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<\/a><\/figure><\/div>\n\n\nThe statistic body added that the 0.9 percentage point drop in headline inflation between May and June is the biggest drop since May 2020. <\/p>\n\n\n\n
Of the 12 main categories covered by the consumer price index (CPI), six saw a drop in annual inflation, five saw an increase, and one remained unchanged. <\/p>\n\n\n\n
Annual goods inflation dropped from 8.0% in May to 6.3% in June, whilst services inflation dropped slightly from 4.6% in May to 4.5% in June. <\/p>\n\n\n\n
Core inflation (inflation excluding food and fuel) was also slightly lower at 5.0%.<\/p>\n\n\n\n
Some good news for food <\/strong><\/p>\n\n\n\n Annual inflation for food and non-alcoholic beverages (NAB) slowed for the third month in a row, dropping from 11.9% in May to 11.0% in June. However, food inflation remains well outside the target range and is still adding pressure to household spending.<\/p>\n\n\n\n Most food and NAB components recorded lower inflation rates in June – however, some climbed even higher.<\/p>\n\n\n\n Sugar, sweets and desserts climbed from 11.9% in May to 16.4% in June – the highest reading for the category since June 2017. <\/p>\n\n\n\n Stats SA noted annual increases for brown sugar (up 17.4%), white sugar (up 17.1%) and chocolate slabs (up 16.2%).<\/p>\n\n\n\n In addition, the annual inflation rate for alcoholic beverages and tobacco increased from 5.9% in May to 6.1% in June. <\/p>\n\n\n\n Wine inflation grew from 9.1% in May to 9.4% in June, whilst beer inflation also rose from 4.7% to 5.5%. <\/p>\n\n\n\n Actual rents jumped from 2.5% in March to 2.7% in June, whilst the annual rate for imputed rents increased from 2.7% to 2.9% over the same period. <\/p>\n\n\n\n The CPI also incorporated the most recent quarterly survey of housing rents.<\/p>\n\n\n\n On a quarter-on-quarter basis, imputed rents rose by 1,2% between March 2023 and June 2023, which is the largest quarterly increase since September 2018, when the rate was also 1.2%.<\/p>\n\n\n\n Notable Declines<\/strong><\/p>\n\n\n\n Prices for oils and fats decreased for the tenth successive month, with the index dropping by 9.5% in the 12 months to June. <\/p>\n\n\n\n The average price of a 750 ml bottle of sunflower oil dropped from the R43.97 price tag in June 2022 to R35.57 in June 2023. <\/p>\n\n\n\n Annual transport inflation also significantly dropped from 7.0% in May to 1.8% in June, which was mainly due to the softer fuel prices. <\/p>\n\n\n\n The fuel index also declined by 8.3% when comparing in June 2023 compared to June 2022, with the monthly change also seeing a 3.1% decrease. <\/p>\n\n\n\n<\/a><\/figure>\n\n\n\n
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