by The PACSA tri-monthly food barometer report showed how food price increased by 14.4% for a basic food basket. And, more worrying, revealed that many South Africans are actually starving on a daily basis.
The Costs and Annual Increases on a Basket of Food
So why are food prices escalating at such a rapid rate?
Weather, of course, weather plays a role, but the Competition Commission of South Africa seeks a deeper explanation and has launched a market inquiry into the matter.
Did you know? A minimum nutritional food basket costs just under R2500 for a family of four, yet some low income families have only about R1000 to spend on food per month?
The inquiry is aimed at the grocery retail sector with the six objectives to discover:
- The impact of the expansion, diversification and consolidation of national supermarket chains
- The impact of long-term exclusive leases on competition in the sector
- The dynamics of competition between local and foreign retailers
- The impact of regulations on small and independent retailers
- The impact of buyer groups on small retailers
- The impact of certain identified value chains on small retailers.
The results may prove interesting where a better competitive landscape will drive down food prices.
Can we do Anything?
At the moment, the best thing to do would be to try to control your costs as much as possible by shopping around, and grow your own. You only need a very small patch of land in order to start a vegetable garden.
Take a look at The Guru’s ideas for becoming self-sufficient and starting your own vegetable garden.
