Granted, the rate at which food prices are rising has slowed, but what about this? According to Statistics South Africa, the Consumer Price Index for food and non-alcoholic beverages slowed to 8.3% in July from 10.7% in June 2009. That's all good and well, but we have also seen a fall in crop prices of as much as 45% - and the fall in rate of food-price increases has not come even close to matching that. Of course, when we get the next
fuel-price increase, on Wednesday, that will provide yet another excuse to keeping food prices higher - and do not expect for even a second, for the prices to come down when we have a decrease in the fuel price.
It's not right, finish and
klaar - but perhaps there is a light at the end of the tunnel. It seems big business was taken by surprise at the weekend when the Competition Amendment Bill was signed into law.
Rod Baker, guest columnist
retailnews@bizcommunity.com
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