Household food basket: lower prices but difficult months on low income

The average price of the monthly food basket for low-income consumers increased slightly and even looks good compared to a year ago, but these consumers can still not afford nutritious food.

According to the Pietermaritzburg Economic Justice and Dignity Group that compiles the Household Affordability Index, the average cost of the household food basket was R5 361.04 in November, R12,39 (0.2%) more than in October, and R46.40 (0.9%) more than in November 2023.

The basket contains 44 basic foods from 47 supermarkets and 32 butcheries in Johannesburg, Durban, Cape Town, Pietermaritzburg, Mtubatuba in Northern KwaZulu-Natal, and Springbok in the Northern Cape.

The prices are compiled by women who live in these low-income communities from the shops where they shop for their own families.

Mervyn Abrahams, programme coordinator at the group, says the data indicates that while the price of the household food basket is subdued, due mostly to lower vegetable prices, the basket price on average continues to increase, albeit slowly.

“At a total average cost of R5 361.04, the household food basket is still unaffordable for many, and with the additional volumes required to be bought and the competition with Christmas clothes and the January school opening, this period will be a hard one for most South African families.

“At this time, families pray for lower prices at the tills and shop around feverishly for cheaper prices, sales, and bargains.”

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Some food prices in food basket increased while other decreased

In November, the prices of 27 foods in the household food basket increased, while the prices of 17 foods decreased. Foods in the basket that increased in price in November by 5% or more include stock cubes (6%), chicken feet (6%), chicken livers (5%), bananas (10%), and oranges (13%).

Foods in the basket that increased in price in November by 2% or more include maize meal (3%), white sugar (2%), onions (3%), frozen chicken portions (2%), tea (2%), full cream milk (2%), beef liver (2%), polony (3%) and brown bread (3%).

Foods in the basket that cost less by 5% or more include potatoes (-19%), rice (-5%), carrots (-5%), and butternuts (-5%), while cake flour (-2%), eggs (-2%), wors (-3%), spinach (-3%), and apricot jam (-3%) cost less as well.

In November, the household food basket cost more in Johannesburg (R69.57 more), Durban (R48.97 more), Pietermaritzburg (R1.62 more), and Mtubatuba (R35.09 more), while it cost less in Cape Town (R29.64 less) and Springbok (R148.63 less).

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Minimum wage not enough to feed low-income families with food basket

Workers who earn the National Minimum Wage of R27.58 an hour and R220.64 for an 8-hour day would have earned R4 633.44 in November for 21 working days. Dispersed in a worker’s family of four people, this would mean R1 158.36 per person, far below the upper-bound poverty line of R1 634 per person per month.

In November, the average cost of a basic nutritional food basket for a family of four was R3 791.26. Using Pietermaritzburg-based figures for electricity and transport and the average figure for a minimum nutritional basket of food for a family of four, the group calculates that electricity and transport took up 58.8% of a worker’s wage (R2 722.97 of R4 633.44).

The low-income consumers only buy food after paying for transport and electricity, leaving R1 910.47 for food and everything else. Therefore, the group calculates that workers’ families underspent on food by a minimum of 49,6%.

Abrahams says in this scenario there is no possibility of a worker being able to afford enough nutritious food for her family. “If the entire R1 910.47 went to buy food, it would provide R477.62 per person per month for a family of four. This is below the food poverty line of R796.”

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Child grant not nearly enough for a child to eat nutritious food

In November, the average cost to feed a child a basic nutritious diet was R966.46 and over the past month this increased by R10,06 while the Child Support Grant was R530, 33% below the Food Poverty Line of R796 and 45% below the average cost to feed a child a basic nutritious diet.

Abrahams says the months of November and December are difficult ones for low-income families. “December is an important cultural/religious moment in the lives of most South Africans. It is a time to be together as families and it puts enormous amounts of financial pressure on adults to have something to contribute.

“Workers leaving their place of employment for the holidays must have enough to pay the sometimes excessive transport fees to get home, and arriving home must bring packets of groceries and new Christmas clothes for children.”

He emphasises that most families run short of money just in an average month, and the low wages earned provide no room for savings. “If there are savings, these are small, and savings are only extracted from sacrifices during the year, borne mostly by women and affecting their health. Loans are also not easy to come by.

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The pain of December and January

“December and January are extraordinary months, where so much more money is needed. Children are home for close to a month and a half, and more food is needed in the home. January with all the pressure of setting up children for the new school year also lays heavily on parents’ shoulders.

“Managing to provide dignified and happy restful family time, with the additional food and clothes required for this period, plus making sure that enough money is set aside for January’s school requirements, is hard, sometimes almost impossible, to achieve.”