Tariffs have become a contentious issue across many sectors in South Africa, and the poultry industry is no exception.
Underpinning this challenge is a deeper, systemic concern: the country’s tariff investigation process has slowed to a virtual standstill, undermining the responsiveness of its trade system and putting the health of its industries at risk.
Investigations Dragging Far Beyond Official Timelines
According to the latest report by XA Global Trade Advisors, ominously titled “The Tariff Zombies,” import duty investigations now take an average of 27 months to complete.
This is more than four times the official target of six months, with the oldest unresolved case lingering for nearly six years.
The International Trade Administration Commission of South Africa (ITAC), the body responsible for these investigations, is facing a growing backlog.
In fact, 80 percent of open cases are older than six months, and more cases are being added each year than are being resolved.
Delays Impact Businesses, Jobs, and Consumers
Donald MacKay, CEO of XA Global Trade Advisors, warns that this backlog is not just a bureaucratic inconvenience.
It has real-world consequences for businesses seeking relief from unfair competition, for workers whose jobs depend on responsive trade policy, and for consumers who bear the cost of outdated duties.
MacKay emphasises that the delays are no longer primarily due to ministerial bottlenecks. Instead, ITAC itself is taking longer to complete investigations, averaging 18 months per case.
Evergreen Protection and Outdated Tariff Codes
This inefficiency is particularly troubling in sectors like poultry, where trade dynamics shift rapidly.
South Africa imports chicken to fill a 15% gap in domestic consumption, with local production unable to meet demand.
In 2024, the country imported 398,000 tonnes of chicken, of which 239,000 tonnes was mechanically deboned meat (MDM), which is not produced locally.
Yet, despite the need for imports, duties remain high. Bone-in portions from the USA, Brazil and Argentina face a 62% Most Favoured Nation (MFN) tariff.
The MFN duties increase in 2020, implemented to allow local producers to expand and develop exports, were due for review within three years but remain unchanged after five years.
These duties are applicable to chicken imports from all countries except the EU, the UK and SADC nations.
Most Favoured Nation (MFN) Duties (Effective 2020) |
|
| Frozen bone-in portions | 62% |
| Whole frozen chicken | 82% |
| Frozen boneless portions | 42% |
| Frozen carcasses | 31% |
| Frozen offal (heads, livers, feet) | 30% |
Anti-dumping duties apply to specific countries after applications by the SA Poultry Association (SAPA) in collaboration with ITAC.
Anti-Dumping Duties (Tariffs renewed every 5 years)
| Country | Tariff Rate | Product Scope | Effective Year |
| United States | R9.40/kg | Bone-in portions | 2000 |
| United Kingdom | 30.99% | 2015 | |
| Netherlands | 22.81% | 2015 | |
| Germany | 73.33% | 2015 | |
| Brazil | 3% – 265% | 2023 | |
| Denmark | 7% – 67% | 2023 | |
| Ireland | 2% – 37% | 2023 | |
| Spain | 7% – 85% | 2023 | |
| Poland | 2% – 96% | 2023 |
In 2015, as a condition for the approval of the AGOA trade agreement, the US negotiated a quota of bone-in chicken portions which could be imported into South Africa free of anti-dumping duties.
The anti-dumping duty-free quota is currently 72,000 tonnes per annum, but according to the USA Poultry & Egg Export Council (USAPEEC), US exporters have consistently underutilised their 72,000-tonne quota.
In 2023, only 44,421 tonnes were shipped. In 2024, that figure dropped to 12,909 tonnes. For the first half of 2025, just 2,005 tonnes were exported.
The sharp decline in exports is not due to market saturation or aggressive pricing.
It stems from two key factors: the 2022 outbreak of Highly Pathogenic Avian Influenza (HPAI) in the US, and South Africa’s decision to raise its Most Favoured Nation (MFN) duty on bone-in portions from 37% to 62%.
R97 billion Reasons for Underperformance?
The “Tariff Zombies” report reveals that between July 2024 and June 2025, South Africans paid R103 billion in duties across 3,607 tariff codes.
Alarmingly, 3,377 of these codes were last reviewed before 2005, accounting for R96.8 billion in duties. This means only 6.4 percent of tariff codes attracting duties have been reviewed in the past 20 years.
Such “evergreen protection” distorts the market, shielding outdated industries and penalising consumers.
Rebates Over Reform: A Misguided Strategy
Instead of addressing the root problem, companies are increasingly encouraged to apply for rebates rather than duty reductions.
MacKay criticises this approach, arguing that it adds complexity and administrative burden without solving the underlying issue.
Rebates may offer temporary relief, but they leave the original duties intact, perpetuating inefficiencies and discouraging reform.
International Trade Relations Under Pressure
The implications extend beyond poultry. South Africa’s broader trade relationship with the United States is under strain.
In August 2025, the Trump administration imposed 30% tariffs on a range of South African goods, including metals, vehicles, and chemicals.
The future of the African Growth and Opportunity Act (AGOA), which provides duty-free access to the US market, is uncertain. South Africa has proposed concessions, including simplifying US poultry exports and opening its market to American blueberries, in hopes of salvaging the agreement.
However, trade experts warn that these efforts may be too late. Negotiations have stalled, and the US appears increasingly disengaged from Africa.
A Call for Swift and Decisive Reform
In this context, the inefficiencies at ITAC are not just a domestic issue. They undermine South Africa’s credibility in international negotiations and its ability to respond to global trade shifts.
If tariff investigations continue to drag on for years, South Africa risks locking itself into outdated protectionist policies while its competitors adapt and thrive.
To restore agility and fairness to the system, MacKay urges ITAC to make hard decisions: approve or reject applications swiftly and remove duties where no local manufacturing exists.
This would not only clear the backlog but also ensure that trade policy reflects current economic realities.
Conclusion: Trade Policy Must Serve the Present, Not the Past
South Africa’s trade policy must balance protection with pragmatism. Evergreen duties and ‘zombie’ investigations serve no one. They inflate costs, stifle innovation, and erode trust in the system.
Whether negotiating with global partners or supporting local industries, South Africa needs a tariff regime that is responsive, transparent, and grounded in present-day data.
With food security, job creation, and international competitiveness on the line, reforming the tariff investigation process is a high-stakes reform imperative for South African industries and consumers.
