• Market Watch

Bird flu disrupts market in SA

- 2023-10-05 00:00:00

Nick Wilson - Woolworths and Pick n Pay are rationing eggs to customers in a bid to ensure regular supply as South Africa's worst ever avian influenza outbreak continues to gather momentum.
Woolworths said in response to questions that it had "implemented a limit on whole egg purchases in our stores to six eggs per customer" while it worked with its farmers to "ensure regular supply returns as soon as possible".
This follows a News24 report at the weekend that detailed how retailers were scrambling to secure egg supplies as the outbreak of H5 and H7 strains of bird flu wreaked havoc in the poultry sector. Customers across Cape Town and Johannesburg, where the outbreaks have been especially bad, were noticing emptier egg shelves in supermarkets.
Woolworths said it was experiencing significant supply challenges "as was the case across the market", prompting the decision to limit the amount of eggs customers could purchase.

‘Temporary measure’
It said this was a "temporary measure", adding it appreciated the "patience and understanding our customers have shown during this time".
The group was rolling out signage about the rationing drive to all stores, including the group's online and Dash service.
It continued to monitor the bird flu situation both locally and internationally, it said, adding it was following strict biosecurity protocols to "protect our hens as best as we can".
Pick n Pay said it was also asking customers to "shop responsibly", adding it would "limit purchases to one or two egg packs per customer, depending on the region".
"We will continue to work closely with our suppliers to manage our stock so that we assist stores in areas where suppliers have been affected," it added.
South Africa's largest retailer. Shoprite said it was not rationing eggs and had "no plans to do so at present".

Government
The avian influenza crisis also prompted Thoko Didiza, minister of agriculture, land reform and rural development, to meet with retailers on Monday to discuss its impact on South Africa.
Her department said in a statement the meeting with retailers followed one with the South African Poultry Association last Friday.
The department said it was evident from its meeting with retailers that the main challenge was on the production side, with supply constraints in some South African regions.
"In response to this challenge, the minister is focusing on measures to improve the availability of egg supply to consumers and simultaneously putting measures to contain the spread of the disease.
“Moreover, the minister is embarking on the efficiency improvement in issuing import permits for egg products to ensure sufficient supplies for consumers."

Vaccination
The department said Didiza was also considering the possibility of vaccination and reviewing applications by various suppliers.
It said the minister briefed retailers at the meeting on containment measures taken to limit the disease's spread, as well as possible short- and long-term solutions to manage outbreaks, including vaccination.
As far as the broiler segment of the poultry sector was concerned, Didiza, along with trade, industry and competition minister Ebrahim Patel, were "assessing some trade instruments to ease the supply of chicken meat". – Fin24