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Home Business & Economy

Savanna Beef unfazed by US tariffs, eyes EU and Chinese markets

by editor
April 10, 2025
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Savanna Beef has downplayed the impact of recently imposed United States tariffs on Namibian beef exports, stating that the company is instead focusing on penetrating European and Chinese markets.

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This follows the US government’s decision last week to impose import tariffs on over 180 countries, including Namibia, which now faces a 21% tariff on beef exports.

Although US President Donald Trump this week announced a 90-day pause and reduced reciprocal tariffs to 10% for 75 countries, Namibia was excluded from the revised list.

Industry experts have warned that the tariff is likely to reduce the competitiveness of Namibian beef and fish exports in the US market, potentially leading to a decline in both demand and export volumes.

However, Savanna Beef Chairperson Mecki Schneider told The Brief that the company is not concerned, as it has not yet started exporting and is targeting alternative markets.

“We are not there yet. Perhaps towards the end of the year, we will be exporting, but a lot needs to happen until then. It is not our main focus. We are looking at other markets, such as the European Union and China, which are still down the road,” Schneider said.

Savanna Beef is currently awaiting the completion of its export beef-processing facility and expects the finalisation of its export contract by 21 August 2025.

Schneider said the company is in the process of acquiring veterinary export status and has set an initial target of 50,000 slaughters per year.

“Savanna Beef is targeting 250 slaughter per day. First, we need to get it to an acceptable amount locally and within the SADC region, even though that is not optimal at the moment due to conditions,” he said.

He explained that the local market is dominated by the export of live weaners, which offer minimal value addition.

The company’s strategy is to retain more cattle locally to enhance value through processed beef exports.

“We have to convince farmers to keep animals longer because it takes financial investment to keep animals longer. But they sell as it is cheaper; we depend on South Africa, but selling off weaners is not very good,” Schneider stated.

He added that Savanna Beef aims to retain an additional 50,000 weaners annually and offer better prices to local farmers to encourage them to delay sales in favour of value-added processing.

In November last year, Meatco reported that 8,152 cattle were exported from Namibia, with the majority being weaners sold to South Africa.

“We have been speaking to experts on the live export market. South Africa doesn’t have a veterinary status and therefore cannot export to the places that we can. We have access. We are the only country in Africa, along with Botswana, that can access those markets such as China and the EU,” Schneider said.

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