The poultry industry in South Africa is in a contradictory situation: it has the potential to create jobs, but government policies are holding back its growth. The country is struggling with a debilitating level of unemployment, but the industry that could help alleviate this crisis is constantly encountering obstacles.
An obvious instance of this is the government’s decision not to provide compensation to poultry farmers for the birds that were culled during bird flu outbreaks. This policy hurts investment, especially for small-scale farmers. Consider the scenario of a farmer facing the loss of their entire flock, which is a significant financial setback. Without support from the government, it is less probable that they will replenish their stocks, putting their means of living and the employment they offer at risk.
Not providing compensation is especially outrageous when taking into account the youth unemployment crisis in South Africa. Youth unemployment rates are often highest in rural areas, which are the main areas for poultry production. The government’s lack of support for poultry farmers is essentially ignoring a sector that has the potential to generate important employment opportunities for young people.
When comparing the government’s actions towards the poultry industry with their economic growth strategies, the latter appears to be mere empty words. Here we have an industry that is ready for substantial expansion, but instead of clearing the path, the government is creating obstacles. Halting the imposition of anti-dumping tariffs on imported chicken and suggesting unwarranted import refunds result in unjust competition for domestic manufacturers. These policies, along with inquiries founded on baseless presumptions about market control, only add to the industry’s financial burden and bureaucratic obstacles.
In 2019, the signing of the poultry master plan provided a hopeful vision for boosting industry growth and increasing exports. However, the story of its success has not been thoroughly documented. Even though there was an increase in local production capacity, the lack of demand within the country and limited opportunities for exporting means that this additional capacity is not being fully utilized. The government’s neglect to address the crucial issue of veterinary capacity for export certifications further hinders the industry’s potential to access profitable foreign markets. This lack of planning not only obstructs the creation of jobs but also restricts the possibility of attracting more foreign investment and fostering economic growth.
A recent gathering of industry executives and the Trade and Industry Minister provided a ray of hope. Nevertheless, there is still a lot of work that needs to be accomplished. A renewed emphasis is crucial for the success of the poultry industry, and consequently, the South African economy, to truly prosper. The main emphasis should be on resolving obstacles related to the government, simplifying regulations, and executing the poultry master plan efficiently. The alarming unemployment figures are a clear indication of the need for immediate action. Supporting industries such as poultry, which have a demonstrated ability to create jobs, is more than just about boosting the economy; it is about providing a path to employment for the many South Africans who are currently unable to find work.
Investing in the poultry industry does not result in a situation where one side’s gain is equivalent to the other side’s loss. By fostering an environment that promotes growth, the government has the potential to set off a chain reaction of positive outcomes. Ramping up production results in an expansion of employment opportunities, a higher disposable income for consumers, and ultimately, a stronger economy. The decision is obvious: either persist with short-sighted policies that hinder growth, or seize the potential of the poultry industry to create a better future for millions of South Africans.
