Cattle sector performance declines
ELLANIE SMIT
WINDHOEK
Year-on-year, total marketing of cattle declined by 21.15% during the first half of this year, when 94 868 cattle were marketed compared to 126 752 during the first half of 2020. However, on a quarterly basis, the decline was 9.54%.
According to the Meat Board of Namibia, this notable decline is mainly due to a reduced cattle herd following the prolonged drought period.
From the total cattle marketed, 61% were live exports and 25% were taken up by export abattoirs while local class abattoirs enjoyed 14% of the market share. Compared to 2020, local class abattoirs lost 3% of the market share towards live exports and export abattoirs, which gained 2% and 1% respectively.
Up to 97.29% of all live cattle exported on the hoof were marketed to South Africa (56 118 heads out of 57 683), while Angola took 2.69% (1 550 heads) of total live exports.
The Meat Board said of these live cattle exports, almost all were weaners, with 96.57% destined for South African feedlots, 3.43% for farming and none exported to abattoirs.
Weaner and slaughter prices
“Export-approved abattoirs slaughtered 23 495 heads of cattle during the first half of 2021, whereas throughput to export-approved abattoirs during the corresponding half of 2020 stood at 29 783 heads of cattle, showing a decrease of 29.11%.”
It said although weaner prices in each month of the first and second quarter of the year remained higher than those observed in the same period of 2020, there has generally been a sustained decrease in weaner prices from January to June this year. Slaughter prices, on the other hand, stabilised during the second quarter.
Furthermore, the Meat Board said a temporary concession by the Botswana government allowing exports of cattle served to reduce weaner prices for South African feedlots, which traditionally source the majority of required weaners from Namibia.
Sheep sector
Despite a good performance in May and June, the sheep sector had a weak performance during the second quarter due to a slow start at the beginning of the quarter, the Meat Board said.
The weak performance is linked to low throughput at both local and export-approved abattoirs.
Total sheep marketing during the first half of the year decreased by 4.72% in comparison to the first half of 2020.
The decline is associated with a weak posting of slaughter figures at export abattoirs and butchers in the second quarter.
“Despite an overall decline, live exports of sheep grew by 19.93% during the first half of 2021, recording 170 375 heads in comparison to 142 067 heads in the same period for 2020,” the board said.
Growing trend
Live exports increased their market share from 61% to 77%, while export abattoirs and butchers accounted for only 4% and 19% of total marketing respectively.
“There is a growing trend towards the slaughter industry being dominated by butchers as opposed to export-approved abattoirs.”
It added that export abattoir performance has been adversely affected by the reduced sheep flock and producer price competition from relatively high-paying Northern Cape abattoirs.
WINDHOEK
Year-on-year, total marketing of cattle declined by 21.15% during the first half of this year, when 94 868 cattle were marketed compared to 126 752 during the first half of 2020. However, on a quarterly basis, the decline was 9.54%.
According to the Meat Board of Namibia, this notable decline is mainly due to a reduced cattle herd following the prolonged drought period.
From the total cattle marketed, 61% were live exports and 25% were taken up by export abattoirs while local class abattoirs enjoyed 14% of the market share. Compared to 2020, local class abattoirs lost 3% of the market share towards live exports and export abattoirs, which gained 2% and 1% respectively.
Up to 97.29% of all live cattle exported on the hoof were marketed to South Africa (56 118 heads out of 57 683), while Angola took 2.69% (1 550 heads) of total live exports.
The Meat Board said of these live cattle exports, almost all were weaners, with 96.57% destined for South African feedlots, 3.43% for farming and none exported to abattoirs.
Weaner and slaughter prices
“Export-approved abattoirs slaughtered 23 495 heads of cattle during the first half of 2021, whereas throughput to export-approved abattoirs during the corresponding half of 2020 stood at 29 783 heads of cattle, showing a decrease of 29.11%.”
It said although weaner prices in each month of the first and second quarter of the year remained higher than those observed in the same period of 2020, there has generally been a sustained decrease in weaner prices from January to June this year. Slaughter prices, on the other hand, stabilised during the second quarter.
Furthermore, the Meat Board said a temporary concession by the Botswana government allowing exports of cattle served to reduce weaner prices for South African feedlots, which traditionally source the majority of required weaners from Namibia.
Sheep sector
Despite a good performance in May and June, the sheep sector had a weak performance during the second quarter due to a slow start at the beginning of the quarter, the Meat Board said.
The weak performance is linked to low throughput at both local and export-approved abattoirs.
Total sheep marketing during the first half of the year decreased by 4.72% in comparison to the first half of 2020.
The decline is associated with a weak posting of slaughter figures at export abattoirs and butchers in the second quarter.
“Despite an overall decline, live exports of sheep grew by 19.93% during the first half of 2021, recording 170 375 heads in comparison to 142 067 heads in the same period for 2020,” the board said.
Growing trend
Live exports increased their market share from 61% to 77%, while export abattoirs and butchers accounted for only 4% and 19% of total marketing respectively.
“There is a growing trend towards the slaughter industry being dominated by butchers as opposed to export-approved abattoirs.”
It added that export abattoir performance has been adversely affected by the reduced sheep flock and producer price competition from relatively high-paying Northern Cape abattoirs.
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