South Africa: Food prices in 2021

Published 2021년 7월 7일

Tridge summary

Over the past 10 months, South Africa has seen a significant increase in food prices, with the cost of a standard basket of 44 essential food items rising by 7.1%, or R271.90, despite low overall inflation. This increase has affected both urban and remote areas, though to varying degrees. Remote areas like Springbok have experienced the largest price hikes, with some food items seeing as much as an 11.5% increase. The Pietermaritzburg Economic Justice and Dignity group (PMBEJD) highlights concerns about the accuracy of South Africa's consumer price inflation (CPI) calculations, which fail to consider the rising costs of essential food items that make up a significant portion of household expenditures. The Department of Trade Industry and Competition (DTIC) has warned consumers to stay alert for price gouging during the lockdown, as some retailers have been caught selling goods at inflated prices, exacerbating the financial strain on already struggling consumers.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Food prices in South Africa have increased significantly over the last 10 months, data from the Pietermaritzburg Economic Justice and Dignity group (PMBEJD) shows – with some areas paying more than others. The civil society initiative found that its household food basket saw a marginal drop in price month-on-month, but remains at much higher levels than September 2020, when the basket was first compiled. The basket was tracked at R8.88 (0.2%) cheaper than a month ago (May) at R4,128.23. However, over the past 10 months, the cost of the average basket price increased by 7.1% or R271.90. Inflation over the same period was much lower, tracking between 3% and 5%. The basket comprises 44 core food items most frequently purchased by lower-income households who make up the majority of households in the country. Since September 2020, the PMBEJD tracks food prices in three major metropolitan areas – Johannesburg, Cape Town and Durban – as well as two more remote or secondary metro regions ...

Source: Businesstech