In its annual statement for the 12 months to 30 June 2016, the food processor reported a 62% EBITDA year-on-year loss in its chicken business unit. Its earnings totalled R158.1m (£8.3m) down from R415.5m (£21.8m) in the previous year. The business, which also operates in the sugar, grocery, pie and bakery sectors, reported an overall rise of 6.8% in revenue for the year, while EBITDA was down 20.6%. RCL Foods claims that over-dumping of chicken is the main reason behind the poultry market's woes. Miles Dally, chief executive of RCL, said: "The biggest crisis facing the South African poultry industry remains the massively oversupplied market as a result of surplus domestic volumes as well as record levels of dumped imports." The oversupply situation has been exacerbated by the African Growth and Opportunity Act (AGOA) between the United States and South Africa which was renewed earlier this year, after protracted negotiations.