(Ecofin Agency) - Kevin Lovell, Chief Executive of the South African Poultry Association (SAPA) says his sector is currently battling for survival. Indeed, torn between a stiff competition from imported chicken and the century’s worst drought which impairs feed supply to poultry farms, the South African poultry industry is clearly struggling.

According to Reuters, South Africa has imported about 288,000 tons of poultry products in the first half of 2016. Main exporters include the European Union (45.5%) and Brazil (43.2%), the remaining portion coming from the United States.

However, despite its small share in South African imports, it is the USA that concerns the African nation the most. Truly, after losing a long wrestling match with Washington over poultry imports, South Africa opened in June its doors to about 65,000 tons of yearly poultry imports from the US. 

This situation is worrisome given that more than 1,000 jobs have already been lost in the sector in 2016. A figure which according to Kevin Lovell could grow to 5,000 by the end of the year.

So far, while twelve local small producers have closed and Astral, South Africa’s leading poultry producer, said it also had to cut jobs. Meanwhile, RCL Foods announced a 12% decrease in its annual profit due to oversupply and higher prices for poultry feed. 

Aaron Akinocho