In South Africa, food basket exceeds SRD payment by 18.86 rand — Daily Maverick
In South Africa, the cost of a basket of 14 basic food items stood at 388.86 rand in September, exceeding the 370-rand SRD social grant by 18.86 rand. At the same time, compared with August, the price of the basket fell by 17 rand, from 405.86 rand, Daily Maverick reports.
Decline in sugar prices
The cost of the basket was affected most by a 20-rand drop in the price of white sugar. At the end of August, two kilograms of Huletts or Selati sugar cost about 69.99 rand, while at the end of September a two-kilogram pack of Sugarfields was available for 49.99 rand.
FNB Commercial senior agricultural economist Paul Makube explained the difference by the package size, the cost model of a budget brand, and promotional expenses. According to him, smaller one-kilogram packs require more packaging, handling, and shelf space per kilogram. Sugarfields is sold in a large package, has simple design and minimal advertising costs, while Huletts and Selati bear the costs of national advertising, sales teams, and in-store placement.
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Calls to review social grants
Despite the lower price of the basket, it still cannot be fully purchased with the SRD grant. According to the publication, this assistance is also at least 498 rand below the national poverty lines.
The South African government is developing the National Food and Nutrition Security Plan for 2025–2033 and has been holding consultations at provincial and district levels since September. The Alliance Against Hunger called for the plan to provide for a review and increase of social grants, including SRD, as well as to focus on food affordability, land reform, and support for maternal and child nutrition.
The Pietermaritzburg Economic Justice and Dignity Group's Household Affordability Index put the average cost of a food basket for a family of seven at 5,488.06 rand in September. A basic nutritious diet for such a family would cost 6,655.29 rand, while food for one child would cost an average of 970.27 rand, approximately 40% more than the 580-rand child grant.
