04 Mar 2018

Government has agreed to transform Botswana Meat Commission (BMC) and the operations of its three abattoirs by introducing measures such as converting it into a limited liability company.

A news release from the Ministry of Agricultural Development and Food Security states that BMC will be commercialised to achieve operational efficiency with an appropriate mix of ownership between farmers, legal entities and government.  

“This will require remodelling the business operations of Lobatse and Francistown abattoirs in two to three years,” states the release.

The release further states that the Maun abattoir will be retained as a government entity, and be supported with an annual budget.

This step is meant to ensure a market for cattle in Ngamiland and to guard against the spread of Foot and Mouth Disease (FMD) into the green zones. 

Such support can be reviewed and commercialisation explored once the FMD status in the district has been improved on a sustained basis.

Other measures include the establishment of the livestock and meat industry regulator for control of the livestock industry.

The release further states that all relevant legislative instruments relating to the livestock and meat industry will be reviewed with a view to creating an appropriate regulatory framework.

The release states that in adopting the above measures, government recognises that the beef industry is important for Botswana’s rural population, in particular, and constitutes an important source of both current and potential export earnings.

“In this respect the beef sub-sector has already been identified as a strategic sub-sector within the country’s Economic Diversification Drive (EDD). Although the agricultural sector currently accounts for a relatively small proportion of the country’s Gross Domestic Product (GDP) estimated at about two per cent, it continues to provide employment and enhanced livelihoods to a large proportion of the rural poor and is deeply woven into our country’s history and culture,” states the release.

It further states that the sub-sector, however, suffers from a number of challenges including poor and stagnating productivity, weaknesses in support services, seasonal overcapacity and lack of profitability in processing, and under-exploitation of the quality of produce in the export market. 

Productivity indicators have also declined overtime challenging the competitiveness of the beef industry.

It says government through the Ministry of Agricultural Development and Food Security, will continue to address critical issues on the future of BMC with due diligence and caution to safeguard the government and public interests in the beef industry.

The introduced measures were reached due to the ongoing challenges facing the domestic beef sector in the context of its continued importance to the national economy and livelihoods of Batswana.

In 2017 the Minister of Agricultural Development and Food Security convened a series of consultative meetings to solicit ideas about the future of the beef sub-sector and the role of BMC within it.

The meetings were attended by a wide range of stakeholders, including farmers, councillors and Botswana National Beef Producers Union. ENDS