Big change for peanut butter in South Africa

• The customs duty on imported peanut butter in South Africa will be increased from R0.99/kg to 20% ad valorem.
• The increase in customs duty is aimed at protecting local peanut butter production, which has been undermined by low-cost imports, particularly from India, resulting in a significant decline in domestic production and sales volumes.
• The new tariff is expected to better balance support for domestic producers with food affordability, as ITAC Commissioner Ayabonga Cawe hopes to avoid triggering price alarms among South African grocers and retailers.