The poultry trade has welcomed the Competitors Fee’s inquiry into the poultry worth chain. The fee introduced the investigation in February final 12 months, with the ultimate phrases of reference revealed within the Authorities Gazette on 30 September 2025.
Izaak Breitenbach, basic supervisor of the South African Poultry Affiliation’s Broiler Organisation, instructed Farmer’s Weekly that some media studies had incorrectly advised the inquiry was geared toward uncovering fraud amongst main producers.
“This isn’t a witch hunt. It’s an analysis of the complete worth chain, from genetics provide to retail, to establish obstacles to entry and alternatives for black financial empowerment,” he defined.
He added that the trade was dedicated to transformation, investing greater than R2,1 billion between 2019 and 2024 in expansions that created manufacturing alternatives for 20 black outgrowers (unbiased farmers contracted to produce bigger corporations).
“With out ongoing enlargement and funding, we are able to’t create alternatives for brand new entrants,” Breitenbach added.
He mentioned he hoped the fee could be smart when analysing the trade’s construction, as integration had turn into a key driver of effectivity and stability in a extremely aggressive market.
“South Africa’s poultry trade helps over 134 000 individuals throughout the worth chain. When the fee questions the position of huge, vertically built-in producers, the talk needs to be primarily based on proof, not ideology.”
He defined that built-in operations funded biosecurity coaching, maintained chilly chain and processing capability, and absorbed shocks such because the avian influenza disaster, throughout which they imported hatching eggs and stabilised provide with out state help.
Outgrowers additionally benefitted via entry to chicks, feed, veterinary assist, and assured offtake, whereas integrators carried a lot of the monetary and organic threat.
Breitenbach added that if the inquiry aimed to enhance competitors, it ought to deal with the actual constraints, resembling dumped imports, excessive feed prices, load-shedding, failing logistics, and animal illness.
“These pressures have performed extra to drive consolidation and restrict new entrants than integration ever has,” he mentioned.
“Somewhat than penalising scale, the fee ought to work with the [industry] to deal with these root causes and develop participation via blended finance; unbiased hatchery growth, the place viable; and incentives for provider and owner-operator programmes.
“South Africa doesn’t want a punitive inquiry that punishes success. It wants a sensible, evidence-based method that protects customers, strengthens funding, and helps transformation.”
In a press release, Astral Meals additionally welcomed the chance to interact in significant dialogue with the fee and spotlight the contribution of built-in poultry manufacturing to meals safety and job creation. The corporate reminded stakeholders that the inquiry was not an investigation into anti-competitive behaviour.
In accordance with the Authorities Gazette, the Poultry Market Inquiry would start 20 enterprise days after the publication of the ultimate phrases of reference, on a date but to be introduced. The ultimate report was to be accomplished inside 18 months of graduation, until prolonged by the Division of Commerce, Business and Competitors.
Particulars of the executive phases of the inquiry and collectively tips for participation can be found on the fee’s web site.
