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More support for VAT-Free Chicken

Trade union federation Cosatu and South Africa’s main opposition party, the Democratic Alliance (DA) have joined the ranks of those calling for the removal of value added tax (VAT) from chicken portions.

Cosatu spokesperson Size Pamla said if the government removed VAT from chicken, consumers would pay 15% less for the product. This would lessen the pressure on households “battered by soaring prices of food, goods and services”, and would help preserve jobs in the industry.

The DA agriculture spokesman, Noko Masipa, reiterated the party’s call for VAT-free chicken. He said that, when producers were selling chicken at a loss, prices would have to rise, which consumers could not afford.

“This poses a huge threat to national food security,” he said, as chicken was a staple item for most households.

“Removing VAT on bone-in chicken would benefit the poorest 50% of South Africans who are already battling to put food on the table – now exacerbated by permanent loadshedding,” Masipa said.

The DA and Cosatu are not always the best of friends. When they agree wholeheartedly on the need for VAT-free chicken, it shows consensus across the spectrum for the need to zero-rate chicken portions to provide support both for low-income households and for workers in the poultry industry.

NewzRoom Afrika

Watch as FairPlay Founder Francois Baird talks about the importance of the VAT-free chicken campaign on NewzRoom Afrika: