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IOL News
4 days ago
- Health
- IOL News
South Africa faces poultry supply concerns amid Brazilian import ban
Farming associations and agricultural associations have raised concern about the impact of the Department of Agriculture's ban on chicken from Brazil due to an avian influenza outbreak. Image: supplied South Africa is grappling with potential food insecurity this winter after the Department of Agriculture's has banned chicken from Brazil due to an avian influenza outbreak. The ban, effective since May 15, 2023, halts imports of live poultry, eggs, and fresh or frozen poultry meat, raising alarms over the supply of mechanically deboned meat (MDM) and poultry offal critical for affordable processed meats like polony, viennas, and sausages. The Association of Meat Importers and Exporters warned on Wednesday of serious economic and food insecurity consequences for South Africa as a result of the recent outbreak of Avian Influenza (HPAI) in Brazil. 'Local producers cannot, and will not be able to meet the gap in supply of poultry offal (feet, gizzards, and skins) and MDM, driving up prices and threatening the affordability and accessibility of basic protein for millions,' it said. Georg Southey, the manager at Merlog Foods, said on Wednesday said there is likely to be a shortage of 400 million meals per month, which equates to seven meals per person per month across the country. Two weeks of import shipments have already been wasted, and a further 100 million meals will be lost every week if the government continues with business as usual. Southey added that the country has only 2.5 weeks of food reserves in some key categories. 'This will have devastating consequences for food security and exacerbate a dreadful reality that estimates suggest over 30% of South African households in at least four provinces already have inadequate food and often go hungry,' he added. Video Player is loading. 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Advertisement Next Stay Close ✕ Ad Loading Arnold Prinsloo, CEO of meat producer Eskort, noted that MDM from Brazil is used by Eskort and its competitors to make polony, viennas, Russians, and Braaiwors. "Production lines will come to a standstill before the end of June if the ban on Brazilian chicken is not lifted. This will deprive South Africa's most vulnerable citizens of more than 400 million low-cost meals per month,' he said. Prinsloo added that vulnerable families and thousands of school feeding schemes rely heavily on polony, and there is a real danger of widespread hunger and malnutrition if Eskort and its competitors cannot sustain supplies. 'The Department of Agriculture, which imposed the Brazil ban on 15 May, should follow the example of Namibia and Mozambique by narrowing the ban to chicken from Rio Grande do Sul, the only state affected by avian flu. The rest of Brazil can be regarded as safe, and a pragmatic and proactive decision to accept imports on that basis will go a long way to heading off the looming crisis in South Africa.' However, Izaak Breitenbach, the CEO of the South African Poultry Association, offered a counterpoint, suggesting the impact on poultry meat supply may be overstated. 'South Africa imports a reduced volume of chicken meat from Brazil, and local production can ramp up quickly, especially as demand typically dips this time of year,' Breitenbach said. While acknowledging a shortage of MDM, which is predominantly imported from Brazil, he noted that South Africa produces minimal MDM domestically and may shift imports to countries like Thailand. 'There will not be a shortage of chicken meat, but MDM supply will be constrained,' he clarified. Investment analyst Anthony Clark from Smalltalkdaily Research said that America and Europe have also reported avian influenza outbreaks. 'Brazil is the biggest exporter of poultry products into South Africa. They have a market share of around 80%, so it is concerning that there is a ban on their products. This means that there is very little chicken coming into this country. However, products that are coming in from Brazil are MDM which goes into processed meat such as polony, viennas, and Russians. The other products that are still coming in from Brazil are chicken offals such as carcasses, heads, and livers.'
The South African
5 days ago
- Health
- The South African
Chicken crisis in South Africa: Here's why offal prices have skyrocketed
The Association of Meat Importers and Exporters (AMIE) has warned of serious economic and food insecurity consequences for South Africa as a result the recent outbreak of Avian Influenza (HPAI) in the Brazilian state of Rio Grande do Sul. Local producers cannot, and will not be able to meet the gap in supply of poultry offal (feet, gizzards, and skins) and mechanically deboned meat (MDM), driving up prices and threatening the affordability and accessibility of basic protein for millions. Brazil is the world's largest exporter of poultry products, and accounts for 73% of poultry (excluding MDM) imported by South Africa, including frozen bone-in chicken and offal (feet, livers, necks and carcasses). It also exports 92% of all MDM imported to South Africa, with a monthly average of 18 000 metric tons over the past year, which is vital in the production of processed meat products. Imameleng Mothebe, CEO of AMIE, says, 'Chicken offal and MDM are not luxuries. They are foundational to school feeding programmes, and the production of processed meats which are the most affordable proteins for low-income households. Ultimately, Brazilian MDM is the source of over 400 million poultry-based meals per month for South Africa. 'Whilst we appreciate the commitment by SA poultry producers to increase their production by four million birds per month during the closure of Brazil poultry exports, the fact is that local producers alone cannot fill the gap in the production of offal and SA effectively does not produce MDM at commercial scale. In addition, alternative international markets also do not have the scale or available supply of the product mix to replace Brazil's exports to South Africa.' The table below of official South African import statistics per month, indicates the number of chickens required per category to meet local demand for offal. Cut Description Average Metric Tonnes (Mt) Imported from Brazil Per Month Estimated Number of Chickens required Chicken Feet 4 071 54 million Chicken Livers 467 10 million Chicken Gizzards 1 505 31 million Using the estimated output of an additional four million birds a month from local producers, and bearing in mind that the local industry will not be able to produce any additional MDM, the following shortfalls in offal per month will remain: Chicken feet – 3 773 MT tonnes per month Gizzards – 1 315 MT tonnes per month Livers – 287 MT tonnes per month. Mothebe said, 'Without urgent action to put in place a regionalisation agreement with Brazil, which would allow for the import of products from areas not affected by the outbreak, price increases and food shortages for consumers, and job losses for local manufacturers of processed meats who employ over 125 000 workers, will follow.' The economic impact of the shortfalls are already being felt in the market, warns Mothebe. With the current shortage of MDM, processed meat producers are facing cost surges as inventory levels are thinning, and shelf prices are starting to reflect this reality. MDM prices have surged from R13 to R31/kg, while offal like gizzards and skins have seen double-digit increases. These increases will be compounded by rising input costs, especially with the recently announced fuel levy hike in the national budget, which adds inflationary pressure across the value chain. This pressure will inevitably be passed on to consumers, resulting in food affordability pressures for the majority of the consumers. Mothebe says, 'We support government continuing engagements with Brazil towards regionalisation, a concept that demarcates affected areas whilst the rest of the country remains open. Regionalisation is widely accepted and supported by the World Organisation of Animal Health (WOAH), especially in light of the ongoing global diseases phenomenon.' Many countries are currently concluding regionalisation agreements with Brazil and therefore will soon be re-opening their markets to Brazilian imports. This week Namibia announced the re-opening of poultry imports from Brazil as a result of concluding regionalisation agreement between the two countries. Mothebe says, 'We urge that the conclusion of engagements between South Africa and Brazil are expedited, to minimise the impact on the South African economy and consumers alike. 'The current situation is not just a trade issue, it's about protecting jobs, businesses, consumer affordability and food security'. Let us know by leaving a comment below, or send a WhatsApp to 060 011 021 1 Subscribe to The South African website's newsletters and follow us on WhatsApp, Facebook, X and Bluesky for the latest news.
eNCA
20-05-2025
- Business
- eNCA
Brazil bird flu outbreak sparks fear of ban
JOHANNESBURG - Meat importers have their feathers ruffled over a possible ban on Brazilian poultry. It comes after an outbreak of Avian flu in the South American country. They say government should only target affected areas and not cull the whole country. Brazil accounts for 84 percent of all poultry imports. CEO of the Association of Meat Importers and Exporters, Imameleng Mothebe, says this outbreak will have a repelling effect on the South African economy.
IOL News
19-05-2025
- Business
- IOL News
Fears that full ban on Brazilian poultry imports could harm South Africa's poultry sector
The Association of Meat Importers and Exporters (AMIE) has called on the South African government to avoid imposing a blanket ban on poultry Image: Pixabay The Association of Meat Importers and Exporters (AMIE) has called on the government to avoid imposing a blanket ban on poultry imports from Brazil, following the recent outbreak of avian influenza in the South American country. IOL previously reported that calls are increasing for the government to temporarily suspend poultry imports from Brazil to protect South Africa's local poultry industry from the spread of the disease. AMIE has recommended that the government adopt a more targeted approach, restricting imports only from the affected regions in Brazil instead of halting all poultry shipments from the entire country. The association pointed out that "this approach has already been announced by Japan, Saudi Arabia, the UAE, and the Philippines in response to the outbreak." 'A full ban on Brazilian poultry imports to South Africa will have devastating consequences for the South African poultry meat processors and consumers, particularly the most vulnerable in our society. "Imported poultry not only fills the country's poultry consumption gap, but also provides the necessary competition to ensure that prices are kept in check. Chicken is the most affordable protein source for many South Africans, and a disruption in the supply of poultry products, including bone-in chicken and mechanically deboned meat (MDM), will significantly drive up prices and impact food security.' AMIE CEO, Imameleng Mothebe, said. The association emphasised that Brazil supplies 92% of all imported MDM to South Africa, with an average of 18,000 metric tonnes imported monthly over the last year. "Additionally, Brazil accounts for 73% of all other poultry products imported into the country. South Africa does not produce commercial MDM locally, and there are no viable alternative markets to replace the volume currently imported from Brazil. "Adopting a regionalisation approach, in line with global best practices, would allow South Africa to continue importing safe poultry products from unaffected" Mothebe expressed concerns about what he described as the "slow pace of reopening other closed markets" by the government. He highlighted that the association was willing to work with the government to find a sustainable and balanced solution. "Poultry import markets in France, several US states, and the Netherlands remain closed to South Africa long after their respective outbreaks have been contained. This delay in decision-making places further strain on the local supply and drives up consumer costs" 'We are committed to engaging with the Government to find a sustainable and balanced solution that serves the best interests of South Africa,' concluded Mothebe. [email protected] IOL Business Get your news on the go, click here to join the IOL News WhatsApp channel
