| FORGET FANCY MARKETING, TRUST IS KEY IN TOWNSHIP ECONOMY |
South African brands are wasting millions by chasing impressive marketing metrics while overlooking the cultural and economic realities driving township consumers, argues strategist Kabelo Kale. Genuine growth lies in understanding the motivations behind buying decisions in the country's estimated R1 trillion township economy, where trust, relevance and consistency outweigh flashy campaigns.
See below: Township shoppers account for 22% Takealot sales |
| BENIGN INFLATION SPURS DROP IN CITY FRESH PRODUCE PRICES |
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Consumers are benefitting from a significant drop in fresh produce prices during June in Pietermaritzburg.
Image generated with AI assistance.
Fresh produce prices fell sharply in Pietermaritzburg during June, helping reduce the cost of the city's household food basket by R122.51, or 2.3%, from R5 298.64 in May to R5 176.12, according to the authorative monthly survey by the PMBEJD Group that tracks prices of 44 items.
The biggest monthly declines, according to the PMBEJD Group’s monthly basket, were for oranges (down 67%), spinach (34%), carrots (28%), apples (23%) and bananas (20%), while butternut also fell 14%. However, cabbage, green peppers and potatoes became more expensive.
The reductions are likely linked to increased winter harvests, seasonal oversupply and improved availability after autumn production. Based on the average food basket of R5 502.42 as registered in seven centres, month-on-month inflation ran at 0.4% and 1.1% annually, reflecting food-price increases nationally.
For a detailed breakdown of food prices in Pietermaritzburgand how they compare elsewhere, click here. |
| BACK BY POPULAR DEMAND: BUSINESS DIAGNOSTICS FOR GROWTH |
The PMCB Trade Hub will host its popular Business Diagnostic workshop on Wednesday, 8 July, using the GrowthWheel platform to help businesses identify gaps and unlock growth opportunities. The interactive session aims to uncover operational weaknesses, strengthen strategy and develop practical action plans for both start-ups and established firms. Pietermaritzburg and Midlands Chamber of Business members attend free, R250 for non-members. Contact Thobeka Khambule on (033) 3452747 or at marketing@pmcb.org.za .
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1991: The National Union of South African Students (NUSAS) elected to disband.
Elsewhere, in 1932, the term New Deal was coined by US President Franklin D. Roosevelt.
Watch out for flying objects on World UFO Day. It’s also World Tutor Day and World Sports Journalists Day.
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ENOUGH OF FAILED REFORMS, SAYS BUSA QUITING UIF PANEL
Business Unity South Africa (Busa) has withdrawn from the Unemployment Insurance Fund's Nedlac structures and removed its representatives from the UIF board, citing years of alleged maladministration and failed reform efforts.
Busa says six years of engagement have produced little progress, with governance failures, delayed claims and poor service continuing. The organisation wants Employment Minister Nomakhosazana Meth to place the UIF under administration and launch a forensic investigation into fund spending.
The call follows revelations that more than R200 million of the R800 million paid through the Covid-19 TERS scheme remains unaccounted for, alongside persistent operational failures. (SOURCE: Moneyweb)
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INFLATIONARY PRESSURES MOUNT IN WAKE OF OIL-PRICE SURGE
South Africa's inflation expectations climbed sharply in the second quarter of 2026 as higher global oil prices, driven by the Iran conflict, fuelled concerns over rising costs. A quarterly survey commissioned by the Reserve Bank showed analysts, businesses and trade unions now expect inflation to average 4.4% this year, up from 3.6% previously. Forecasts for 2027 and 2028 also increased to 4.2% and 3.9%. Inflation reached 4.5% in May, prompting the central bank to raise interest rates to 7% in May. Markets will closely watch the bank's next policy decision on 23 July. (SOURCE: Bizcommunity)
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... AS BUYERS PUSH PAUSE BUTTON ON SOUR MANUFACTURING MOOD
South Africa's manufacturing sector slipped back into contraction in June as customers delayed purchases, expecting lower prices after easing Middle East tensions pushed oil prices down. The Absa Purchasing Managers' Index fell to 47.3 from 50.8 in May, dropping below the 50-point growth threshold. New sales orders declined to 40.6 from 44.6, while business activity improved slightly to 45.6 from 43.5. Optimism about conditions six months ahead rose to 56.6, and the purchasing price index dropped 13.5 points to 71.3 as Brent crude retreated from $118 to below $73 a barrel. (SOURCE: Moneyweb)
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... AND NEW-VEHICLE SALES STREAK TO 19-YEAR HIGH IN JUNE
