The November 2023 Household Affordability Index, which tracks food price data from 47 supermarkets and 32 butcheries, showed that in this month, November, the average cost of the Household Food Basket is R5 314,63.
Month-on-month, the average cost of the Household Food Basket increased by R17.05 (0,3%), from R5 297.58 in October to R5 314.63 in November.
Year-on-year, the average cost of the Household Food Basket increased by R478.67 (9.9%), from R4 835,96 in November last to R5 314.63 in November 2023.
Mervyn Abrahams, the Programme Coordinator at the Pietermaritzburg Economic Justice & Dignity Group (PMBEJD) said the food items which increased in price in November by 5% or more, including eggs (18% -60 eggs [2 X 30 egg tray] increased on average by R29.73, to R191.83); chicken livers (5%), tomatoes (20%), apples (10%), oranges (31%).
“Foods which increased in price in November 2023, by 2% or more, include: sugar beans (4%), frozen chicken portions (4%), stock cubes (4%), amasi [maas], 2%, chicken feet (3%), beef (2%), cabbage (2%), tinned pilchards (3%), and bananas (2%),” Abraham's said.
“This month we saw big price drops in onions (down -24% or R32.82, with a 10kg bag costing R106,53), and potatoes (down -11% or R15,29, with a 10kg bag costing R130.02).”
PMBEJD said the price of rice appeared to be stabilising on a high base.
The group said it was starting to see some upward movement in frozen chicken portions in Durban, Cape Town and Pietermaritzburg.
Nkhensani Mashimbyi, an agricultural economist at Absa AgriBusiness, told Business Report that their data suggested that there were rapid price increases in broiler meat early in November.
“This seems to have eased due to some demand resistance from consumers. Poultry market stakeholders also noted the availability of frozen chicken stocks that can be used to supplement the lower supply that we are currently seeing as a result of Bird Flu outbreaks earlier in the year,” Mashimbyi said.
The agricultural economist said some suppliers had started importing fertilised eggs to bridge the supply gap in poultry product markets. “This will likely start to bear fruit in terms of mitigating higher prices during the first half of 2024.”
Absa Agribusiness said the poultry sector had faced numerous challenges over the last couple of years, such as load shedding, disease outbreaks and issues with poor service delivery at a local government level.
The PMBEJD said that in November, the food baskets increased in Durban, Springbok and Pietermaritzburg while decreasing in Johannesburg, Cape Town, and Mtubatuba.
The Johannesburg basket decreased by R9860 (-1.8%) month-on-month, and increased by R500.62 (10.2%) year-on-year, to R5 410.49 in November.
The Durban basket increased by R92.08 (1.8%) month-on-month, and increased by R440.15 (9.1%) year-on-year, to R5 269.70 in November 2023.
The Cape Town basket decreased by R14.27 (-0.3%) month-on-month, and increased by R546.06 (11.6%) year-on-year, to R5 248.39 in November 2023.
Abrahams said on their calculations, using Pietermaritzburg-based figures for electricity and transport, and the average figure for a minimum nutritional basket of food for a family of four, put electricity, and transport, taking up 59.6% of a worker’s wage (R2 666.92/R4 473,92).
“Food is bought after monies for transport and electricity have been paid for or set aside (leaving only R1 807.00 for food and everything else), and so in November 2023, PMBEJD calculates that workers’ families will underspend on food by a minimum of 51.3% (having R1 807.00 left after transport and electricity, and with food costing R3 713.99).”
BUSINESS REPORT