1. SA Economic Indicators:
for the month of August 2013

2. SA Economic Indicators
Input Prices: Fuel
Weakening Rand leads to the highest fuel prices ever recorded
Updated September 2013
International fuel prices ease following high levels
Rand strength keeps price muted
Demand for energy drops due to recession
Unrest in African oil producing countries
Source: Department of Energy

3. SA Economic Indicators
Input Prices: Oilseed – Three Year View
Updated Quarterly (Last Updated: July 2013)
Drought in the US and a weak rand pushes prices up dramatically
Prices rise due to cut in US supply forecast
Soybean: used in food manu-facture. Significant and cheap source of protein for animal feed.
Vegetable oils: major ingredient in foods and personal care products.
Source: FNB
Notes: 1. Oilseed is defined as any of several seeds from cultivated crops yielding oil, e.g. sunflower, peanut, or soybean. For the purposes of this report, soybean and sunflower prices are analysed

4. SA Economic Indicators
Input Prices: Oilseed – Three Month View
Updated September 2013
Source: FNB

5. SA Economic Indicators
Input Prices: Grains1 (Maize, Wheat) – Three Year View
Grain prices rise due to the drought in the US
Updated Quarterly (Last Updated: July 2013)
Prices of yellow maize & white maize increases dramatically due to adverse global weather
Surplus of grains in international markets knocks prices 2 3
Source: FNB
Note: 1. Grains is defined as wheat, maize or any other cultivated cereal crop used as food
2. Yellow maize is predominantly used in animal feed
3. White maize is a staple food in South Africa and used to some degree in animal feed

6. SA Economic Indicators
Input Prices: Grains (Maize, Wheat) – Three Month View
Updated September 2013
Source: FNB

7. SA Economic Indicators
Input Prices: Beef & Poultry – Three Year View
Meat prices increase due to high feed prices
Updated Quarterly (Last Updated: July 2013)
Prices rise due to increase in prices at producer level
Chicken prices show stability, while beef is more susceptible to inflationary pressures
Source: FNB

8. SA Economic Indicators
Input Prices: Beef & Poultry – Three Month View
Updated September 2013
Source: FNB

9. SA Economic Indicators
Input Prices: Vegetables – Three Year View
Updated Quarterly (Last Updated: July 2013)
Supplies decrease due to black frost in central and northern regions, pushing up prices
Dramatic increase in price due to decrease in volumes
Source: FNB

10. SA Economic Indicators
Input Prices: Vegetables – Three Month View
Updated September 2013
Tomato price decreases due to increase in volumes
Source: FNB

11. SA Economic Indicators
Input Prices
COMMENTARY
Fuel:
On Wednesday the 4th September, the petrol price decreased by 5c a litre, while diesel increased by 14c a litre and illuminating paraffin 33c a litre
The slight relief in the price of petrol for September is due to a decrease in the State levy and a slight appreciation of the Rand at the end of July
It is expected that higher increases could be on the cards for October, while tension in Syria continues to put pressure on the currency and oil prices.
Although Syria produces very little oil, its neighbours do, so instability in the region means a threat to oil production and transportation
Is it expected that Brent crude oil prices could increase to $125 per barrel as the tension over Syria deepens
Food:
Overall, the prices of oilseed and grains continued to follow the slight declining trend from June with the exception of Soybean, which rose to the highest level in almost a year.
Contract beef prices continue to rise to the upper 20’s, with poultry prices remaining flat or decreasing
Although vegetables continue be volatile, the prices are muted at the moment and lower than a couple months ago due to the high inflation rate being experienced at the moment
Yellow maize for delivery in September fell 1%, with white maize for December delivery dropping 0.4%

12. Kim Furber | Online Support Helga Altenroxel | Retail Analyst
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Kim Furber | Online Support
Helga Altenroxel | Retail Analyst
Kate Shirley | Independent Retail Analyst
Maryla Masojada | Head Research
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Other Sources
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