Inflation increases slightly to 2.8% in April

CAPE TOWN - Consumer inflation for April has increased to 2.8%, slightly up from the 2.7% seen in March.

Consumer Price Index (CPI) measures the change in prices for a range of consumer products in a basket of goods.

Statistics SA released the latest inflation reading on Wednesday.

It comes on the back of a mixed outlook, with economists divided on what to expect.

READ: Inflation eases for first time in five months

Inflation for food and non-alcoholic beverages rose to 4%, the highest annual rate since September 2024.

"The rise in food & NAB (inflation for food & non-alcoholic beverages) inflation was mainly due to higher meat prices, particularly for beef products such as stewing beef, mince and steak. Meat prices increased by 2,3% on average between March and April, the highest monthly rise since January 2023 when it rose by 2,5%," said Chief Director for Price Statistics at Stats SA, Patrick Kelly.

HOT BEVERAGES

The month of April saw a sharp increase in annual inflation for hot beverages, with a rise to 15.2%.
 
This is the highest number since September last year at 15.8%.

Kelly said instant coffee continues to record the highest increase rate. 
 
"To give this some context, we can see that coffee prices are elevated across the globe. The World Bank commodity index for robusta type coffee beans increased by 28,1% over the same period."

He added that the price index for oils and fats also increased by 1.4%.
 
"This took the annual rate to 4.8%. Prices for cooking oil rose by 6,1% and for brick margarine by 5,5% in the 12 months to April."