Dodging the poultry facts

Protectionism-obsessed Kevin Lovell reminds me of Donald Trump, particularly in his steadfast refusal to acknowledge the realities of a competitive global economy. Lovell’s letter once again dodges the fact that only 14% of all consumed chicken in SA is imported. This is not an amount that could seriously devastate the local poultry industry, which he now describes as “remarkably efficient”.

Lovell correctly asserts that SA produces chicken cheaper than the EU. But he doesn’t acknowledge that the EU chickens are larger than the ones produced here and therefore SA has a lower feeding cost. Moreover, in SA chickens are still allowed to be brined with a salt-water mixture, although this is now regulated. Regarding Lovell’s assertion that I avoid dealing with dumping: as he well knows, Itac (International Trade Administration Commission of SA) has already held investigations into the dumping of EU chicken.

Itac’s findings varied; they found the largest exporter of chicken to SA, the Netherlands, had very low levels of dumping and imposed a residual duty. Other exporters faced higher duties and stopped exporting to SA. Lovell now seems to suggest that there should be further duties on top of existing ones. I suggest he then call for another probe or stop crying wolf.

Once the local poultry sector acknowledges their own structural deficiencies and sell each part of the chicken for its actual value, they will be crowing a different tune.

Georg Southey

Chairman, AMIE