The Meat Corporation of Namibia (Meatco) says it has begun the 2025/26 financial year on a strong footing, with bookings exceeding first-quarter targets and throughput expected to surpass annual projections, Interim Chief Executive Officer Albertus Aochamub said on Friday.
Speaking at the company’s annual general meeting, Aochamub said the new financial year, which commenced on 1 February, is anchored on cost containment, market diversification and strengthened governance.
“There are primary focal areas, and the first is to continue focusing on cost containment because operating costs must remain within reasonable parameters. Secondly, market diversification is key,” he said.
He noted that the financial year has started positively, with confirmed bookings by the end of April already significantly above target.
“We are at least 50% above our target for the first three months of this financial year. That’s a very positive start,” Aochamub said.
For the full year, Meatco is targeting throughput of 50,000 cattle from south of the Veterinary Cordon Fence and 15,000 from the northern communal areas. By the end of April, bookings had already reached 20,000 cattle.
“That means we are reasonably confident that we could exceed the targets we have set for ourselves,” he said.
Aochamub said market diversification remains critical, particularly in light of the potential risk of a foot-and-mouth disease (FMD) outbreak, which could disrupt access to key export markets.
“Should that happen, we do not wish to be exposed to the extent that Meatco currently is, where 75% of our revenues are derived from the most profitable markets in Europe, predominantly the EU and Norway,” he said.
To mitigate this risk, the company is expanding its footprint across African markets while increasing direct marketing efforts in South Africa.
“We know that we will expand into the rest of the African continent in a bigger way. We are also marketing directly into South Africa, where pricing realisation is expected to improve,” he said.
Aochamub added that governance reforms remain central to sustaining operational improvements.
“There is no room for us to deviate from basic governance rules. We must adhere not only to the spirit of effective governance but also to the structures and provisions that support it,” he said.
Reflecting on the 2024/25 financial year, Aochamub said the company recorded significant improvements in profitability and operations, supported in part by higher throughput during drought conditions.
“The figures show a substantial improvement in profitability, operational performance and better market realisation for our products, both locally and internationally,” he said.
He added that the improved performance was driven not only by higher volumes but also by operational efficiency and disciplined cost management.
“Profitability and gross profit improvements are also a function of how effectively we run the business, particularly through cost containment and ensuring our plant and equipment are utilised at optimal levels as productive assets,” Aochamub said.
The performance follows Meatco’s return to profitability, with the state-owned meat processor reporting an operating profit before tax of approximately N$106 million for the financial year ended 31 January 2025, compared with a loss of N$150 million in the previous year.
The turnaround was supported by a sharp increase in group revenue, which rose to N$1.865 billion from N$1.203 billion in the prior financial period.
