Article
An uptick in SA food price inflation in March 2020
Published: 29/04/2020
South Africa’s food price inflation accelerated to 4.4% y/y in March 2020, from 4.2% y/y in the previous month. This uptick was mainly underpinned by relative price rises of meat; milk, eggs and cheese; and fruit. Meanwhile, other products decelerated and some remained roughly unchanged. While there are still unknowns about the definite impact of the COVID-19 pandemic on agriculture and the food sector, we are still convinced that what will matter the most for the direction of food price inflation this year are developments in the grains, meat markets and fruit. These three food categories account for nearly two-thirds of South Africa’s food price inflation basket.
South Africa’s food price inflation accelerated to 4.4% y/y in March 2020, from 4.2% y/y in the previous month. This uptick was mainly underpinned by relative price rises of meat; milk, eggs and cheese; and fruit. Meanwhile, other products decelerated and some remained roughly unchanged. While there are still unknowns about the definite impact of the COVID-19 pandemic on agriculture and the food sector, we are still convinced that what will matter the most for the direction of food price inflation this year are developments in the grains, meat markets and fruit. These three food categories account for nearly two-thirds of South Africa’s food price inflation basket.