Namibia: Livestock Producers Want Fair Prices

LIVESTOCK

LIVESTOCK producers want market-related prices for their small livestock, with no restrictions put on exports.

Speaking to The Namibian in the wake of an announcement that one of the small stock abattoirs is closing down, Livestock Producers Organisation leader Hannes Visagie said they have no problem with abattoirs, but only want mechanisms put in place which will ensure fair prices for their livestock.

In addition, they do not want restrictions which would stop them from exporting their animals.

Visagie said while they have a good relationship with local abattoirs, it is the export abattoirs that do not want to pay fair market prices.

As it stands, livestock producers are expected to operate on a one-to-one ratio, where for every small livestock they export on the hoof to South Africa, they have to sell one to a Namibian abattoir.

"The reason why producers export the livestock to markets like South Africa is because we get better prices there. That is the short and long of the story," Visagie said.

The comments come after Farmers Meat Market's Mariental abattoir gave notice to agriculture minister John Mutorwa and consumers that they will be closing due to financial difficulties caused by big losses the company incurred.

The abattoir's leaders told the minister in a letter that because more than half of the country's animals which can be slaughtered are being exported on the hoof to South Africa, and because of the recent drought, the abattoir experienced a severe reduction in the number of animals available for slaughter.

"It is unfortunate that there has been no support for local export-approved abattoirs, which would have been in line with the government's Growth At Home strategy," Farmers Meat Market executive chairman Christo van Niekerk said in the letter.

According to Van Niekerk, the abattoir used to slaughter between 21 000 and 30 000 animals a month. But lately, they cannot even get 5 000.

Visagie, however, said he does not understand why producers must be responsible for the wallets of abattoirs as they are also running businesses as producers.

He added that although the recent drought in the country affected farmers, it cannot be blamed in isolation for the position the abattoirs find themselves in.

He said the abattoirs were warned in 2002 already that it was not feasible to only depend on exporting small livestock meat.

Visagie said export abattoirs have an option of buying small livestock on the hoof at auctions if they are not getting enough animals for slaughter from regular suppliers.

Mutorwa said on Tuesday that there is an urgent need for small livestock producers and abattoirs in the south to reach consensus as the issues between the two parties have taken too long to solve.

He said he thought there was a breakthrough in the issue, and that a submission was made to a Cabinet committee.

According to the minister, the Cabinet committee was supposed to meet yesterday to deliberate on the outstanding issues. He also met livestock producers in early August after they reminded him of a need for such a meeting.

Mutorwa said all the producer representatives who were at the meeting agreed to the submission.

Farmers Meat Market Mariental refused to comment on the situation for now.

While the producers emphasised that they get better prices in South Africa for their animals, the abattoir maintained that they have always tried hard to pay their producers market-related prices.