Avian flu takes toll on egg prices

Photo: AP

Photo: AP

Published Nov 28, 2017

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Cape Town - Consumers are starting to feel the pinch of shortages caused by the outbreak of avian influenza in the province.

For instance, the price of 18 eggs has jumped from R38.42 in September to R42.66 in October, and as much as R50 this month.

Culling has been so widespread, early estimates project R800 million in immediate production losses to the poultry industry.

This includes the immediate cost of production losses of both hens and eggs, and does not include additional costs of labour and materials to do composting, according to Economic Opportunities MEC Alan Winde.

There are currently 68

confirmed cases of highly pathogenic avian influenza (HPAI) in the Western Cape.

There have been no new infections at commercial poultry farms since October 18.

Poultry SA chairperson Achmat Brinkhuis said: “The morale in the industry is low, but the farmers are very strong, they are standing up.

“Some of the farmers are already stocking new birds because you have to wait for a certain period before you get a clearance certificate from the vets. We are on our way to recovery but it is going to take some time.”

He said he could not comment on egg prices, but said it would take no less than a year for the industry to recover.

“The impact will be with us for some time. Within a year we should be seeing an improvement but it depends on whether the farmers get certificates to stock again.

“We are still in negotiations with the government.

“This is something new for us and the government. We have never had this. We are working our way through,” Brinkhuis said.

Agri Western Cape chief executive Carl Opperman said the price of a product would increase whenever there was a shortage and greater demand.

“The impact of avian flu includes the enormous pressure on the cash flow of producers, and the financial losses that need to be recovered, jobs losses and the loss of income.

“It also has an influence on the value chain that needs certain products, and the financial losses will have to be recovered over a period of time,” said Opperman.

New avian flu infections in the Western Cape have come to a halt.

Winde said: “State vets are working with farms to disinfect their chicken houses so that they can start restocking. Common practice is for sentinel birds to be placed in houses as a method of detecting any trace of the virus.

“Some farms are already testing sentinels, and early reports show that they remain virus-free.

“While I am happy with this progress, restocking is not a process that must be rushed. If we rush it, we run the risk of reinfection, and the need to cull again.”

He added that the industry was looking at proactive risk management plans since the infection rate had started tapering off.

“This was the first time our industry was hit by HPAI. The industry is already looking at risk management lessons that can be learnt from this outbreak.”

State vets have put the following in place in respect of restocking:

Farms are advised to have a full biosecurity audit on the property performed by a veterinarian, and address all recommendations and concerns arising from this audit before restocking the farm with poultry.

The property will still be under quarantine and no birds or products may be permitted to leave the property until the quarantine is lifted.

The owners must sign that they understand that restocking at this stage is at their own risk and no compensation or incentive will be paid if the birds must be culled due to HPAI.

Clinical surveillance on the sentinels or restocked poultry must be undertaken during this period.

If, after the full 42 days since the first disinfection, the state veterinarian is satisfied that the property is free from HPAI, the quarantine may be lifted.

The Bureau for Food and Agricultural Policy will release its detailed impact assessment next month.

Cape Times

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