NATIONAL NEWS – Chicken dumping is becoming a national crisis.
Between 4 000 and 5 000 jobs in the industry have been lost, and 110 000 more are at risk, plus 20 000 in the feed supply sector.
Chicken Dumping will destroy the SA chicken industry, not because the industry cannot compete, but because it is being killed by dumping, a practice which has been outlawed by the World Trade Organisation (WTO).
What is chicken dumping?
Other countries are dumping large quantities of surplus chicken in the South African market at prices that are far below their production costs.
So why is this a problem?
Because thousands of jobs have already been lost in a country with one of the highest unemployment rates in the world.
In reality this affects many more people as each worker may support as many as 10 people.
The South African Poultry Association (Sapa) warned four years ago, that 20 000 jobs could be lost if imports of cheap chicken continued.
Since then the volume of dumped chicken has increased.
Warning: The entire South African chicken industry may collapse before the end of 2017
RCL Foods, one of SA’s largest chicken producers, has warned that the dumping could cause the entire South African chicken industry to collapse before the end of 2017.
Last month RCL laid off 1 350 employees – 20 percent of its workforce – and is selling 15 of its 25 farms.