By Benadetta Chiwanda Mia:
Small and Medium Scale Poultry Farmers Association Chairperson Michael David Phiri has described the K50,000 business licence fee for poultry distributors as exorbitant for small-scale operators.
The association has called on the Ministry of Trade to revise the licencing fees to reflect the size of the businesses involved.
It follows enforcement of the amended Business Licencing Amendment Regulation of 2024 by the Ministry of Trade and Industry.
Effective May 31 2024, the amendment introduced new licensing fees, including introduction of mandatory licenses for poultry and sugar distributors.
A statement from the Ministry of Trade dated January 30, emphasised that no individual or entity shall conduct business, whether regulated or unregulated, without a valid business license, as per the Business Licence Act.
“Failure to comply with this regulation will result in severe penalties, including the closure of shops and the impoundment of vehicles transporting poultry,” the statement reads.
Under the amended Act, poultry distributors are now required to pay a K30,000 application fee in addition to the K50,000 licence fee.
This development has sparked concern among smaller operators.
Phiri argued that the current fee structure fails to take into account the diverse scales of operation within the poultry market.
Ministry of Trade spokesperson Patrick Botha said enforcement of the regulations aims to establish order in the market.
“Licenses for poultry and sugar distributors were introduced due to the need for regulated distribution practices. While this isn’t entirely new, non-compliance by some traders has led to distribution chaos,” Botha said.
Botha noted that the low registration rate among small and medium-scale distributors complicates government efforts to implement zoning for poultry distribution.
He also recommended that small and medium-scale poultry producers and distributors form cooperatives.
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