Extra Duties Will Not Lift Frozen Chicken Prices15 July 2014
SOUTH AFRICA – Provisional duties on chicken from Germany, the Netherlands and UK are unlikely to cause any sudden rise in poultry prices.
Frozen chicken prices are expected to remain ‘unchanged’, despite the extra cost added onto frozen bone-in chicken from European countries, according to Business Report.
South African Poultry Association chief executive Kevin Lovell said yesterday that prices would be affected only in a few months, if at all.
However, David Wolpert, chief executive of the Association of Meat Importers and Exporters of SA, said no immediate price increases were expected, but “'protectionism always results in price increases'.
The International Trade Administration Commission of SA introduced the provisional duties – ranging from 22 percent to 72 percent – on frozen bone-in portions last week as a measure against dumping, pending the findings of an investigation into this suspected practice.
The commission launched its probe after finding evidence that suggested that frozen chicken was being imported at dumping prices into South Africa, Botswana, Namibia, Lesotho and Swaziland.
Mr Lovell said the duties would neutralise the unfair competition from Germany, the Netherlands and the UK.
ThePoultrySite News Desk