South Africa: Cheaper chicken expected as government slashes import tax

Frozen Chicken Cut

Published Jan 31, 2024

Tridge summary

The South African government has reduced import tax on chicken to address shortages caused by a bird flu outbreak, with the International Trade Administration Commission announcing a 25% and 30% rebate for bone-in and boneless chicken pieces respectively. However, the South African Poultry Association warns this could harm the local poultry industry's recovery from the outbreak. Furthermore, Roy Thomas highlights that ongoing logistical issues and load shedding at congested local ports could delay chicken imports and impact the industry's ability to deliver products cost-effectively, potentially exacerbating financial struggles for consumers.

Disclaimer: The above summary was generated by a state-of-the-art LLM model and is intended for informational purposes only. It is recommended that readers refer to the original article for more context.

Original content

Government has lowered import tax on chicken as bird flu ravages SA's poultry farms - but problems at local ports may prevent cheaper chicken from reaching consumers. On Tuesday, state institution the International Trade Administration Commission (ITAC) announced it would implement a 25% rebate for bone-in and a 30% rebate for boneless chicken pieces. Chicken carcasses and offal will also be given a full rebate. In effect, this means that import duty on boneless cuts will decrease from 42% to 12%, while for bone-in products, it will fall from 62% to 37%. The commission said the measures would be implemented temporarily to increase imports and assist with chicken shortages after the devastating outbreak of highly pathogenic avian influenza (HPAI) or bird flu last year. READ | IMF slashes SA's growth outlook due to 'increasing' Transnet woes In a statement on Tuesday, the ITAC said the rebates had been implemented after an investigation had found that the country would experience a ...

Source: News24