On 02 May 2017 Parliament’s Portfolio Committee on Trade and Industry resolved in principle to use the Rules of Parliament, if necessary, to consider summoning retailers to ensure their attendance.
Committee Chairperson, Joanmariae Fubbs, said the Committee had issued an invitation to retailers - Shoprite, Woolworths, Pick n Pay and Spar – to attend the meeting to provide insights on how pricing and mark-ups of poultry products occurred in their companies. “The Committee instead received short written submissions from some of the said retailers.”
The Committee had a further engagement on challenges affecting the poultry industry with presentations made by the European Union (EU) and the Animal Feed Manufacturers’ Association (AFMA).
The absence of the retailers was questioned when the EU inferred that a mark-up of up to 45% on poultry products occurred at retail level. “We will have to decide which Rule of Parliament exactly to use as requesting stakeholders’ attendance does not seem to be getting us anywhere. The Committee took a decision to again invite the retailers to a meeting scheduled for 9 May 2017 to discuss the challenges facing the industry. Failure to attend may require a summons to be issued,” said Fubbs.
The resolution was taken when Members of Parliament (MPs) expressed their disappointment at the retailers, which have many employees, but could not see fit to send even a single representative. Some MPs referred to it as collusion with some possible behind-the-scenes discussions which in turn have led to none of the retailers being available for the meeting.
Fubbs said in response: “This seems more like corruption made worse by collusion. We expect South Africans to come to Parliament to assist us. It is unacceptable that they are not present at the meeting.”
The Committee further took exception after it became aware of “appalling” working conditions of workers on poultry farms and abattoirs. This became evident after a member, Mr B Radebe, indicated that during the parliamentary recess period he had visited several farms and an abattoir where he found terrible working conditions and was also informed that more than 50% of some workers’ pay cheques were going to labour brokers, among other labour law infringements.
On this matter, Fubbs said the price of poultry was intrinsically related to workers and working conditions on farms. She said the Committee would explore this matter further with the Portfolio Committee on Labour. “People cannot be acting with impunity, with no regard for legislation.”