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Good news - maize meal and veggie prices set to drop

12 October 2017 1:24 PM
Tags:
Stats SA
Food
Food inflation
Food inflation in South Africa is expected to drop from 7.3 % to 5.2% by next year, but meat will still be pricey.

Stats SA has compared the consumer price index scores for January and August and found that vegetables, oils cereal and other food products have dropped but are we seeing this on the shop shelves?

Ray White spoke to Wandile Sihlobo, Agricultural Economist at Agricultural Business Chamber.

Sihlobo says food inflation in South Africa is expected to be at 5.2% percent by next year.

This year, we expect it to average around about 7.3 % or so, but next year it will be around 5.2% so it will continue on a downward trend.

Wandile Sihlobo, Agricultural Economist at Agricutural Business Chamber

The retail prices are pretty much down. If you buy a super maize meal of about 1kg or so, it is down by about 10%.

Wandile Sihlobo, Agricultural Economist at Agricutural Business Chamber

He says however meat may increase at a faster pace.

The basket is not really even, so you do see a decline particularly in vegetables and starches... the protein like meat are really increasing at a faster pace but certainly product by product we are seeing a bit of a deceleration.

Wandile Sihlobo, Agricultural Economist at Agricutural Business Chamber

Click on the link below to listen to the full audio...


12 October 2017 1:24 PM
Tags:
Stats SA
Food
Food inflation

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