As festivities have begun, preparing meals can be costly and tedious. However, experts assured meat lovers that they will not need to dig deep into their pockets to have their favourite meat on the braai or Christmas table.
First National Bank public relations consultant Dimpho Masango said consumers can breathe a sigh of relief as meat inflation entered a deflationary territory for the first time since May 2019. This is after clocking a negative growth of -0.1% year-on-year in November 2024 from 0.5% in October, according to Statistics South Africa’s latest update.
Masango said this is good news for consumers as they ramp up purchases for the December festive braais following a further 25-basis point interest rate cut in November. Although meat prices follow a normal seasonal upswing during this period, the current prices are still way below previous years.
Less expensive meat this holiday
“The slight improvement in consumers’ financial welfare following the recent interest rate easing and the liquidity injection in the economy due to the two-pot retirement withdrawals will boost meat demand during the braai season.
“Overall food inflation fell to an almost 14-year low of 1.6% year-on-year in November 2024 from 2.8% in October with two of the nine categories in deflation and four positing lower rates which included bread and cereals, milk, eggs and cheese sugar, sweets and deserts,” Masango said.
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According to Masango, the food inflation sub-categories of milk, eggs, cheese, oils, fats and fruit accelerated in November while fish was unchanged from the October level.
Masango revealed that a drill-down into the meat consumer price index (CPI) data shows modest decreases across the red meat complex with beef rump steak decreasing by -1.5% (-R2.44/kg) y/y, beef chuck by -0.6% (-R0.68/kg) y/y, beef T-bone by -1.8% ( R2.31/kg) y/y.
Meanwhile, pork chops decreased by -3.5% (-R3.21/kg) y/y, and pork ribs by -4.1% (-R4.11/kg) y/y. Chicken was, however, an exception with the individually quick frozen (IQF) 2 kg chicken portions increasing by 2.8% (+R2.60/kg) y/y at R95.45/kg.
“We expect a further reprieve for meat lovers early in the new year as the lower seasonal demand post the December holidays place downward pressure on meat prices,” Masango said.
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