Services providers who provide food for schools' feeding schemes say the rising cost of food is impacting on their businesses.
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The National Student Nutrition Programme (NSNP) Service Providers Association has raised alarm over the rising prices of zero-rated food items, warning that the increases threaten the sustainability of the feeding scheme programme and could leave millions of schoolchildren without their only nutritious meal of the day.
Spokesperson Thabang Mncwabe said the association had noted with deep concern recent reports indicating a significant increase in the prices of zero-rated food items, despite these products being exempt from Value-Added Tax.
"According to the latest data, the average cost of key zero-rated staple foods including maize meal, brown bread, and samp has risen by over 4.1% in the past year," said Mncwabe.
"The cost of a basic food basket has increased by R113, putting pressure not only on households but also on NSNP service providers who are mandated to deliver nutritious meals daily to millions of learners under stringent fixed-budget contracts."
Mncwabe said the rising prices were having a direct and adverse effect on service providers. He explained that many of them are working within contracts that do not make provision for inflationary escalations or economic shocks. As a result, service providers are forced to either absorb the additional costs, compromising business sustainability, or reduce meal quality and portions, which undermines the objectives of the NSNP.
He warned that if the issue is not urgently addressed, it may lead to service disruptions, delayed deliveries, and in the worst-case scenario, the complete withdrawal of service providers.
"Such outcomes would have devastating consequences for the education and wellbeing of millions of learners who rely on the NSNP for their only nutritious meal of the day."
Mncwabe called on the Department of Basic Education, the National Treasury, and other relevant stakeholders to urgently review the current pricing model and implement inflation-linked contract adjustments. He also appealed for emergency funding to cushion providers against further economic volatility and urged engagement with the Association to develop a sustainable pricing and procurement framework.
He said the Association also supports exploring community-based procurement from local producers and farmers to improve cost-effectiveness and support local economies.
"The NSNP Service Providers Association remains committed to the core mission of ensuring that no child goes to school hungry," said Mncwabe. "We reiterate our willingness to work collaboratively with government, civil society, and industry experts to develop lasting solutions to the challenges posed by rising food costs."
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