• Latest
  • Trending
  • All
  • News
  • Lifestyle
South Africa's poultry industry is working hard to gain new global markets but there are some blockages. Photo: Supplied/Food For Mzansi

South African poultry sector eyeing export growth

30th May 2022
South Africa's organic fruit industry needs some focused attention if it is to participate in the global market. Photo: Supplied/Food For Mzansi

What’s holding Mzansi’s organic fruit producers back?

4th Jul 2022
This week's Gather To Grow interactive session on Twitter has farmers and experts talking cabbage farming. Photo: Food For Mzansi

This week’s agriculture events: 04 July to 08 July 2022

4th Jul 2022
Farmworker rights came under the spotlight once again. Photo: Supplied/Food For Mzansi

Farmworker rights: Committee calls for clampdown

4th Jul 2022
This week on the Farmer’s Inside Track Weekend Edition, we take a closer look at the Master Plan for the Commercial Forestry Sector in South Africa. We’re joined by the executive director of Forestry South Africa, Michael Peter paints an intriguing picture.Photo: Supplied/Food For Mzansi

SA forestry: Dynamite on a small patch of land

3rd Jul 2022
The war on plant-based foods has erupted in South Africa. Photo: LikeMeat/Unsplash

War on veggie meat names ‘to protect consumers’

2nd Jul 2022
What to look for when formulating dairy cow rations

What to look for when formulating dairy cow rations

1st Jul 2022
Leave your comfort zone and make money, says foodie

Leave your comfort zone and start hustling, says foodie

1st Jul 2022
Recipe: Make Makile’s crispy chicken wings

Recipe: Make Makile’s crispy chicken wings

1st Jul 2022
Experts have warned farmers to prepare for another steep fuel price increase this month. Photo: Supplied/Food For Mzansi

Caught in a price spiral: Farmers brace for major losses

1st Jul 2022
Parts of the Western Cape, such as the Central Karoo, are still experiencing drought. Photo: Supplied/Food For Mzansi

Drought-burdened farmers receive R48m. in fodder

1st Jul 2022
Through his company, Iboyana agri farming, Mhlengi Ngcobo is changing the lives of youth and women in his community. Photo:Supplied/Food For Mzansi

Self-taught farmer doing his bit for the greater good

30th Jun 2022
Research has revealed that less than three in 10 farmers in the upper parts of Africa use technology. Photo: Supplied/Food For Mzansi

Technology not a priority for Africa’s smallholder farmers

30th Jun 2022
  • Home
  • News
  • Changemakers
  • Lifestyle
  • Farmer’s Inside Track
  • Food for Thought
11 GLOBAL MEDIA AWARDS
Mon, Jul 4, 2022
Food For Mzansi
  • Home
  • News
  • Changemakers
    • All
    • AgriCareers
    • Entrepreneurs
    • Farmers
    • Groundbreakers
    • Innovators
    • Inspiration
    • It Takes a Village
    • Mentors
    • Movers and Shakers
    • Partnerships
    Through his company, Iboyana agri farming, Mhlengi Ngcobo is changing the lives of youth and women in his community. Photo:Supplied/Food For Mzansi

    Self-taught farmer doing his bit for the greater good

    Reggie Kambule from Villiers in the Free State runs a 185 hectare farm where he breeds livestock and cultivates maize. Photo:Supplied/Food For Mzansi

    Engineer-turned farmer takes pride in good results

    Agripreneur 101: Sweet success for jam producer

    Agripreneur 101: Sweet success for jam producer

    Real Housewife turns passion for wine into a business

    Real Housewife turns passion for wine into a business

    David Mthombeni is building an agriculture empire for his family.Photo: Supplied/Food For Mzansi

    Farmer gets his hands dirty while building family empire

    Gauteng farmers give youth a leg-up in agriculture

    Women in farming give youth a leg up in agriculture

    Watch out, these young farmers are on fire!

    Watch out, these young farmers are on fire!

    Unati Speirs has vast experience in agri-business strategy and business funding and was recently appointed as a new board director for Hortgro. Photos: Supplied/Food For Mzansi

    Youngest Hortgro hotshot takes transformation to heart

    Prof Kennedy Mnisi a dedicated young man who wants to help livestock farmers with animal health education to prevent diseases. Picture. Supplied/ Food For Mzansi.

    Animal scientist works hard to earn top dog status

  • Lifestyle
  • Farmer’s Inside Track
  • Food for Thought
No Result
View All Result
Food For Mzansi

South African poultry sector eyeing export growth

Mzansi is stuck with a surplus of chicken breasts. Europe is stuck with a shortage, and willing to pay three times the local price. But experts at a recent discussion said while the opportunity is clear, the road to export growth is riddled with snags

by Tunicia Phillips
30th May 2022
in News
Reading Time: 5 mins read
A A
South Africa's poultry industry is working hard to gain new global markets but there are some blockages. Photo: Supplied/Food For Mzansi

South Africa's poultry industry has much work to do to gain access to new global markets - some blockages will have to be removed to pave the way for growth. Photo: Supplied/Food For Mzansi

South Africa has a large domestic poultry sector that is well placed to grow exports and to create employment in the country’s struggling economy. However, some industry players say, various barriers are limiting the sector’s potential ability to do so.

