Meatco CEO Mwilima Mushokabanji says Britain’s exit from the European Union can offer opportunities for the country’s meat processing and marketing entity.
Mushokabanji in his new year message to stakeholders this week said with the onset of 2021, cattle prices in Europe remain firm while in the United Kingdom (UK) prices started higher than the previous five-year high points.
He said Norway will remain the corporation key focus market with China expected to also bring its significant contribution as the only market beyond Africa that accepts bone-in beef products.
“Meatco is proud to be the only abattoir in Africa that exports beef to the USA despite the socio-economic developments currently at play,” he said.
According to Mushokabanji, the Covid-19 pandemic will continue affecting the corporation’s key markets, however, the effect is mostly on the change in customer buying patterns and expanding customer base effectively.
“The strain on the restaurant and catering industries is affecting the sustainability of such businesses, some of which are reported to have closed,” he said.
Furthermore, Mushokabanji said this year has kicked off on a rather refreshing note with the good rains received across the country after almost nine years of recurrent droughts.
This he said brings a brighter outlook as we anticipate prosperity for the agricultural sector amid the prevailing global Covid-19 pandemic that has infiltrated our lives and poses boundless uncertainties daily.
“A clear testimony that we live in a world that is volatile, uncertain, complex and ambiguous and how we ought to remain agile and dynamic as a business,” Mushokabanji said.
Despite this, he said Meatco remains a critical stakeholder in the meat industry that has the mandate to serve, promote and coordinate the interests of all livestock producers in Namibia and strive for the stabilisation of the meat industry in the national interest.
Furthermore, Mushokabanji said from February to December 2020, Meatco slaughtered 115 305 cattle compared to 35 314 in the previous year.
He said the average producer price paid for the same period amounted to N$44.74 compared to N$44.23 in the prior year.
According to him, the average carcass weight increased by 13 kgs from 229 kgs in 2019 to 242 kgs in 2020.
“Meatco paid out a total amount of N$382 million to producers over the past 11 months,” he said.
He said these statistics represent the difficult climate in which Meatco was operating in over the past year, supply and demand dynamics played a huge part in the price paid out as well as strategies implemented to obtain additional cattle.
With the good rains received this month, Mushokabanji said cattle will be scarce as producers are continuing to build their herd and improve the quality of cattle.
“The Meatco team is equally excited to take up the challenges of the new financial year with our innovative strategies approved by the board of directors,” he
added.