We are delighted when the Global Dairy Auction hits a high …but end up paying for it when we go to the supermarket. The cost of your favourite 1kg ‘bigga’ block of cheese is skyrocketing and at its worst reaching $20! Strong global milk prices and a lack of supermarket industry competition seem to be at fault according to Consumer NZ chief executive Jon Duffy who says the record milk pay-out this year means prices are high and with just two supermarket chains have been for a while . The lowest for a 1kg block of cheese online was $8.99 for Pam’s at Pak’n Save, while the highest $15.49 for Mainland at Foodstuffs New World. Countdown, prices range between $10.60 for the home brand to $12.50 for named brands. Although one “top end” brand hit $20 recently. Supermarkets blame the impact of Covid-19 a rise in commodity prices, global demand, fuel and power prices a shipping crisis and a skills shortage. Fonterra collects around 78 per cent of the country’s raw milk production and says it has to buy milk at the same price the world pays at the Global Dairy Trade auction – run by Fonterra. Cheese had increased 39 per cent over the past year.