Consumer inflation ticks up in August

It rose to 4.8% from 4.7% in July.

Stats SA's Chief Director for Price Statistics Patrick Kelly says inflation for food and non-alcoholic beverages continued to cool for the 5th straight month.

"Annual inflation for food and NAB declined for a fifth straight month, softening from 9.9% in July to 8.0% in August. Except for fruit, all food and NAB categories recorded lower annual rates in August.

"The bread and cereals category registered an annual rate of 9.9%, lower than July’s reading of 13.1%. Several products were cheaper in August compared with July, including white bread, brown bread, maize meal and cereals. Rice put a damper on the party, however, with prices jumping by 3.4% month-on-month.

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"General meat inflation was softer too, with the annual rate declining to 3.6% from 5.1% in July."

The milk, eggs and cheese category eased from 14.4 per cent in July to 11.9 per cent.

Sugar, sweets and desserts registered the highest annual inflation rate among foods.

Kelly says the decline in food inflation was not enough to counteract a rise in fuel prices and municipal tariffs.

"Fuel prices increased by 2,2% between July and August, lifting the annual rate from -16,8% in July to -11,7%.

"Electricity tariffs increased by 15.3% in 2023, much higher than the 7.9% rise recorded in 2022. Households paid 9.6% more for water in 2023 after bearing the brunt of an 8.1% rise the year before. Property rates were up by 8.4% following a 4.3% increase in 2022.”