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Australia's worst drought ever has turned meat into a luxury with lamb prices rising double-digit in just one year (depicted is a hungry Coonabarabran sheep in NSW)

Revealed: how the worst drought in 400 years has turned meat into a luxury – with a roasted lamb price of 14 percent in one year

  • Lamb prices rose by 14.3 percent in the last year due to drought
  • This was more than eight times the annual inflation of Australia of 1.7 percent
  • The great drought has also pushed up the prices of beef, milk and breakfast cereals
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Australia's worst drought in 400 years has made meat a luxury with lamb prices rising double-digit in just one year.

The latest official consumer price index figures for the quarter of September showed a sharp increase in the products that came from the farm.

Lamb prices have risen at an annual rate of 14.3 percent – a level that is more than eight times as high as total inflation of 1.7 percent, the Australian Bureau of Statistics revealed.

Australia's worst drought ever has turned meat into a luxury with lamb prices rising double-digit in just one year (depicted is a hungry Coonabarabran sheep in NSW)

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Australia's worst drought ever has turned meat into a luxury with lamb prices rising double-digit in just one year (depicted is a hungry Coonabarabran sheep in NSW)

How YOU have paid more in a year

Lamb meat: 14.3 percent higher

Beef: 7.1 percent higher

Milk: 6.7 percent higher

Alcohol and cigarettes: an increase of 6.6 percent

Breakfast cereal: 6.4 percent

Source: Australian Bureau of Statistics Consumer Price Index for the quarter of September with annual increases

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It was not the only meat that became more expensive and the national beef prices rose by 7.1 percent.

Angus Gidley-Baird, a senior animal protein analyst at financial services provider Rabobank, said the drought and strong overseas demand for Australian meat made consumers pay more.

& # 39; The strong export markets have just as much impact on domestic meat prices as the drought & # 39 ;, he told Daily Mail Australia on Wednesday.

& # 39; Dry conditions will force livestock farmers to sell cattle. & # 39;

Due to the severe drought, milk prices have also risen by 6.7 percent, while breakfast cereal prices have risen by 6.4 percent.

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Kellogg & # 39; s confirmed last week that it should increase the price of its popular grains, from Corn Flakes to Coco Pops, because the drought pushed up the price of wheat, corn oats and rice.

Lamb prices have risen at an annual rate of 14.3 percent - a level that is more than eight times as high as total inflation of 1.7 percent, the Australian Bureau of Statistics revealed.

Lamb prices have risen at an annual rate of 14.3 percent - a level that is more than eight times as high as total inflation of 1.7 percent, the Australian Bureau of Statistics revealed.

Lamb prices have risen at an annual rate of 14.3 percent – a level that is more than eight times as high as total inflation of 1.7 percent, the Australian Bureau of Statistics revealed.

& # 39; Due to the unprecedented drought, the cost of our core ingredients has risen significantly & # 39 ;, said a spokeswoman.

It wasn't just farm items that went up in price.

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The costs for alcohol and cigarettes increased by 6.6 percent while the foreign holidays increased by 6.1 percent, mainly due to a weaker Australian dollar.

Prices for chicken increased by 5.2 percent because pork became four percent more expensive.

More than 99 percent of New South Wales is in drought, and a third of the state suffers from an intense drought, the Department of Primary Industries said.

A 2017 University of Melbourne research report concluded that Australia suffered from the worst drought in 400 years, based on a reconstruction of 800 years of seasonal rainfall patterns.

Milk prices have risen by 6.7 percent, while breakfast cereal prices have risen by 6.4 percent (pictured is a bowl of Sanitarium Weet-Bix with milk, bananas and honey)

Milk prices have risen by 6.7 percent, while breakfast cereal prices have risen by 6.4 percent (pictured is a bowl of Sanitarium Weet-Bix with milk, bananas and honey)

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Milk prices have risen by 6.7 percent, while breakfast cereal prices have risen by 6.4 percent (pictured is a bowl of Sanitarium Weet-Bix with milk, bananas and honey)

Gidley-Baird said the end of the drought would initially mean that consumers would pay more for meat, as farmers competed with each other to buy more cattle.

& # 39; If it rains, we expect livestock prices to rise further & # 39 ;, he said.

A larger supply would ultimately lead to a fall in the prices that consumers paid at the butcher and the supermarket.

Australia's overall inflation rate rose 0.5 percent in the September quarter.

This translated into an annual increase of 1.7 percent that was still below the target of the Reserve Bank of Australia of two to three percent.

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