Namibia’s beef market recorded a 20% growth in cattle marketed for the first half of 2022 in a clear sign of recovery from the prolonged drought, Agribank has said.
The bank, whose mandate includes financing agricultural projects through loan packages, said about 20 000 more cattle were sold by June 2022, adding to the year-to-date total number of 121 555 cattle marketed compared to 101 016 during the same period of 2021.
This improvement is attributed to a 17% surge in live exports to 67 262 in the half year 2022 compared to 57 262 during the same period in 2021.
In its Market Watch for July 2022, released on Wednesday, the bank said farmers in the south of the veterinary cordon fence are leaning towards live weaner exports which have higher returns.
“Therefore, the number of cattle marketed to local abattoirs in the S-VCF reduced by 28% to 15 166 in the half year 2022, compared to 18 933 in 2021.”
In the north of the red line, the report noted that progress was noted at abattoirs with a 146% increase to 2 048 cattle marketed in the first half of 2022 compared to 831 in 2021.
“This is in line with upbeat cattle activities, resulting from the reopening of the Katima Mulilo abattoir and the export of beef to Ghana and Angola,” read part of the Agribank report.
The report added that small stock marketing performed relatively well in the first half of 2022, recording a 33% increase to 378 008 heads from 284 778 in 2021.
“Live sheep export continues to be the major driver of this sector, due to favourable market conditions. Therefore, sheep slaughtering was reduced by 15% in the first half of 2022, to 53 821 from 63 505 in the same period in 2021.
During the first half of 2022, at least 22 863 were slaughtered at Meatco registered abattoirs, a 4% increase from the 21 921.
“Stable growth in the industry can be attributed to Meat board’s initiatives under the Pork Market Share Promotion Scheme, to assist local producers with market access amidst cheap imports. “
The report, however, warned that uncertainties on grain supply have a direct spill over on the Namibia economy.
During the period, the Namibian Agronomic Board increased the domestic wheat grain floor price by 12% in January 2022 to N$6 77,11/ton from N$5 940,00/ton in the same period in 2020/21.
Due to rising transport inflation, higher packaging material costs and reduced global supply of grain, millers in Namibia increased prices between 3%-6% in March 2022.
