While local poultry producers are still pushing for higher import tariffs for chicken imports from the United States, Trade and Industry Minister Ebrahim Patel’s proposed new poultry master plan is more focused on upping the local sector’s competitiveness and exploring alternative export markets. This approach has for long been advocated by the Association of Meat Importers and Exporters of SA (Amiesa), with its CEO Paul Matthew reiterating that imports were often used as a scapegoat for the struggling industry. “There is no dumping of surplus international chicken products on our market. Amiesa serves fundamentally different parts of the market,” he said. Figures from the South African branch of the United States Poultry and Egg Export Council (USPEC) seem to confirm Matthew’s statement, highlighting that US chicken imports currently contribute less than 3% of total chicken sales in South Africa. “This means the vast majority of chicken sold in South Africa is produced locally and the impact of imports on local sales should be minimal,” said a spokesperson for the council. In addition, chicken imports were currently subject to import tariffs designed to support South African poultry producers. “A significant 82% tariff is imposed on whole birds imported from the US,” said the spokesperson, adding that import tariffs on carcasses were now 31%; boneless cuts 12%; offal 30%; and bone-in portions 37%. “This means imported chicken products cannot undercut the costs of locally produced products in such a way that they impact their business,” she said. The Department of Trade and Industry (dti) poultry master plan would take opportunities for local employment into consideration said Matthew, highlighting that attempts to reduce domestic unemployment via foreign trade did not take into consideration the number of jobs created by South Africa’s overall participation in global trade. “Imports also create employment through, for example, support services such as inspections, clearing agents, transport and monitoring laboratories,” he said, adding that Amiesa believed there were alternative measures available.
INSERT Imports are often used as a scapegoat for the struggling industry. – Paul Matthew