Call for new duties on frozen chips to be suspended
A trade expert has called for the new duties on frozen chips to be dropped immediately as potato prices are set to increase.
Donald MacKay has been explaining the new duty costs and the impact they are having on the South African market.
"This is already having a detrimental impact on the cost of fries, the price of which has increased by 88% over the last year from R16 per kg in 2021 to R30 per kg in 2022."
In July, the International Trade Administration Commission imposed provisional anti-dumping duties on frozen potato chips imported or originating from Belgium, Germany and the Netherlands.
MacKay says this pushes up food prices and goes against the public's best interest.
"Remember that fries make up a large part of food servings sold by restaurants and takeaways, especially the ubiquitous South African kotas and Gatsbys sold by quick-service food outlets in our townships."
He's added that it's time to take a hard look at the trade policy, weighing its impact against the rising cost of living.
"Consequently, two things need to happen: firstly that the new duties on fries be suspended immediately, and secondly that a comprehensive review is done on the impact of import duties on inflation, especially the cost of food."
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