The South African Association of Meat Importers and Exporters (AMIE) hosted a media briefing last week (Thursday, 26 May 2022) where experts such as Dr Mpho Maja, director for animal health at the national agri department, Donald MacKay, founder and CEO of XA International Trade Advisors, and Paul Matthew, CEO of the AMIE, discussed this issue.

The AMIE believes the country is missing a massive opportunity because it does not meet the health and safety standards required by trade blocs such as the European Union (EU). The country currently exports 26 000 tonnes of chicken per year, with an export value of R622 million. This, according to the sector, is negligible compared to other food exports like citrus which exported 1.5 million tonnes of citrus, fetching R15.9 billion in export value last year.

ADVERTISEMENT

Even though the EU is not the only export market, the AMIE says getting into that market will make entry into other markets easier.

“What’s more, is that South Africa has duty-free status in the EU, which means it pays no duties to sell its products there. The EU has already said that it will buy South African products once the country meets the required health and safety standards,” said MacKay.

So what is blocking such a large domestic producer from reaching its export potential? One of the answers is in brine.

“Brining is particularly problematic, as it is prohibited in the EU and most of South Africa’s potential export partner markets,” he said.

Paul Matthew, CEO of the South African Association of Meat Importers and Exporters (AMIE). Photo: Supplied/Food For Mzansi
Paul Matthew, CEO of the South African Association of Meat Importers and Exporters (AMIE). Photo: Supplied/Food For Mzansi

South Africa’s local chicken now contains up to 15% brine after a 2016 legislation was passed. At the time, authorities found that domestic chicken pieces contained up to 60% water. 

“The EU will only import chicken products that are free from antibiotics, hormones, brine, and feed that contains animal by-products. South Africa will need to work hard to meet these requirements,” MacKay said.

On the country’s plans to grow exports, Matthew said the company intends on establishing a dedicated export task group to facilitate access to export markets and to provide processing capacity for cooked poultry products, which he believed was especially desirable in the EU.

“We are eager to work with our partners in government and with local producers to fast-track our country’s export potential,” Matthew said.

“Government plays a critical role in securing the necessary trade conditions for export, and local producers will need to urgently resolve the health and safety challenges required to meet the standards of potential export markets.”

Other panellists at Thursday’s briefing said that, among the things South Africa must urgently do to realise its export potential, are:

ADVERTISEMENT
  • gaining access to countries with whom South Africa has preferential trade agreements;
  • meeting the international health and safety standards and requirements of countries to which South Africa will export; and
  • for local producers to reorient their operations to extract value from certain poultry cuts in markets that will pay a premium for them. 

Enormous opportunity to grow exports

One of the key requirements of South Africa’s 2019 Poultry Master Plan is for the poultry industry to grow the export of local products. 

“While there is enormous opportunity to do so, there is very little progress in this regard,” Matthew continued.

The industry’s existing technical efficiency must be paired with a renewed strategy to enter the global market. The benefits for local producers could be enormous. In the EU and other export markets, certain cuts fetch a premium whereas SA “cuts up a whole chicken and puts it into a bag, selling all the pieces at the same price,” the organisations said in a statement.  

In a 2020 report, the South African Poultry Association said producers should be able to realise higher prices for dark meat cuts domestically, but are unable to do so in the face of large volumes of imported cuts from the EU and, more recently, from the US and Brazil. Despite anti-dumping quotas and tariffs on chicken meat imports, the association said these tariffs have done little to deter the dumping of bone-in portions on South African shores.

Donald MacKay, founder and CEO of XA International Trade Advisors. Photo: Supplied/Food For Mzansi
Donald MacKay, founder and CEO of XA International Trade Advisors. Photo: Supplied/Food For Mzansi

“The EU imports 900 000 to 1 million tonnes of chicken breast per year, and it was buying that breast for about 6 Euros per kilogramme in March 2022. South African producers, who have a surplus of chicken breasts, are selling their breasts locally at a third of that price, so the upside for local producers is enormous,” said Mackay.

Part of developing a premium export product market, would involve the production of cooked chicken, which is in high demand in certain markets, including the EU. The AMIE said that a number of South African processors already have the required facilities set up to meet this need.

 “There is enormous upside economic value if local producers reorient their operations to extract value from product preferences and price premiums in the different markets,” Matthew said.

