Agriculture

VAT-free chicken back on the menu

One consequence of the formation of South Africa’s government of national unity is that it has brought supporters of VAT-free chicken into positions of power.

FairPlay has campaigned for VAT-free chicken since 2018, when South Africa’s value-added tax (VAT) rate climbed to 15%.

We have argued that chicken portions are an essential part of the diet of low-income households, and that the removal of VAT from chicken portions would bring immediate price relief where it is most needed.

Chicken did not make it onto the list of the additional items zero-rated for VAT in 2018, but the campaign has continued. As food prices have soared, it has become more urgent.

Now the proposal has friends in high places. The Democratic Alliance, a key member of the new government of national unity, promised in its election manifesto to include “bone-in chicken” in a list of essential foods to be zero-rated.

DA leader John Steenhuisen is the new Minister of Agriculture. And the DA’s Ashor Sarupen is Deputy Minister of Finance.

FairPlay will keep on reminding them of their commitment to make VAT-free chicken a reality.