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P. J. Strydom
General Manager
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Cattle 171 000 weaners (8 month; 180 – 240kg) South African feedlots 115 000 steers – EU export abattoirs (Meatco & Witvlei)
Small stock 190 000 sheep – South Africa (informal market) 270 000 goats – South Africa Kwazulu-Natal (ceremonial market)
Beef 9 400 tons – South Africa (Woolworths, Steers) 9 500 tons – EU (UK, Norway, Germany, Switzerland, Netherlands)
Lamb 850 000 carcasses – South Africa (Checkers, Pick.n Pay, Spar) ? (500) tons - Norway
Springbuck ? (90) Tons - Norway
PERFORMANCE OF NAMIBIAN MEAT INDUSTRY
-Export orientated - 85% (N$1.6 billion)
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Challenges impeding SADC tradeCost of importing country and consumer complianceTrade agreements – improving trade? Poor animal disease control and
husbandryLack of marketing infrastructure
and informationLack of harmonized government
policy and strategiesCultural practices linked to ownership
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Compliance to SPS requirements (1)Set by importing country & consumers Costly to small economy countries:
Meat hygiene and abattoir facilitiesEstablishment of disease-free zones & fencing
Namibia has 3 and Botswana 17 veterinary zones Implementation of quality assurance schemes, e.g. FANMeat (Namibia)Enactment of legislation;
Prohibition of hormonal substances, routine
antibiotics supplements & animal by-products
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Compliance to SPS requirements (2)• However: additional importing country standards:
• Maturation and de-boning • BSE surveillance• Animal welfare
• Private standards of retailers more strict• Responsibility of certification by competent
authority• Consumer safety, traceability, bio-safety, meat quality• With limited finances & capacity
• Compliance cost mainly upon meat • industries themselves• Exports to EU comply with standards
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Volume and value of EU meat imports from Namibia (top) and Botswana (bottom)
Namibia’s exports to the EU and South Africa (in 2000 prices)
Source ODI
Trade advantages
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Trade dilemmas Maintaining and improving market access (EFTA, USA, SACU)Finalisation EU market access
Namibia could loose 30.76 € million per annum “Nullify” EU & Namibia investments Job losses (direct - 203) Socio-economic consequences (affecting160 000 farmers) Equivalent to tariff increases of 72% for Botswana and 63% for Namibia
USA Namibia concluded APHIS inspection & received certification Awaits FSIS audit in due course
EFTA Increased quota to NorwayEU beef exports competing directly with small-scale producers
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What is holding back the SADC livestock sector?
• International standards & animal disease status
•Difficult with free roaming game
• Rudimentary networks and trading skills• Limited negotiating power and capacity
•Capacity to negotiate with more capacitated countries
•Mediocre livestock support services
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What should SADC do?• SADC governments should play a more prominent and coherent role!
•in utilizing livestock resource base
• Adoption of a commodity-based approach to SPS certification (based on OIE rules)• Rethinking new approached to product certification
•Without increasing importing country SPS risk
• Engaged in market and product diversification •Free range, Farm Assured Namibian Meat, Country reared
• Aid for Trade might cover cost of compliance• Industry’s contributing e.g. a levy (Namibia)
• Mentorship program • Equal animal health status
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I thank you for your attention
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