Fuel and taxi fares squeeze wallets as inflation edges higher

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CHEAPER beef and maize meal offered some relief at the supermarket, but getting to work and keeping a vehicle on the road became considerably more expensive as South Africa’s annual consumer inflation rose for a second consecutive month in September.

Figures released by Statistics South Africa this week show headline inflation edged up to 4.5 percent, from 4.4 percent in August and 4.3 percent in July, with transport costs driving much of the pressure on household budgets.

The Free State matched the national annual rate at 4.5 percent.

Prices in the province increased by 0.5 percent between August and September, slightly faster than the national monthly rise of 0.4 percent.

For households balancing groceries, commuting costs and utility bills, the figures tell a familiar story: savings on some essentials are being swallowed up by increases elsewhere.

Transport prices were 10.8 percent higher than a year earlier, contributing 1.5 percentage points – a third – of the overall inflation rate.

Prices jumped by 6.2 percent in a single month and were 27.9 percent higher than in September last year.

Diesel prices were up a steep 46 percent over the year, while petrol cost 25 percent more.

The pressure extended to commuters, with minibus taxi fares rising by 13.8 percent compared with a year earlier.

Long-distance bus fares increased by 14.1 percent, while airfares climbed by 18.6 percent.

Overall, passenger transport inflation accelerated to 12.3 percent, from 11.6 percent in August, remaining in double digits for a fourth consecutive month.

To illustrate the scale of the increase, a taxi journey costing R20 a year ago would cost about R22.76 after a 13.8 percent rise.

Actual fare changes differ by route and operator, but repeated trips can turn a seemingly small increase into a substantial monthly expense.

Courier services also became more expensive, with annual inflation reaching 6.8 percent.

There was better news in the food aisles, although relief depended on what shoppers put in their baskets.

Food and non-alcoholic beverage inflation remained relatively subdued at 1.2 percent, despite edging up from 1.1 percent in August and 0.9 percent in July.

Prices across the category actually fell by 0.1 percent between August and September.

Meat inflation slowed to 0.7 percent, from 1.5 percent in August – its lowest annual rate since March 2025.

Several beef cuts were cheaper than a year earlier.

Stewing beef prices fell by 7.2 percent, mince by 4.6 percent and steak by 4.4 percent.

Beef offal was marginally cheaper, down 0.4 percent.

However, shoppers buying processed meats faced sizeable increases: corned meat cost 10.7 percent more, bacon 10.1 percent more and ham 8.1 percent more than a year ago.

Maize meal, a staple in many households, was 8.6 percent cheaper than in September last year, although its price rose by 0.8 percent from August.

The broader cereal products category recorded an eighth consecutive month of annual price declines, falling by 1.9 percent, despite a monthly increase of 0.3 percent.

That distinction matters at the till: a product can remain cheaper than it was a year ago while becoming more expensive than it was last month.

Other groceries continued to put pressure on budgets.

Fish and other seafood prices rose by 8.0 percent over the year, vegetables by 3.5 percent, and milk, other dairy products and eggs by 2.4%.

Fruit and nuts, by contrast, were 4.8 percent cheaper.

Housing costs remained another significant source of pressure.

Housing and utilities prices increased by 5.2 percent over the year, contributing 1.3 percentage points to headline inflation.

Electricity, gas and other household fuels were up 7.9 percent, while water supply and miscellaneous housing services rose by 7.4 percent.

Rental inflation eased, offering tenants some moderation in the pace of increases rather than a fall in rents.

The annual rate for actual housing rentals slowed to 3.9 percent in the third quarter, from 4.1 percent in the second.

Flat rentals rose by 4.0 percent, townhouses by 3.9 percent and houses by 3.8 percent.

The national inflation rate measures average price changes across a broad basket of goods and services.

Individual households can experience a different squeeze, depending on how much they spend on transport, food, housing and other necessities.

For families spending a large share of their income on commuting, September’s double-digit fare increases could therefore outweigh the welcome savings on beef and maize meal.

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