Report from Broiler Committee

REPORT OF THE BROILER ORGANISATION COMMITTEE Presented by Izaak Breitenbach MEMBERSHIP Membership of the Broiler Organisation currently stands at 44 producers. From our SAPA statistics this suggests that 70% of all broiler producers are members of SAPA. A concerted effort needs to be made to encourage more members to join our organisation. The Broiler Organisation Committee has approved a category of membership for contract growers and these growers are encouraged to become members of the organisation. COMMITTEE The term of office of the committee is three years and the committee members shall serve terms of three (3) years. The term of office of the current committee expires in 2011. The co-opting of members was done again this year to make the committee as representative as possible. The Broiler Organisation Committee therefore presently consists of the following members: Mr Charles Vauqulin (chair) Mr Izaak Breitenbach (deputy chair) Mr Theo Delport Mr Paul Apostolides Mr Steve Steenkamp Dr Louis Theron (co-opted) Mr Nell Wiid (co-opted) Mr Deon Fourie (co-opted) Mr Mike Davis (co-opted) INDUSTRY OVERVIEW The exceptionally high and growing demand that categorised 2006 to 2008, did not continue through to 2009, with SAPA estimating an increase of 0,8% in total broiler production from 2008 to 2009. The year has seen further expansion in the poultry market in South Africa, as producers gear themselves for future demand and to capitalise on economies of scale, and the advantage that volume brings to tight realisations. Chicken remains an affordable protein source relative to other meat protein sources. The average producer price for beef abattoir selling prices for class A2/A3 was R23,44 per kg in 2009, while the beef abattoir selling prices for Class C2/C3 was R19,58 per kg. The average price for 2009 for pork, all classes, was R15,65 per kg. In comparison with the other meat types, the total realisation (less all discounts, rebates and secondary distribution)...