Coffee drinkers in SA face relentless inflation
Coffee recorded the highest inflation rate among all food and non-alcoholic beverage categories.
Although the annual rate slightly decreased from 17.6% in July to 17.5% in August, it remains the highest in the group. Instant coffee inflation hit a 19-month peak at 22.3%. In August 2024, the average price for 250 grams of instant coffee reached R67.37, compared to R52.71 in August 2023.
Food Inflation Rises
Annual food and non-alcoholic beverage (NAB) inflation rose to 4.7% in August, up from 4.5% in July, following an 8-month downward trend.
This rise affected most food product categories, including bread and cereals, meat, fish, dairy products, oils, fats, and vegetables. In contrast, lower inflation rates were recorded for fruit, sugar, sweets, and desserts, as well as both hot and cold beverages.
Bread and Cereals Inflation Accelerates
Annual inflation for bread and cereals rose for the third consecutive month. Rice saw the largest annual price increase, rising by 17.3%, followed by pizza and pies, up 10.9%, and hot breakfast cereals, which increased by 7.9%. On a monthly basis, bread and cereals inflation grew by 0.4%, with notable price hikes in grain-based products like bread flour (up 2.1%), brown bread (up 1.3%), and white bread (up 1.2%).
Mixed Trends in Meat Prices
While the overall meat index increased annually, prices for some products dipped by 0.4% between July and August. Chicken and beef products showed some relief, with fresh whole chicken down 2.2%, sausage prices dropping by 1.7%, and chicken giblets and beef mince both falling by 1.3%. However, other meat products like bacon, beef extract, corned beef, fresh chicken portions, ham, and biltong saw price increases.
This data highlights the importance of monitoring food inflation trends, as price fluctuations impact consumers’ ability to afford everyday essentials.