Stock theft under the spotlight
Written by Louis Wessels, Chairman of the National Stock Theft Prevention Forum Stock theft is as old as man himself and is already mentioned in
2024-05-03 No Comments
Press release
Astral has confirmed what it announced in January – that profits for the first half of the financial year, to be announced later this month, will be down by between 87% and 92% from the same period last year.
The reasons are unchanged: market conditions are deteriorating due to “record high feed input costs, devastating levels of load shedding and the general decay of municipal infrastructure continuing to impact operational efficiencies and costs negatively”.
Astral said in January that chicken cost R2/kg more to produce than it was selling for. In addition, it has been spending R1 million a day on diesel for back-up generators. Astral is not alone – the whole poultry industry is “distressed” according to Izaak Breitenbach of the SA Poultry Association (SAPA). This is especially true for small-scale and independent family-owned producers.
And while the poultry industry is battling, chicken importers are advising the government to extend the suspension of new anti-dumping duties on chicken imports from Brazil and four European Union countries. In August last year Trade, Industry and Competition minister Ebrahim Patel agreed that these five countries had been dumping chicken here, that their actions were harming the local industry, and that anti-dumping duties were warranted.
However, Minister Patel cited concerns about food prices and decided not to impose those duties for 12 months. Now the Association of Meat Importers and Exporters (AMIE) has urged Minister Patel to keep that suspension in place rather than bring anti-dumping duties into force in August.
That advice is misguided and self-serving (chicken importers obviously want more imports), and Minister Patel should ignore it. The poultry industry is distressed, mainly because of load shedding, but dumping continues and Minister Patel should do nothing to add to the industry’s woes. In addition, he has undertaken in the poultry master plan to act against dumping and illegal trade.
The poultry industry objected to the suspension of anti-dumping duties against Brazil and the EU countries and called on Minister Patel to cut short the 12-month deferral. Now it is expecting him to implement those duties in August.
Poultry is a strategic national industry that feeds the nation. Astral’s problems show why poultry producers need his support.
Photo by Alexas_Fotos on Unsplash
Relevant Agribook pages include “Poultry and chicken farming“
Written by Louis Wessels, Chairman of the National Stock Theft Prevention Forum Stock theft is as old as man himself and is already mentioned in
Diesel is often the preferred energy for pump systems, particularly temporary sites. But electrical pumps can be a superior alternative.
Like 65 other countries South Africa will have general elections this year. 52 political parties are competing for the national vote. How is an electorate