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Competition Commission invites comments on poultry industry market inquiry draft terms

Chickens

Photo by Bloomberg

9th February 2024

By: Schalk Burger

Creamer Media Senior Deputy Editor

     

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The Competition Commission will conduct a market inquiry into the poultry industry value chain, saying it has reason to believe there are features in the poultry market that may impede, distort or restrict competition.

It invites members of the public and interested stakeholders to make written submissions by March 8 on the draft terms of reference (ToRs) for the Poultry Market Inquiry (PMI) that were gazetted on February 6.

The draft ToRs are available on the commission's website. All submissions will be reviewed ahead of the publication of final ToRs.

Further, the PMI will also examine the participation of small and medium-sized enterprises and historically disadvantaged persons in the poultry industry value chain.

“Market outcomes in the poultry industry matter, as chicken meat and eggs are a key source of protein for the majority of South Africans, and particularly low-income households,” says Competition Commission chief economist James Hodge.

“A poultry market inquiry into the concentrated and integrated structure of the industry can complement other initiatives to improve the competitiveness of the industry to the benefit of consumers and smaller participants,” he adds.

The PMI will start 20 business days after the publication of the final ToRs, and the final report will be completed within 18 months.

Details on the administrative phases of the inquiry along with Guidelines for Participation will be made available on the Commission’s website once the final ToRs are published. At that point, members of the public and businesses will be invited to provide written representations and information to the inquiry, the commission says.

Edited by Chanel de Bruyn
Creamer Media Senior Deputy Editor Online

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