Anthony Nwakaegho/NaijaAgroNet
The Congress of South African Trade Unions (COSATU) has commended the Department of
Trade and Industry (DTI) decision to increase tariffs on selected chicken
imports.
The Union revealed that the tariffs are important
to guarantee jobs and food security as the poultry industry directly employs 48
000 employees with another 60 000 indirectly employed in supporting the sectors.
NaijaAgroNet
discovered that South Africa is increasing the tariff to ensure that jobs are
sustained since it does not depend on imports for basic necessities such as chickens
and would not allow imported products to be sold at lower prices than local
chickens.
“A protected
market for local producers should be accompanied by conditions, including
creation of decent jobs and the five companies have claimed that 11 995 direct
jobs and 14 892 indirect jobs are likely to be created when tariffs are imposed
to their maximum rates of 82 percent.
“We should eat what we produce and should encourage
production- and not consumption-led growth. By supporting producers the
government is supporting creation of jobs on a sustainable basis. Most imported
products are imported at lower prices in order to reduce the tax on imports and
to destroy local industries.
Once the imported products have obtained a
significant market share they would start to raise prices,” COSATU said.
Prior to this determination, NaijaAgroNet learnt there was a dispute
between importers and producers and COSATU
commended the Minister in choosing the side of the producers, as required by South
Africa`s industrial policy framework.
