Aim. To determine the prevalence of iron deficiency in healthy young children and whether there is an association between food habits and dietary iron intake and iron status. Methods. 53 children aged 9-24 months were recruited into the study over a 12 month period from a general practice and Plunket child health clinics. Children with intercurrent infections were excluded. Iron status was determined from a full blood count and iron studies. Nutrient intake was assessed by a 24 hour food recall and dietary history questionnaire with nutrient analysis using the New Zealand Food Composition database from the New Zealand Institute of Crop and Food Research Ltd. Results. 10 children (20%) were anaemic (haemoglobin <110g/L) and 7 children were iron deficient (serum ferritin <10μg/L). The daily mean iron intake was 5.1± 3.1mg, which was 0.66 RDI for 9-12 months, and 0.80 for 12-24 months. There was no statistically significant relationship between iron status and food iron intake. Children in the top quintile for iron intake (mean 17.5 mg/day) consumed iron mainly from iron-fortified formula and baby food whereas the main source of iron in the lowest quintile (mean intake 2.0mg/day) was from a diverse range of foods including vegetables, bread and bakery goods, dairy products, breakfast cereals and fruit. In this group only one child consumed formula and three children consumed baby foods. Conclusion. A high prevalence of anaemia and of iron deficiency was found amongst the otherwise healthy children in the sample, without their being a relationship between dietary iron intake and either haemoglobin or serum iron indices, except for ferritin.