THE POULTRY industry is ruffled at the granting of bail to three suspects arrested a week ago for fraud, corruption and contravention of the Customs and Excise Act by illegally importing 30 tons of chicken.
However, the sector has hailed these first anti-dumping arrests as a boost for the Poultry Master Plan which aims to grow and protect the local sector.
Suspects Nicolas and Nelita Correira were granted R50 000 bail while George Buco was given R20 000 bail. An additional charge of corruption relates to an offer of a R800 000 bribe the suspects made to the police after another consignment of four shipping containers of the illegally imported poultry meat products was uncovered. Illegal dumping of poultry is a major stumbling block to the development of the local industry besieged by the dumping of chicken from at least nine countries.
The arrests came on the heels of the International Trade Administration Commission in December initiating provisional anti-dumping duties ranging from 80 to 256 percent on specific chicken cuts originating from Brazil, Denmark, Ireland, Poland and Spain.
South African Poultry Association (Sapa) chairperson of the broiler board, Izaak Breitenbach, said: “We are grateful to the SA Revenue Service and the SAPS for their continued efforts in stamping out illegal trade practices. Sapa is a proponent of fair, legal trade.
“Illegal trade and tax evasion have a direct impact on South African jobs and the South African fiscus. It is a detriment to our farmers, our agricultural sector and our citizens.
“We hope to see even more action in identifying and apprehending criminals who attempt to exploit the South African marketplace,” he said.
Fairplay founder Francois Baird said the case before the courts highlighted the extent of dumping and the huge profit margins made from the selling of the dumped products in the local market.
“If they were willing to pay a bribe of R800 000, imagine what they profit in what they bring into the local market.
“We must bring more law to bear on this sector of the market. There is a realisation that government departments should work together, that state revenue is under threat from these kinds of actions,” Baird said. Fairplay’s general manager, Ashoek Adhikari, said the case indicated that the illegal dumping trade was co-ordinated, and South Africa as a market was strategic to the trade.
BUSINESS REPORT ONLINE