US, South Africa finally settle poultry flap

The United States and South Africa on Thursday finally resolved issues that will allow American beef, poultry and pork to flow into the nation.

U.S. Trade Representative Michael Froman said trade teams from both countries reached a deal addressing technical issues nearly seven months after the United States and South Africa agreed to break down long-standing tariff barriers that essentially blocked American exports. 

{mosads}“This agreement is a positive outcome for both our countries, helping to deepen our trade and investment relationship and to lay the foundation on which we can build that relationship further,” Froman said.

“While we celebrate the progress we have made in resolving the outstanding technical issues, the true test of our success will be based on the ability of South African consumers to buy American product in local stores,” he said. 

South Africa could start receiving U.S. meat exports within a month.

Froman said that the agreement will reserve a portion of the poultry trade for historically disadvantaged importers, providing new business opportunities that could boost South Africa’s economy.

Sens. Chris Coons (D-Del.) and Johnny Isakson (R-Ga.), co-chairmen of the Senate Chicken Caucus, applauded the announcement that will  enable U.S. poultry to be imported into South Africa, eliminating a 100 percent tariff on U.S. chicken that South Africa implemented back in 2000.

“South Africa’s decision to finally fulfill the obligations of the settlement reached last summer means that after more than 15 years of illegal anti-dumping duties and unfair trade policies, American poultry will finally be able to enter the South African market,” Coons and Isakson said in a statement.

Since the settlement was reached in June, South Africa was slow to fulfill the obligations agreed, including the commitment to resolve sanitary barriers to poultry.

In November, Isakson and Coons expressed concern that South Africa missed an Oct. 15 deadline for issuing the health certificate and removing the tariff.

That same month, President Obama issued a 60-day notice of his intent to suspend African Growth and Opportunity Act (AGOA) benefits for South Africa’s agricultural products if the nation failed to eliminate trade barriers on the U.S. products.

“We will be working to ensure that this final benchmark of entry of poultry is achieved so that South Africa continues to have the advantage of full AGOA benefits, including by working with the U.S. and South African industries to expedite the shipment of eligible product as soon as possible,” the senators said.