Poultry producer on the ropes as government services collapse

Staff Writer | Jun 26, 2019
Astral Foods, which is a major South African chicken producer, is on the ropes and may have to cut jobs and production following the failure of local municipalities to provide services as simple as water to its production facilities.

Astral’s CEO, Chris Schutte, told local media in South Africa that: 'I am flabbergasted that government structures are fixated with the concepts of a fourth industrial revolution, and now bullet trains and mega-cities, while they are unable to provide basic services.'

Schutte’s remarks followed comments by South Africa’s President, Mr Cyril Ramaphosa, that his government would commence a programme of building 'bullet trains' and space-age smart cities even as existing rail infrastructure collapses and cities crumble.

Many South African towns and cities face routine water and electricity interruptions, as  corruption and the misguided and rigid application of racial employment codes and targets undermine the functional capacity of local government structures across the country.

South Africa’s economy contracted by 3.2% in the first quarter of the year and is now one of the slowest-growing economies on the African continent. Over half of young people in the country are jobless. Its government is deeply corrupt and announced last year that it would seek new powers to confiscate private property without compensation.     

 

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