Volume 1: Consumer Price Indices

South Africa

Official title

Consumer Price Index.

Scope

The index is computed monthly and relates to all population groups in 12 urban areas.

Official base

1985 = 100.

Source of weights

The weights and selected items were derived from a household expenditure survey conducted in November 1985.

Weights and composition

Major groups Number of items Weights Approximate number of price quotations
Food 8822.72...
Drinks, alcoholic drinks and tobacco 82.84...
Clothing and footwear 555.98...
Housing:
Rent 25.88...
Home-owners' costs 713.91...
Other (incl. water) 31.41...
Fuel and light 62.44...
Furniture and household equipment 294.72...
Household operations 143.77...
Medical care 52.56...
Transport and communication 2118.93...
Education and recreation 214.96...
Personal care 123.08...
Miscellaneous 146.77...
Total 285100.00...

Household consumption expenditure

Consumption expenditure includes car licence and registration fees, interest on loans, bank charges, life insurance premiums, endowment policies, annuities, mortgage debt insurance, membership fees for trade unions, staff and professional associations, legal and other fees for professional services.

Certain types of expenditure are not taken into account for the purposes of the Consumer Price Index, e.g. income tax, contributions to pension and provident funds.

Method of data collection

Prices are collected by postal questionnaires from a representative sample of retail outlets and service establishments in different areas, or from other organisations, associations or public bodies. Prices of vegetables and fruit are obtained from the Division of Agricultural Marketing Research of the Department of Agricultural Economics and Marketing, which collects prices each week.

For most other food items, as well as for clothing, fuel and washing and cleaning materials, prices are collected each month. Prices for furniture and equipment, personal care requisites, stationery, etc., prices are collected every three months. Certain price information is obtained once a year or as often as price changes occur.

Price information for all items except for fruit and vegetables refers to the first seven days of the relevant months.

Housing

Rent data are obtained for houses and apartments from the annual survey conducted by the Department of Statistics. Home-owner costs include interest payments, assessment rates, sanitary service, refuse removal, insurance of buildings, repairs and maintenance and other ownership costs.

Specification of varieties

Not available.

Substitution, quality change, etc.

Not available.

Seasonal items

No adjustment is made to seasonal fluctuations in item prices.

Computation

The index is computed according to the Laspeyres formula as a weighted arithmetic average with fixed base, using weights corresponding to 1985.

The index is computed as the weighted average of separate indices relating to 12 urban areas.

Other information

Series are also published separately for low-, middle- and high-income group families for all items excluding housing, for all items excluding food, for detailed sub-groups and separately for 12 urban areas.

A seasonally adjusted consumer price index and a pensioners' consumer price index for urban areas are also published.

A new series (base 1990 = 100) is now computed, but the relevant methodological information was not available in the ILO at the timet the present volume was published.

Organisation and publication

Central Statistical Service: Bulletin of Statistics (Pretoria).