South Africans are paying nearly 14% more for basic food items than they did a year ago.

This is according to the latest Household Affordability Index report released by the Pietermaritzburg Economic Justice and Dignity Group (PMBEJD) on Thursday.

The report states that the average cost of a household food basket increased by R586.39 (13.9%), from R4,219.48 in September 2021 to R4,805.86 in September 2022.

The index tracks food price data from 44 supermarkets and 30 butcheries in Johannesburg, Durban, Cape Town, Pietermaritzburg and Springbok in the Northern Cape.

“For the past three months, fuel prices and global food commodity prices have come down, yet we do not see a corresponding drop in food prices at the retail level,” said Mervyn Abrahams of PMBEJD. 

“Due to a lack of transparency in the local food value chains, we are unable to identify where in the chain inflation remains stubbornly high. The question remains whether the industry is passing on the lower costs to the consumer or not.

“The Reserve Bank has once again increased the repo rate, this time by 75 basis points, arguing that it would bring down food inflation.

“If indeed retailers are not passing on lower costs, than raising interest rates will simply bring more pain to the South African consumer — make us all poorer, potentially increase unemployment and further contract the economy — without addressing the problem of lowering food price inflation.

“It is our submission that instead of raising interest rates, an assessment be made to identify where in the value chains food inflation remains stubborn, and deal with this through an appropriate intervention, if and where such high inflation is not justified.”

According to the index, September saw higher prices (5% or more) on white bread, onions, boerewors, tomatoes, butternut, oranges and stock cubes.

Foods which increased by 3% include brown bread, potatoes, milk and curry powder.  Frozen chicken portions and beef increased by 2%. 

Increases of food baskets per city:

• The Johannesburg basket increased by R14 (0.3%) month-on-month and increased by R659.97 (15.6%) year-on-year to R4,902.51 in September. 
• The Durban basket increased by R6.55 (0.1%) month-on-month and increased by R543.37 (12.7%) year-on-year to R4,814.32 in September. 
• The Cape Town basket increased by R48.33 (1.0%) month-on-month and increased by R566.77 (13.8%) year-on-year to R4,672.95 in September.
• The Springbok basket increased by R187.96 (3.8%) month-on-month and increased by R525.13 (11.4%) year-on-year to R5,120.27 in September.
• The Pietermaritzburg basket decreased by R15.28 (-0.3%) month-on-month and increased by R576.75 (14.1%) year-on-year to R4,655.05 in September. 

Abrahams said the average cost to feed a child a basic nutritious diet in September was R828.64. 

“Over the past month, the average cost to feed a child a basic nutritious diet increased by R8.37 or 1.0%.  Year-on-year the average cost to feed a child a basic nutritious diet increased by R91.76 or 12.5% .”

Year-on-year the household domestic and personal hygiene products index increased by R165.54 (22.1%), bringing the total average cost of basic household domestic and personal hygiene products to R913.11 in September. 

“The cost of basic hygiene products is high. These products compete in the household purse with food. These products are essential for good health and hygiene.”

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