Food basket dips in August, but South African households remain under pressure

South African households endured a slight dip in food costs in August, yet many continue grappling with the challenge of adequately nourishing their families. The Pietermaritzburg Economic Justice & Dignity Group's Household Affordability Index revealed the national average food basket cost R5 479.80 in August, slightly lower than the R5 530.52 recorded in July.

However, the cost remained 1.8% higher than in August 2025, when it stood at R5 380.62. While certain regions saw cheaper food prices, such as Durban (R5 360.38) and Pietermaritzburg (R5 261.04), the overall household struggle persisted.

The increase in food prices outpaced annual inflation, which rose to 4.4% in August, up from 4.3% in July. The acceleration was primarily observed in categories like cereal products, fish, dairy products, fruit, vegetables, and beverages. Meanwhile, the South African Reserve Bank (SARB) raised the repurchase rate (repo rate) by 25 basis points to 7.25%, making repayments on home loans and other debts more expensive.

Mervyn Abrahams, the programme co-ordinator of PMBEJD, highlighted that households have been trapped in an affordability crisis for over a decade, with incomes failing to keep pace with rising living costs. He noted that although the food basket cost decreased by about R50 in August, its expense still exceeded the national minimum wage of R4 836.80.

Abrahams emphasized that higher interest rates placed an additional burden on households, as they faced diminishing disposable income after servicing debt and prioritizing essential expenses like transport, electricity, and debt repayments.

Women in these households often prioritized transport, electricity, and debt repayments over food, leaving limited funds for sustenance. Maliga Naidoo, a pensioner, expressed her struggle to stretch her R2 400 monthly pension grant to cover food, electricity, transport, and other necessities. She relied on her children for occasional assistance but acknowledged that both she and her children faced hardships.

Similarly, Shantal Munsamy, a part-time cashier, struggled to provide for her five-year-old son on her limited income, with rent and other expenses often forcing her to choose between rent and food. Munsamy advocated for an increase in the child support grant to alleviate the financial burden on families.