Consumers paid on average R31.43 more for a household food basket in September 2023 compared to August 2023.
According to the Household Affordability Index by the Pietermaritzburg Economic Justice & Dignity Group (PMBEJD), for September 2023 the average cost of a food basket was R5,155.77 while the average cost of a food basket for August 2023 was R5,124,34.
Between September 2022 and September 2023 the average cost of household food basket increased by R349.91. For September 2022 the average cost for a household food basket was R4,805.86 while this month the average cost of a household food basket R5,155.77.
Foods that increased in September 2023
Foods which increased in price in September 2023, by 5% or more, include:
– rice (8%)
– butternut (17%)
– green pepper(18%)
– Cremora (5%)
– bananas (7%)
– oranges (12%)
– peanut butter (5%).
For September 2023, the cost of cake flour, samp, salt, stock cubes, tea, chicken livers, apples and polony increased by 2%.
The cost of sugar beans increased by 3% while the cost of soup and tripe increased by 4%.
Inflation on food baskets per area
In September 2023, food baskets increased in all areas except Durban.
The cost of a Johannesburg basket increased by R35.11 month-on-month and by R348.39 year-on-year. The cost of a Johannesburg basket for September 2023 is R5,250.89.
The cost of a Durban basket decreased by R62.25 month-on-month and increased by R192.83 year-on-year. The cost of a Durban basket for September 2023 is R5,00716.
The cost of a Cape Town basket increased by R110.39 month-on-month and by R499.46 year-on-year. The cost of a Cape Town basket for September 2023 is R5,172.42
The cost of a Springbok basket increased by R69.01 month-on-month and by R328,77 year-on-year. The cost of a Springbok basket for September 2023 is R5,449.04.
The cost of a Pietermaritzburg basket decreased by R12.80 month-on-month and increased by R287.89 year-on-year. The cost of a Pietermaritzburg basket for September 2023 is R4,942.94 .
In Mtubatuba, the average cost of a food basket increased by R105.65 month-on-month and by R247.53 year-on-year. The cost for a Mtubatuba food basket is R5,329.44 for September 2023.
VAT
According to the PMBEJD, National Treasury’s idea to raise the National Minimum wage to fund the continuation of the Social Relief Distress R350 grant is not well considered.
The organisation said that the revenue gained from increasing VAT will require further revenue down the line to deal with the suffering caused by raising VAT.
Inflation on food prices is so unpredictable, and with the cost of being so high increasing the VAT-rate on food is likely to have negative consequences for most South African families.
PMBEJD said: “Increasing the VAT-rate to augment government revenues is likely to cost more money in health care, more money in education, more money to quell social dissent, and hurt future economic productivity and growth.”
IOL Business