AGRICULTURAL NEWS - Exchange rate fluctuation will continue to play a determining role in the cost of food products in coming months.
This was a sentiment echoed by several economists and researchers, interviewed by Farmer’s Weekly following the release of the latest producer price inflation (PPI) and consumer price inflation (CPI) statistics.
According to Wandile Sihlobo, head of economic and agribusiness intelligence at Agbiz, headline PPI for November 2017 increased to 0,9% year-on-year (y/y), up from 0,4% y/y in October, and was mainly due to increased prices of meat and dairy products.
CPI or food inflation had declined to 5,2% y/y in November, compared with 5,3% y/y in October. Sihlobo said the CPI of most food products continued to decrease, with even meat prices falling on the back of an uptick in slaughter numbers.
