Price shock for South Africa as food inflation hits highest point in 14 years

STAFF WRITER

HEADLINE consumer price inflation eased in January 2023, but food prices shot up significantly – with all categories, from staples to fast food favourites, costing more than a year ago.

The data, published by Stats SA, showed that annual consumer inflation slowed for the third consecutive month, decreasing to 6.9% in January from 7.2% in December.

A notable fall in the price of fuel was the biggest factor behind the dip in the headline rate, the group said. However, food price inflation was recorded at 13.4%, the highest reading since April 2009 when the rate was 13.6%.

The consumer price index (CPI) declined by 0.1% between December and January.

Fuel prices continue to ease

The fuel price index declined by 10.5% between December and January, dragging its annual rate down to 13.1% from 22.8% in December.

A litre of 95-octane petrol (inland) cost R21.40 in January, down from