The real cost of high food prices in South Africa
If there is one thing that South Africans from all walks of life agree on, it is that the cost of food is the number one concern for themselves and their families right now.
High food prices and the cost of living crisis affect households across all income brackets, although the impact on the poor is most severe.
This is according to the Cost-of-Living Report (COL) conducted in late 2025 by the Competition Commission of South Africa.
The Report revealed significant affordability pressures on South African households, especially low-income families.
It highlighted price increases in electricity (68%), water (50%), education fees (37-42%), and GP services, while noting “rocket and feather” pricing in transport and some food items, with plans to investigate markets for anti-competitive behaviour.
“The scenario is grim for the man on the street right now, and has been for far too long,” said Neil Roets, CEO of Debt Rescue.
“With the dawning of each new year things get worse for hardworking citizens who pay their taxes and fund the coffers of government. The average household income cannot keep up with the escalating cost of living – and that is an understatement.”
“People have been contending with a constant onslaught of escalating fuel prices, skyrocketing food prices, unnecessarily high interest rates and constant electricity tariff hikes for years now and, despite calls from all sectors of society – including our biggest grocery retailers – there has been no turnaround,” said Roets.
“On the contrary, prices of staple foods keep escalating, and it bears noting that, over the five years from 2020 to 2025, electricity prices increased by 68% and water prices went up by 50%.”
“This is a much higher rate than general inflation, which increased by 28%,” said Roets.
Neil Roets, CEO of Debt Rescue.
An official statement from the Presidency in October 2025 noted that around 15 to 16 million people have inadequate or severely inadequate access to food, yet this did not raise the alarm bells loudly enough to bring any urgent call to action.
Hunger and Malnutrition
“By far the most distressing issue that high food prices exacerbate is hunger and malnutrition, especially among children,” said Roets.
“Yet escalating food costs have become the ‘new normal’, placing three decent meals a day beyond the reach of two-thirds of the nation’s citizens.”
A primary challenge is the ‘triple burden’ of malnutrition, where undernutrition, micronutrient deficiencies, and obesity coexist, often affecting food-insecure households.
Though research to ascertain the state of hunger in the country raises awareness, like that commissioned by the Shoprite Group and funded by the FoodForward SA Foundation, these projects have made no discernible difference to the lives of people living with hunger.
Roets points out that the only real relief would be to ensure that households see proper price drops in foods that nurture their families – and especially children.
Mental anguish
A frightening statistic is that the average South African worker spends more than 57% of their monthly earnings on transport and electricity, leaving little room for food and other essential expenses.
“The reality is that when essentials and paying off debt absorb such a high ratio of a household’s income, disruptions such as food or electricity price increases can trigger significant financial strain, which in turn exacerbates the emotional burden that weighs consumers down,” Roets said.
“This is fast becoming a national crisis that can turn into mental anguish.”
No short-term relief
While there is some good news on the economic front – such as a stronger rand and good agricultural conditions expected to help stabilise food inflation in 2026 – prices are not likely to decrease significantly.
This means families will continue to feel the pressure. Behind this is the issue of minimum wages, which often lag behind the actual cost of a nutritious diet, creating a persistent deficit that forces millions of households to make impossible choices.
“This highlights the need for continued advocacy for fair wage policies and enhanced support systems, with the goal of ensuring that no family is forced to choose between basic necessities and nutrition going into 2026,” said Roets.
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