South Africa's new vehicle market reached its strongest June performance in 19 years, with 47 294 vehicles sold during the month, an increase of 18.7% from 39 837 units in June 2025. Passenger vehicle sales climbed 18.1% to 31 802 units, while light commercial vehicles, bakkies and minibuses rose 20.3% to 12 208. Car rental companies accounted for 9.7% of passenger vehicle sales, while government fleet purchases also boosted demand. The strong results point to improving confidence in the automotive sector, despite high interest rates and ongoing pressure on household budgets. (SOURCE: BDLive)
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... AS MINISTER LAMENTS LOCAL CONTENT WELL BELOW 60% GOAL
Trade, Industry and Competition Minister Parks Tau says South Africa's Automotive Masterplan has fallen well short of its localisation goals, with local content in domestically assembled vehicles slipping from 38.7% in 2015 to 38.1% by Q3 2025, far below the 60% target set for 2035. Despite this, the sector employs about 115 000 people directly and supports more than 500 000 jobs across the value chain. Between 2021 and March 2026, the Automotive Investment Scheme helped create 25 889 jobs, retain 59 224, and underpin R50.5 billion in industry investment. (SOURCE: BDLive)
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TOWNSHIP SHOPPERS ACCOUNT FOR 22% TAKEALOT SALES
Takealot says township shoppers are becoming a major growth driver, with 22% of its active customers now coming from township and rural areas, up from 16% a year ago. The online retailer, which serves more than 5 million shoppers, says customers are buying everything from chicken pluckers and groceries to lipstick, smartphones and generators. The company recorded more than 1 billion product searches over the past year, highlighting growing demand beyond traditional urban markets. Executives say expanding delivery networks and digital payment options are helping unlock one of South Africa's fastest-growing e-commerce segments. (News24)
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NO RECOURSE FOR INVESTORS DABBLING IN ONLINE TRADING
South Africans are being warned that online trading carries "extreme risk", with investors having little chance of recovering losses if offshore platforms collapse or refuse withdrawals. Many traders use highly leveraged products, where small market movements can wipe out entire investments within minutes. The Financial Sector Conduct Authority has repeatedly cautioned against dealing with unlicensed providers, as investors have limited legal protection and complaints are difficult to pursue across borders. Globally, regulators estimate that 70% to 80% of retail clients lose money trading contracts for difference (CFDs) and similar leveraged products, highlighting the high-risk nature of online speculative trading. (SOURCE: News24)
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STEEL SECTOR BRACES FOR 50% TARIFF ON EU EXPORTS
South Africa's steel industry is assessing the impact of the European Union's new import regime, which takes effect in July 2026 and links tariff-free access to exporters' historical trade volumes. Under the new rules, steel shipments exceeding allocated quota thresholds will face 50% tariffs, raising concerns over the competitiveness of South African exports. Industry leaders warn the measures could reduce access to a key market, squeeze profit margins and discourage investment. The changes come as local steelmakers already grapple with weak domestic demand, rising electricity and logistics costs, adding further pressure to a sector that supports manufacturing, exports and thousands of jobs. (SOURCE: BDLive)
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'UNDETECTED' SHIPMENTS PUSH UAE OIL EXPORTS BACK TO PRE-WAR LEVELS
The United Arab Emirates has restored its oil exports to pre-war levels by using a pipeline that bypasses the Strait of Hormuz and sending tankers through the region undetected. The UAE ramped up shipments of crude oil and condensates by roughly 30% last month to more than 3.9 million barrels a day, according to Bloomberg, Vortexa and Kpler data. That level is just shy of the highest recorded since 2017, based on tanker-tracking data. Exports have been supported by alternative routes that reduce reliance on the Strait during volatility. The shift highlights efforts to secure trade flows despite regional tensions.
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MEXICAN BATMAN LEAVES THIEVES STUCK IN SPOTLIGHT FOREVER
A mystery vigilante dubbed the "Batman of Lagos de Moreno" has police scratching their heads after allegedly hunting down suspected thieves and taping them to lampposts. Over 10 days, at least five men were discovered wrapped in silver duct tape, sporting drawn-on cat whiskers, comedy moustaches and the word ratero ("thief") scrawled across their faces. Their allegedly stolen bicycles were neatly parked nearby, as if for a police photo shoot. Authorities insist the bound men are victims while they investigate both the assaults and the alleged thefts. (SOURCE: The Independent)
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Compassion brings us to a stop, and for a moment we rise above ourselves.
Mason Cooley |
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