With South Africa’s unemployment rate at 35.3% and youth unemployment at a staggering 65.5%, the poultry sector is confident that an increase in production capacity across large, medium to small enterprises is “an opportunity that must not be overlooked”.

ALSO READ: How chicken imports influence our own production

Sign up for Mzansi Today: Your daily take on the news and happenings from the agriculture value chain.

Tags: Chicken importsEuropean Unionpoultry industrySouth African association of meat importers and exportersXA International Trade Advisors
Previous Post

Black raisin farmers to benefit from R28 m. investment

Next Post

September vows to change the lives of farmworkers

Tunicia Phillips

Tunicia Phillips

Related Posts

In this episode of the Farmer's Inside Track weekend edition, we take a closer look at South Africa’s Poultry Sector Master Plan with Izaak Breitenbach from the South African Poultry Association. Photo: Supplied/Food For Mzansi

Weekend podcast: Progress on the poultry master plan

by Vateka Halile
19th Jun 2022
0

FARMER'S INSIDE TRACK: There's a lot to be upbeat about when placing Mzansi's poultry sector under the spotlight. Since the...

Annita Mutoni is a young poultry farmer in Rwanda, and is finding her stride within the industry. Photo: Supplied/FoodForAfrika.com

Rwandan poultry farmer follows in father’s footsteps

by Noluthando Ngcakani
14th Jun 2022
0

In awe of her dad's passion for the land and farming, it was no surprise when Annita Mutoni quit her...

Chicken imports negatively impact on job creation and economic growth in South Africa, warn FairPlay. Photo: AP/Rich Pedroncelli

How chicken imports influence our own production

by Moses Lubinga
7th May 2022
0

Chicken meat is one of the most sought-after sources of protein, and Mzansi imports a lot of it. Senior economist...

FairPlay is renewing its call for Value Added Tax (VAT) in South Africa to be removed from most chicken portions to help counter the rise in food inflation. Photos: Supplied/Food For Mzansi

Cheap chicken dumping continues to hurt local farmers

by Zolani Sinxo
4th Apr 2022
0

Provisional anti-dumping duties did little to help local poultry farmers and Mzansi needs a sweeping investigation into imported chicken that...

Next Post
Audrey September was crowned as the best agriculture worker at the Western Cape’s Prestige Agri Awards in 2021. Photo: Supplied/Food For Mzansi

September vows to change the lives of farmworkers

This week on the Farmer’s Inside Track Weekend Edition, we take a closer look at the Master Plan for the Commercial Forestry Sector in South Africa. We’re joined by the executive director of Forestry South Africa, Michael Peter paints an intriguing picture.Photo: Supplied/Food For Mzansi
Farmer's Inside Track

SA forestry: Dynamite on a small patch of land

by Vateka Halile
3rd Jul 2022
0

FARMER'S INSIDE TRACK: Tiny fractions, huge dividends. That pretty much sums up South Africa's forestry sector. Operating on less than...

Read more
The war on plant-based foods has erupted in South Africa. Photo: LikeMeat/Unsplash

War on veggie meat names ‘to protect consumers’

2nd Jul 2022
What to look for when formulating dairy cow rations

What to look for when formulating dairy cow rations

1st Jul 2022
Leave your comfort zone and make money, says foodie

Leave your comfort zone and start hustling, says foodie

1st Jul 2022
Recipe: Make Makile’s crispy chicken wings

Recipe: Make Makile’s crispy chicken wings

1st Jul 2022

Farmworker rights: Committee calls for clampdown

Engineer-turned farmer takes pride in good results

Beef up your understanding of SA’s red meat industry

Technology not a priority for Africa’s smallholder farmers

Drought-burdened farmers receive R48m. in fodder

Safety summit: Will it be a turning point?

THE NEW FACE OF SOUTH AFRICAN AGRICULTURE

With 11 global awards in the first three years of its existence, Food For Mzansi is much more than an agriculture publication. It is a movement, unashamedly saluting the unsung heroes of South African agriculture. We believe in the power of agriculture to promote nation building and social cohesion by telling stories that are often overlooked by broader society.

What’s holding Mzansi’s organic fruit producers back?

This week’s agriculture events: 04 July to 08 July 2022

Farmworker rights: Committee calls for clampdown

SA forestry: Dynamite on a small patch of land

War on veggie meat names ‘to protect consumers’

What to look for when formulating dairy cow rations

  • Our Story
  • Contact Us
  • Cookie Policy
  • Privacy Policy
  • Copyright

Contact us
Office: +27 21 879 1824
WhatsApp line: +27 81 889 9032
Marketing: +27 71 147 0388
News: info@foodformzansi.co.za
Advertising: sales@foodformzansi.co.za

No Result
View All Result
  • Home
  • News
  • Changemakers
  • Lifestyle
  • Farmer’s Inside Track
  • Food for Thought

Copyright © 2021 Food for Mzansi

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
Go to mobile version