By Betha Madhomu
Cape Town – Food and non-alcoholic beverages (NAB) inflation decreased to 4.6% in June, marking the lowest rate in 45 months and a notable decline from the recent peak of 14.0% in March 2023, Statistics SA said on Wednesday.
This represents the lowest inflation rate since September 2020, when it stood at 3.8% during the height of the Covid-19 lockdowns.
The drop follows a period of stagnation at 4.7% in April and May.
Prices for savoury biscuits, hot cereals and instant noodles increased sharply between May and June.
Read more here: https://t.co/M2cy5A70we
#StatsSA #CPI #inflation pic.twitter.com/YGCFilHeN1— Stats SA (@StatsSA) July 24, 2024
“Several food & NAB categories registered lower annual rates in June, including sugar, sweets & desserts; vegetables; fruit; milk, eggs & cheese; and fish. Inflation quickened, however, for hot beverages; bread & cereals; oils & fats; cold beverages; and meat.
“The annual rate for hot beverages steamed to 16,5% in June from 14,2% in May. The monthly change was 2,2%, driven by sharp price increases for drinking chocolate (up 3,5%), black tea (up 2,7%), instant coffee (up 2,2%) and rooibos tea (up 1,6%),” said Statistics SA.
The bread and cereals category saw its first inflation increase in 14 months, rising to 5.2% from 3.9% in May. This increase aligns with rising maize product prices, which have seen significant price hikes, as indicated by recent producer price index (PPI) data.
Income generated by the food & beverages industry rose by 7,0% between April and May. Increases were recorded for catering (11,5%), restaurants & coffee shops (7,5%) and fast-food outlets (4,8%).
Read more here: https://t.co/v3KLLIa6f8#StatsSA pic.twitter.com/cBhEOrhjlK
— Stats SA (@StatsSA) July 23, 2024
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