Shoprite has raised the alarm over rising hunger levels, warning that food insecurity is at its worst point in more than 10 years.
According to the retailer’s latest food security index, 21% of children under the age of five are stunted due to malnutrition, a rate unusually high for a middle-income country.
The group said in its latest annual report that this reflects deep challenges in food affordability and access, with consumers under severe pressure in the face of subdued economic growth and high unemployment.
“At a personal level, I am particularly troubled by the country’s staggering rate of youth unemployment and by the number of households that are dependent on government grants and that lack adequate access to nutrition,” CEO Pieter Engelbrecht said in a letter to shareholders.
“Addressing this profound nutritional challenge, and that of youth unemployment, is critical to maintaining social stability and to strengthening the resilience of our business.”
Shoprite’s findings could be seen as exposing deep governance failure that is eroding human capital, sapping domestic demand and heightening political risk — a combination that may revive debate about converting short-term relief measures into a permanent basic income grant as a policy lever.
Nearly 4,500 children younger than five years old died in SA in the past five years due to malnutrition. KwaZulu-Natal recorded the most deaths and the Western Cape the fewest.
This startling data was disclosed by health minister Aaron Motsoaledi in reply to a parliamentary question earlier this year. Motsoaledi said that since 2020, 4,447 children under the age of five died in SA, their deaths being associated with “but not necessarily caused by moderate acute malnutrition or severe acute malnutrition”.
Nearly 3,000 of the deaths reported in public hospitals in the period under review had evidence of severe acute malnutrition.
KwaZulu-Natal accounted for 1,205 deaths in the period, with the Eastern Cape also faring badly with 599 deaths associated with malnutrition. The Western Cape reported 68 deaths.
According to the World Health Organisation, malnutrition refers to deficiencies or excesses in nutrient intake, an imbalance of essential nutrients or impaired nutrient utilisation.
The double burden of malnutrition comprises both undernutrition and overweight and obesity, as well as diet-related noncommunicable diseases.
“We look to the new GNU’s medium-term development plan to address these challenges and stimulate growth and investment,” Shoprite said, referring to the government of national unity.
Household consumption expenditure is expected to grow by just 1.8% in 2025, up from 1% in 2024, but still low in absolute terms. Without meaningful increases in employment, wages or other stimulus, consumer spending is likely to remain weak, it said in the annual report.
The latest FNB/BER consumer confidence index reinforces the pressure facing retailers and brands alike. Consumer sentiment fell to minus 13 in the third quarter, driven by a sharp decline among middle-income households grappling with higher living costs and weak job prospects.
Meanwhile, the independent wholesale and retail sector has grown into a R268bn engine powering the fast-moving consumer goods (FMCG) economy, serving as an important enabler for the informal market and an increasingly important option for households.
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