DA welcomes public hearings on poultry industry

3 March 2017

The DA welcomes the decision by the Chairperson of the Trade and Industry Committee, Ms Joan Fubbs, agreeing to our request for public hearings on the local poultry industry.

These crucial hearings have now been scheduled for 15 March 2017 and will give Parliament an opportunity to engage in an open discussion with the entire poultry value chain, including local producers, importers, and retailers.

The debate over chicken imports has thus far been characterised by considerable acrimony, without enough effort by those involved, including Parliament and regulators, to understand the nuances of the issue.

It is neither wise nor economically sustainable to protect local industries that are not globally competitive. This was the economic isolation strategy pursued by the apartheid government, which created the bulky uncompetitive monopolies that still dominate the South African economy.

The only people who lose out in this scenario are the public at large, who pay more for the staple products that they need.

However, it is also true that globally competitive local industries must be able to compete in the world market on an equal and fair footing. If there is incontrovertible evidence that this is not the case, then there is a strong justification for short-term defensive tariffs to level the playing field.

The key point is that this is a matter that should be resolved by evidence, not by sloganeering and certainly not by deferring to well-resourced public relations campaigns and special interests.

The DA believes that these public hearings will give all key role-players in the poultry industry the space to make their position known and understood. We encourage the public, retailers, consumer bodies, producers, importers, farmers and other interested bodies to participate actively in the hearings.

Issued by Geordin Hill-Lewis, DA Shadow Minister of Trade and Industry, 3 March 2017