Minister 'pessimistic' over planned job cuts in poultry industry

Minister Rob Davies says government is doing its best to strengthen the poultry sector.

Picture: sxc.hu

JOHANNESBURG - Trade and Industry Minister Rob Davies says he’s 'pessimistic' that planned job cuts in the poultry industry can be avoided.

At least 1,300 people will lose their jobs at the country’s largest producer Rainbow Chicken next week.

This has been blamed on imports from the European Union at a cheaper price than locally produced chicken.

Rainbow Chicken has so far sold 15 of its farms in KwaZulu-Natal.

Davies says government is doing its best to strengthen the poultry sector.

“While we are talking about a much broader strategy to try and support the consolidation and strengthening of the local poultry industry, I think we do have to recoginse that there is a trade dimension. We have put in place a provisional safeguard measure under the EPA (Economic Partnership Agreement).”

(Edited by Neo Koza)