For the first time since September 2019, export-approved abattoirs recorded the highest combined slaughter of 10,743 animals, during the month of May 2023.
“The increased slaughtering at export-approved abattoirs was accompanied by decent producer prices during the month under review. Efforts in accessing lucrative export markets by export-approved abattoirs continue to pay- off and the gains are being filtered through to the producers.” the Meat Board of Namibia’s report stated.
In more good news, the meat and meat products trade balance improved by 995,763 kg during the month of May 2023. A total of 1,754,831 kg of meat and meat products were exported while only 759,068 kg of meat and meat products were imported during May 2023.
“The composition of the export basket for May 2023 comprised 93.0% beef and beef products, 6.6% mutton and mutton products and 0.5% pork and pork products. The import basket on the other hand was primarily made up of pork and pork products, making up 80.1% of all controlled meat imports, followed by beef products which made up 16.5% of imports and the remaining 3.4% was made up of mutton products,” it is reported.
The report further cited that as a result, the all grade beef producer price increased to N$60.81/kg during May 2023 from the level of N$57.94/kg paid to farmers during May 2022.
However, year-on-year live weaner exports recorded a decline of 3.2% during the month of May 2023 from the positive growth of 7.1% registered during April 2023.
“The drop in the demand for Namibian weaners, particularly by South African feedlots is owed to the ever -increasing pressure on South African feedlots to uptake the weaners flooding the market as a result a lack of export markets which explains the 19.6% decline in live export recorded in May 2023,” the Meat Board of Namibia’s report stated.
Meanwhile, the sheep sector grew by 18.8% as a total of 86 749 sheep were sold during May 2023 relative to the May 2022 level of 73 016 heads.
Year-on-year, live exports of sheep grew by 11.1% during the period under review in comparison to May 2022. Of the total sheep exported in May 2023, 87.7% were exported for direct slaughter and the remaining 12.3% went to feedlots
“Live export of sheep particularly, to South African remains an important marketing channel for Namibian sheep producers as local marketing channels are unable to retain and absorb all the slaughter ready animals produced. The slaughter capacity of both Local and export approved abattoirs that are currently operational remains grossly underutilised due to a shortage of alternative meat markets as the South African market remains oversupplied from its own production,” the report read.
As a result, since January 2023 Namibian export approved abattoirs paid higher prices than the Northern Cape abattoirs as South African retail prices are dwindling on account of over-supply.
“The Namibian A2 price averaged N$89.82/kg in May 2023, N$10.82/kg higher than its Northern Cape A2 counterpart which averaged N$79.00/kg in May 2023” said the report.
On the other hand, the goat sector recorded a year-on-year growth of 3% with a total of 12,414 goats during May 2023 relative to 12,026 goats in May 2022.
“Of this total, 99.9% (12 402 heads) were exported live to South Africa mainly to the traditional Kwa-Zulu Natal market. Goat lamb prices increased by N$0.80/kg from April 2023 to May 2023 to stand at N$30.92/kg by end of May 2023. Year-to-date average goat lamb price stood at N$33.11/kg by the end of May 2023,” stated the report
Meanwhile, the shortage of pork products coupled with the ban on import of pork products from South Africa due to FMD has increased the price of pork.
“The situation has resulted in the country importing pork from the EU, primarily Germany despite the threat of higher producer price in Germany. The additional cost of sourcing pork for the local market has over the past couple of months been passed down to local consumers and has consequently made pork pricier within the domestic market,” it is reported.
It is also reported that of the 4,230 pigs that were slaughtered at registered pig abattoirs, surprisingly, 168 were exported to Angola in the month of May.
The Pork ceiling price remains set at N$51.03/kg.