Your Christmas dinner won’t cost much more than it did in 2021, but most of us have less money than we did last Christmas. High inflation and the high interest rates that have followed have taken a big bite out of the budgets of middle-income consumers.
The rising cost of living has affected the financial well-being of most South African consumers, with the majority of consumers feeling that their financial situation has stayed the same or gotten worse over the past year, according to the Deloitte’s report on the state of the South African consumer. . .
The report indicates that most consumers lack confidence in their ability to absorb future shocks and are more concerned about the level of their savings, while their spending intentions have also shifted with the essentials they care about most of his portfolio.
The most expensive food
With spending on essentials such as food and housing taking up a larger share of the household’s wallet, the discretionary spending side, such as splashing out on food for Christmas dinner, is under pressure.
Low- and middle-income groups now tend to spend more of their income on food, housing and education, while high-income groups show an intention to spend more on leisure and entertainment.
According to the report, shoppers are trying to save when buying food to mitigate the pressure of rising prices, and grocery shoppers are more likely to choose meals to make the most of what they have at home (44%) and spend more time planning their purchases. (42%). In addition, about a third are switching to cheaper proteins and buying store brands.
However, the report also indicates that despite financial pressures, South African consumers are still looking for opportunities to enjoy a little joy.
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Mid-income Christmas dinner
Considering the prices being charged at Checkers for the Christmas fare, it seems that consumers are not much worse off. A festive fodder and party gammon is priced at Rs 199.99 per kg, the same as last year, while a rolled pork belly is priced at Rs 119.99 per kg, up slightly from Rs 99.99 per kg last year. 2021
If you don’t like red meat for Christmas dinner or are saving a bit of cash, you can buy Simple Truth free range chicken at R59.99 per kg, which is also the same as last year.
Adding the side dishes, you’re looking at paying R34.99 per kg for peas, down from R37.99 last year, while mixed greens are also slightly cheaper this year at R28.99 per kg compared to R34.99 previously. course Add rice, which is also cheaper at Rs 59.99 per kg compared to Rs 67.99 last year.
To satisfy every sweet tooth at the Christmas table, you can get a Forage and Feast Frosted Christmas Cake for R149.99 for 800g, the same as last year, or the Forage and Feast Sticky Toffee Pudding for R99 .99 R for 500 g, also the same price as last year.
Your snack budget won’t change too much either, with Bakers Choice Assorted Biscuits selling for R99.99 a kg, down from the R109.99 they charged last year. You can buy three packs of Lays chips for R48, also a bit less than last year when you could buy two packs for R35.
If you want to treat your guests to a bottle of bubbly, you can buy a 750ml bottle of Odd Bins Cap Classique for R$99.99, also the same price as a year ago. Two bottles of Coca-Cola or Fanta Zero cost R34, slightly more than a year ago.
ALSO READ: Basic food basket gets more expensive and will hit poor households harder
Low-income consumers pay much more
Unfortunately, based on the November food basket prices provided by the Pietermaritzburg Economic Dignity and Justice Group, low-income consumers are paying significantly more for food now compared to last year.
Most items cost more, with only two products cheaper than last year: 10kg of rice, which now costs R135.76 compared to R139.64 a year ago, and 10kg of potatoes which now costs R63 .83 compared to R87.71 last year. course
Low-income consumers looking to dine on meat will have to pay R378.94 for 10kg portions of frozen chicken which they paid last year, or R181.96 for 2kg of beef stew, which cost R171. 56 since a year ago.
Adding vegetables will also cost more, with 5kg of carrots costing R37.67 compared to R25.86 last year, eight bunches of spinach costing R93.19 compared to R77.83 last year and 6kg of tomatoes costing R108.83 compared to R97.97. last year.
Incomes for low-income consumers haven’t kept up with inflation at all, meaning they’ll have to face another Christmas without the luxuries that middle-income consumers can still afford.