Annual CPI inflation was 2,2% in June, slightly up from 2,1% in May. The monthly increase was 0,5% – a reversal of the -0,6% recorded between April and May. The dominance of fuel price changes recorded in the previous few months continued in June.

Fuel prices increased by 7,5% from May to June, with petrol increasing by 9,9% and diesel by 1,9%. Despite the monthly increases, fuel is on average 20,9% cheaper than it was a year ago. For example, motorists paid R16,76 per litre for inland 95-octane petrol in June 2019. A year later, the price was R13,40.¹

Annual food and non-alcoholic beverages inflation was 4,2% in June, slightly lower than May’s 4,4%. The monthly rise was 0,3%, the same as the monthly increases recorded in March, April and May.

The following food categories reported annual rates higher than the 4,2% recorded for food and non-alcoholic beverages.

• Meat prices increased by 5,2% with a slowing trend compared with the 6,1% in April 2020.
• Dairy products registered a rate of 6,4%, down from May’s 7,1%.
• Prices for oils and fats increased by 8,7%. This is higher than the rates recorded in March (4,1%), April (6,5%) and May (8,3%).
• Fruit inflation was 10,2%, down from 16,9% in May.
• Sugar, sweets and dessert inflation has risen steadily since October 2019 when the rate was 2,9%. In June 2020, the rate was 7,3%.

Actual and imputed rentals, which account for 16,8% of the total weight of the CPI basket, were measured in June. This is the first reading for both categories since the beginning of lockdown. Both recorded a monthly increase of 0,1%. The annual rate for actual rentals was 1,8% and imputed rentals 1,6%.

For more information, download the latest Consumer Price Index (CPI) release here.

¹ Department of Energy. Comparing prices for petrol, diesel and illuminating paraffin (IP) (click here).

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