Under-fire Meatco disputes underselling claims

Meatco has insisted that, according to its records, it generated more than N$6.5 billion in revenue - excluding from hides – between 2018 and 2023.This after a recent analysis by the Bank of Namibia (BoN) revealed that between 2018 and 2023, Meatco undersold meat products it exported by N$4 billion.Data for the past six years indicated that Meatco exported 53.3 million kilograms of meat priced at N$2.1 billion.“The report claims that Meatco generated N$2.1 billion, which is less than 50% of the total revenue generated by all meat exporters,” Meatco said in a letter seen by Namibian Sun. “The correct figure of N$6.5 billion is in line with our assertion that Meatco generates the most revenue for the livestock industry.”Meatco stressed that its overall realisation is driven by maximising returns per cut per market, which is achieved by consigning different cuts to different markets. “The South African market predominantly consumes low-value products such as offal from Meatco, whereas for some of [Meatco’s] competitors, it is their premium market that receives their high-value products. It is therefore not right to equate markets without analysing what each competitor offers in it,” the company said in a letter written to Dr John Steytler, head of a special task force on Meatco.Gross mismanagementAgriculture minister Calle Schlettwein yesterday confirmed that a probe is underway at Meatco, amid allegations of gross mismanagement at the export company.This follows a decision taken by Cabinet in August 2023 to determine what solutions must be implemented, he added. The minister said Meatco’s problem is not market access, but mismanagement. Currently, farmers are moving to smaller export abattoirs, which is bad for the country as weaners are being exported instead of beef.“We are exporting a raw product instead of processed products that add to the value chain. But farmers cannot be blamed as they are receiving better prices than at Meatco,” Schlettwein said.Urgent actionRecently, a string of critical executives resigned from the company. Concerned Meatco employees wrote to public enterprise minister Ipumbu Shiimi last June, calling for urgent action and an investigation. They claimed there are continuous breaches of several company policies and breaches of at least two laws applicable to Meatco by management.The employees further claimed that CEO Mwilima Mushokabanji undertakes strategic matters without involving most members of management and misguides the board, adding that he has failed to act in the company’s best interest.“He intimidates employees so that they become fearful in performing their duties, especially concerning his extensive travels, [subsistence and travel allows] claims, credit card use, ect,” they said at the time.

Under-fire Meatco disputes underselling claims

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Namibian Sun 2025-05-16

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Under-fire Meatco disputes underselling claims

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Namibian Sun 2025-05-16

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