The South African Association of Meat Importers and Exporters (AMIE) is calling for the urgent removal of trade tariffs on all poultry products, a three-year moratorium on any new tariffs, and supports the removal of VAT to ensure cash-strapped consumers will still be able to afford this critical source of protein.
Paul Matthew, CEO of AMIE, said: “We know that chicken is the primary, most affordable and therefore the most important source of protein for South African consumers.
“We also know we are facing a chicken price tsunami due to rampant inflation, global food and commodity shortages, the state of the economy post Covid-19, the impact of the war in Ukraine on global food security, the escalation in fuel, transport and electricity costs, increasing trade tariffs, supply chain disruptions, and the fact that wages are decreasing and unemployment is increasing.”
“South Africans are under extreme financial pressure. As a country, we have to do everything possible to arrest poultry price increases, and the quickest and most effective way to do this is for the government to give the South African consumers relief by placing a three-year moratorium on imported poultry tariffs, and the removal of VAT on poultry products.
“Last week, in an effort to take economic pressure off consumers, our government made two critical interventions: the first was to cut the fuel levy by R1.50 per litre, and the second was to postpone the proposed increase of the Health Promotion Levy (sugar tax) by a year.”
AMIE applauded the government for these “decisive actions”, Matthew said.
“It is clear that government recognises the extreme pressure that consumers are under, and knows that it can meaningfully intervene through changes to administered prices and regulation.
“It can do the same for chicken,” said Matthew.
Grant Hendricks, a black South African business owner and managing director of Umoya Meat Importers, who also serves as an AMIE executive committee member, said: “I run a South African meat import business and sell chicken products largely to the lower end of the market.
“I’ve seen how consumers in townships are increasingly struggling to afford chicken. While their wages stay the same, or decrease, they are finding it increasingly difficult to put nutritious food on the family table.
“The removal of tariffs and VAT on poultry will provide much-needed relief both for consumers and local businesses.”
