The National Chamber of Milling is opposing Grain South Africa’s request for a maize import tariff review on the grounds that it will raise local milling and production costs.
In December last year, the maize farmers’ body requested that the International Trade Administration Commission (Itac) revise the current formula for the duty to protect drought-ravaged local farmers.
However, National Chamber of Milling executive director Boikanyo Mokgatle argues this will lead to higher prices that will burden consumers.
“We are vehemently opposed to instituting any attempt to put in a tariff,” Mokgatle was cited by Bloomberg news agency as saying. “Why do we need protection with a commodity that we are so self-sufficient with? We cannot shy away from the fact that it could actually end up being a cost to the consumer.”
The chamber’s members include Tiger Brands, Premier Foods and RCL Foods.