Economic News

Surge in SA Food & Beverage: Bars, Restaurants Drive 14.9% YoY Growth

Published by
Martin du Toit
  1. The South African food and beverage industry experienced a 14.9% increase in total income in February 2023 compared to the previous year, driven by bar sales and food sales.
  2. Restaurants and coffee shops emerged as the main contributors to this growth, with an 18.7% increase in income.
  3. In the three months ending February 2023, total income for the industry increased by 15.8% compared to the same period in 2022, with significant contributions from restaurants, coffee shops, and takeaway/fast-food outlets.

The South African food and beverage industry witnessed a significant increase in total income in February 2023, according to recent data released by Statistics South Africa (STATSSA). The report reveals that total income generated by the industry rose by 14.9% in real terms (constant 2019 prices) compared to February 2022.

The growth was primarily driven by two segments: bar sales, which surged by 35.5%, and food sales, which experienced a 13.8% increase. Additionally, the report highlights that restaurants and coffee shops were the main contributors to the 14.9% year-on-year increase, with an impressive growth rate of 18.7% and an 8.8 percentage point contribution.

Furthermore, the food and beverage industry’s income for the latest three months ending February 2023 saw a 15.8% increase compared to the same period in the previous year. The main factors contributing to this increase were restaurants and coffee shops, which saw a 16.4% rise in income and contributed 8.0 percentage points. Takeaway and fast-food outlets also played a significant role, with a 10.9% increase in income and a 4.1 percentage point contribution.

Despite the robust year-on-year growth, the food and beverage industry experienced a 2.3% decline in seasonally adjusted income in February 2023 compared to January 2023. This decrease followed month-on-month changes of 5.4% in January 2023 and 1.6% in December 2022.

The recent growth in the food and beverage sector, particularly in restaurants and coffee shops, signals a strong recovery from the challenges posed by the COVID-19 pandemic. As the economy continues to rebound, the industry can anticipate further growth and expansion opportunities in the coming months.

Table 1: Year-on-Year Percentage Change in Food and Beverages Income (February 2023 vs February 2022)

Income TypePercentage Change
Total Income14.9%
Bar Sales35.5%
Food Sales13.8%
Caption: Table 1 presents the year-on-year percentage changes in food and beverages income for February 2023 compared to February 2022.

Table 2: Main Contributors to Year-on-Year Increase by Enterprise (February 2023)

Enterprise TypePercentage ChangePercentage Point Contribution
Restaurants & Coffee Shops18.7%8.8
Caption: Table 2 highlights the main contributors to the 14.9% year-on-year increase in food and beverages income for February 2023.

Table 3: Income Increase in Food and Beverages Industry for the Latest Three Months (Ending February 2023)

Enterprise TypePercentage ChangePercentage Point Contribution
Restaurants & Coffee Shops16.4%8.0
Takeaway & Fast-Food Outlets10.9%4.1
Caption: Table 3 illustrates the main contributors to the 15.8% increase in total income for the food and beverages industry during the three months ending February 2023.
Martin du Toit

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Published by
Martin du Toit

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