Remove VAT on Poultry (Broiler & Layer) feed: South Africa

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The Issue

Greetings Dear Campaign Supporters, 

My name is Ade Camngca a small-scale free-range poultry farmer based in Jameson Park/Nigel, east of Johannesburg, South Africa (www.ruffledfeathers.co.za). What sparked my interest in this issue is informed by my own lived experience. Further, it's unfortunate that more often than not the contributions to GDP, employment and food security of micro and small-scale farmers are often overlooked. For example, currently, I employ one full-time employee and three part-time employees- whose livelihoods are dependent on the success of the enterprise. However, under the current climate (rising prices in global feed commodities, declining domestic economic performance and soaring unemployment rates- to mention but a few), the success of our enterprise hangs in the balance. 

The removal of VAT from feed would be a welcome move, which would allow micro, small and medium-scale farmers to thrive by using the money saved to either employ additional full-time resources or fund farm expansion- the possibilities are innumerable.

Here are some other reasons why this is a worthwhile cause to support: 

- There are at least +- 5000 small and medium-scale poultry farmers who stand to benefit from the removal of VAT from poultry feed for those who are broiler and layer farmers (collectively these farmers employ anywhere between 5000 - 15000 people; note further the unemployment rate in the first quarter of 2022 was 63.9% for persons between the age of 15 to 24 years and 41% for persons between the ages of 25 and 34 years). 

-  Why are poultry and broiler farmers identified? Well, poultry (meat and eggs) are the most accessible forms of protein for South Africans- when compared to other sources of meat. As such we restore the dignity of the most impoverished homes. 

- VAT-free feed (applied as a quasi-subsidy) won’t be vulnerable to mismanagement and will not involve the disbursement of government funds or taxpayers' monies.

- Feed accounts for between 65% to 75% of total production costs. 

- The frequent increases in feed prices (almost every other month) have put many promising young people out of business before they’ve even begun!
 

avatar of the starter
Ruffled Feathers Pharms Ruffled Feathers PharmsPetition StarterRuffled Feathers Pharms is a South African-based farm with the free-range philosophy at its centre.

The Decision Makers

Department of Agriculture, Land Reform and Rural Development
Department of Agriculture, Land Reform and Rural Development
South African Revenue Services
South African Revenue Services

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