices rose 3.3 per cent in past 12 months according to the data released by Statistics New Zealand.

Food prices in the country also recoded 0.9 per cent decline in August, setting a new instance of decline in food prices for two consecutive months.

The decline brings respite for the common man and authorities, living under inflationary pressure for past couple of years. New Zealand's Annual Food Inflation stood at 8.4 per cent in July contributed significantly by rise in fruit and vegetable prices due to very cold winters.

Vegetable prices eased 12.8 per cent in September, contributing collective fall of 8.4 per cent in fruit and vegetable prices in September. The second consecutive decline in grocery food prices and declining prices of meat, poultry and fish helped to decline monthly food inflation figures in the reporting period.

Meanwhile, sugarcane, bacon and bread prices rose 20.2 per cent, 1.8 per cent and 11.3 per cent respectively on annual basis during the month.