Inflation hits new 13-year high as food prices rocket | Fin24

Annual shopper inflation reached its highest stage in 13 years, rising to 7.8% in July from 7.4% in June. The rise was consistent with economists’ forecasts.

The patron worth index (CPI) rose by 1.5% between June and July this yr. Based on Statistics SA, this was solely the fourth time since 2008 that the month-to-month improve was 1.5% or larger.

Statistics SA

Annual meals inflation rose by 9.7% in July, from 8.6% in June. Bread and cereals costs have been 13.7% larger than a yr in the past. Between June and July, there have been massive month-to-month worth hikes reported in a variety of merchandise, together with, maize meal (4.2%), cake flour (6.3%), macaroni (5.0%) and white bread (2.8%). However rice costs fell by greater than 3%,

Oils and fat noticed the largest worth hikes – up 36% in July from a yr in the past.

Statistics SA

In July, gasoline costs have been hiked by greater than 10%. This hit transport costs particularly, with taxi fares up 9% in a single month. Taxi fares have been 16% larger than a yr in the past. Petrol is 56% dearer than it was a yr in the past.

The most recent shopper inflation charge displays the annual improve in municipality service tariffs, that are adjusted in July yearly.

Electrical energy tariffs elevated on common by 7.5% – which is decrease than final yr’s rise of 13.8% however larger than the 2020 improve of 6.3%, Statistics SA experiences.

However companies inflation (+4.2%) and sturdy items costs (+4.8%) remained a lot cooler than non-durable items inflation – principally pushed by meals –  which is now at 14.4%.

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