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Household affordability index shows rising food costs struggle at poverty line

Household affordability index shows rising food costs struggle at poverty line

IOL News25-06-2025
However, year-on-year comparisons revealed a concerning rise of R190.36 (3,6%) from R5 252.77 in June 2024.
In a constantly shifting economic landscape, the June 2025 Household Affordability Index painted a stark picture of food prices across South Africa.
The index, which monitors the cost of 44 staple foods from numerous supermarkets and butcheries in key urban areas, illustrated the ongoing challenges faced by South African households as they grapple with fluctuating prices and inflation.
The average cost of the Household Food Basket now stands at R5 443,12, reflecting a slight month-on-month decrease of R23,46 (0,4%) from May 2025's cost of R5 466,59.
However, year-on-year comparisons revealed a concerning rise of R190,36 (3,6%) from R5 252,77 in June 2024.
This duality of slight relief in the short term but continued strain over the past year exemplifies the precarious situation many families find themselves in.
Delving deeper into the data, June saw a total of 44 foods monitored, with 19 items experiencing price increases and 25 seeing decreases.
Staples such as onions and beef experienced significant hikes of 9% and 5% respectively.
Meanwhile, essential items like potatoes (-11%), butternut (-5%), and bananas (-8%) offered some respite to consumers, showing marked reductions.
These dynamics in food pricing are critical to understanding how households are coping with the cost of living in varying regions.
Geographically, the affordability of food also varies.
In Johannesburg, the food basket increased by R38,38 (0,7%) month-on-month to R5 648,85, while in Pietermaritzburg, it rose by R96,45 (1,9%). On the flip side, cities like Durban and Cape Town experienced decreases of R115,65 (-2,1%) and R31,95 (-0,6%) respectively, which provides a glimmer of hope for consumers in those areas.
The situation is compounded by the realities of workers' wages.
As of June 2025, the National Minimum Wage stands at R28,79 per hour, with many workers supporting families of four on marginal wages.
The average cost of a basic nutritional food basket for a family of four is R3 809,26, a figure that starkly contrasts with disposable income post-transport and utility expenses.
The reality is harsh: families underspend on food by about 48,5%, often unable to afford sufficient nutrition.
The predicament for the most vulnerable groups is further highlighted by those dependent on the Child Support Grant, which stands at R560—30% below the food poverty line.
This gap reveals the striking reality of food security challenges faced by many South African households, especially among women and children.
The average monthly cost to feed a child a basic nutritious diet has seen a slight decrease this past month, yet the annual increase presents ongoing challenges for parents already struggling to make ends meet.
In addition to food prices, the rising cost of household domestic and personal hygiene products—up by R11,96 (1,2%) month-on-month—further strains family budgets.
As these essential products vie for space in already tight finances against food costs, households are forced to make increasingly difficult decisions regarding their expenditure.
The June 2025 Household Affordability Index encapsulates the complexities and challenges of living in South Africa today.
Mixed results in food prices imbue a sense of ambivalence, underlining a larger struggle as inflation impacts wages and essential expenses.
Whether monthly allowances can meet the basic needs of families remains a pressing concern for many South Africans as they navigate this financial landscape.
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