{"id":715752,"date":"2023-09-05T06:00:00","date_gmt":"2023-09-05T04:00:00","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=715752"},"modified":"2023-09-04T15:48:57","modified_gmt":"2023-09-04T13:48:57","slug":"food-quality-warning-for-south-africa","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/finance\/715752\/food-quality-warning-for-south-africa\/","title":{"rendered":"Food quality warning for South Africa"},"content":{"rendered":"\n<p>South African consumers are unhappy with the state of South African food due to the effects of load shedding. <\/p>\n\n\n\n<p>PwC, in partnership with DataEQ, gauged the satisfaction levels of South African consumers in its South African Retail Sentiment Index, which tracked consumer sentiment across 1.5 million social media posts regarding the nation&#8217;s six largest grocery chains in 2022. <\/p>\n\n\n\n<p>PwC noted negative comments about food quality amidst the increase in load shedding and positive feedback on pricing campaigns due to the rise in inflation. <\/p>\n\n\n\n<p>In terms of food quality, retailers faced accusations of unethical behaviour due to the subpar quality, with health concerns regularly mentioned. <\/p>\n\n\n\n<p>&#8220;The outlook for load shedding suggests that <strong>pressure on food supply chains \u2014 and, by implication, food quality and prices \u2014 will continue in the short term<\/strong>,&#8221; PwC said. <\/p>\n\n\n\n<p>&#8220;Experts at the Energy Council of South Africa said earlier this month that they have a stage 4-6 outlook for load-shedding towards the end of 2023 followed by a more positive view on 2024.&#8221; <\/p>\n\n\n\n<p>Food production and retail sectors will thus remain highly dependent on diesel generators to mitigate the effects of load shedding. <\/p>\n\n\n\n<p>In addition, the El Nino weather phenomenon, which results in drier conditions locally, could also exert pressure on prices, even if the El Nino is less severe than the one in 2015\/16. <\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-wp-embed is-provider-businesstech wp-block-embed-businesstech\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"wp-embedded-content\" data-secret=\"sY47I8PVIs\"><a href=\"https:\/\/businesstech.co.za\/news\/finance\/711900\/red-flags-for-food-prices-in-south-africa\/\">Red flags for food prices in South Africa<\/a><\/blockquote><iframe loading=\"lazy\" class=\"wp-embedded-content\" sandbox=\"allow-scripts\" security=\"restricted\" style=\"position: absolute; clip: rect(1px, 1px, 1px, 1px);\" title=\"&#8220;Red flags for food prices in South Africa&#8221; &#8212; BusinessTech\" src=\"https:\/\/businesstech.co.za\/news\/finance\/711900\/red-flags-for-food-prices-in-south-africa\/embed\/#?secret=2V72q0RT3t#?secret=sY47I8PVIs\" data-secret=\"sY47I8PVIs\" width=\"500\" height=\"282\" frameborder=\"0\" marginwidth=\"0\" marginheight=\"0\" scrolling=\"no\"><\/iframe>\n<\/div><\/figure>\n\n\n\n<p class=\"has-medium-font-size\"><strong>Special items <\/strong><\/p>\n\n\n\n<p>However, shoppers were far more positive when it came to special offers due to the decline in real income. <\/p>\n\n\n\n<p>&#8220;Against a challenging economic backdrop of elevated inflation and rising interest rates, consumers\u2019 positive experiences and perceptions around pricing may seem surprising,&#8221; PwC said. <\/p>\n\n\n\n<p>It added that retailers leveraged special offers and promotions to shift the narrative on pricing, particularly for essential items. Cooking oil, for instance, drove the increase in positive sentiment following a period of price volatility caused by the war in Ukraine. <\/p>\n\n\n\n<p>&#8220;However, while special offers play a key role in driving positive sentiment around pricing, it should be noted that consumers still value the general affordability of products over special offers and campaigns,&#8221; it said. <\/p>\n\n\n\n<p>Salaries and wages play a crucial part in the affordability equation and only increased by 4.0% on average in 2022 compared to average inflation of 6.9% &#8211; meaning that there was a 2.9% decline in real income.  <\/p>\n\n\n\n<p>Retailers are expected to continue their creative pricing strategies, as the expected 5.2% increase in salaries and wages in 2023 will not compensate for the projected average inflation rate of 6.0%. <\/p>\n\n\n\n<p>&#8220;In the current economic climate, South African companies are struggling to pay higher remuneration to their employees. As a result, consumer buying power will again decline this year, albeit by a smaller margin compared to 2022.&#8221;<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><a  data-lightbox=\"post-image\" href=\"https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2023\/09\/pwc-change-in-salaries-.jpg\"><img loading=\"lazy\" decoding=\"async\" width=\"1018\" height=\"736\" src=\"https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2023\/09\/pwc-change-in-salaries-.jpg\" alt=\"\" class=\"wp-image-715756\" srcset=\"https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2023\/09\/pwc-change-in-salaries-.jpg 1018w, https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2023\/09\/pwc-change-in-salaries--300x217.jpg 300w, https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2023\/09\/pwc-change-in-salaries--768x555.jpg 768w\" sizes=\"auto, (max-width: 1018px) 100vw, 1018px\" \/><\/a><\/figure><\/div>\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<p><strong>Read: <a rel=\"noreferrer noopener\" href=\"https:\/\/businesstech.co.za\/news\/wealth\/715422\/south-africas-billionaires-heres-how-their-wealth-has-changed-in-2023\/\" target=\"_blank\">South Africa\u2019s billionaires \u2013 here\u2019s how their wealth has changed in 2023<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>PwC says that South Africans are increasingly questioning the quality of food in the country &#8211; largely thanks to load shedding.<\/p>\n","protected":false},"author":95,"featured_media":707342,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11121],"tags":[26,2407],"class_list":["post-715752","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-finance","tag-headline","tag-pwc"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/715752","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/95"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=715752"}],"version-history":[{"count":3,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/715752\/revisions"}],"predecessor-version":[{"id":716004,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/715752\/revisions\/716004"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/707342"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=715752"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=715752"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=715752"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}