17 Nov 2022

Government is concerned about the increasing input costs of chicken/poultry farming, which has affected both farmers and consumers.

Answering a question in Parliament on behalf of the Minister of Agriculture, Mr Karabo Gare who is the Minister of Entrepreneurship, told Parliament that the rising cost was caused by the fact that Botswana did not produce enough raw materials for feed production as such the bulk of raw materials were imported resulting in import inflation.

He added that the increase in input costs was also a result of global disruptions in the supply chain due to the war between Ukraine and Russia.

He said interventions that the ministry had in place to address the challenge included a waiver that was given in 2014 to small-scale poultry farmers owing up to 10 000 birds to import feed freely without adhering to the law which required importers to procure 70 per cent of feed locally before they could import the remaining 30 per cent of their requirements.

Mr Gare said the country was producing enough poultry fees as shown by the increase in the number of feed manufacturers from two companies in 2006 to eight companies to date. He said the current poultry feed production was estimated at 20 000 tonnes compared to around 10 000 tonnes in 2006.

He said Botswana was also producing enough chicken such that in 2021/22 production of broiler meat was 49 000 tonnes against a target f 46 000 tonnes.

He said in an effort to ensure as much local produce as possible different producers got into the market without being stifled by monopolistic practices.

He said in 2014 government introduced the initiative to cluster poultry farmers and registered them with the Economic Diversification Drive (EDD) and PPADB.

He said the registered clusters were awarded tenders through the district tender committees to supply government institutions with chicken meat. 

He said five clusters were currently benefitting from the arrangement, namely SEKASHOMA (Sefhare, Kalamare, Shoshong, Mahalapye), Kgatleng Poultry association, Kweneng Poultry Association, Well Point Cluster in Tsabong and MENOMOS (Metsimaswaane, Notwane, Mogobane, Otse farmers. He said there were restrictions on imports of all poultry products that were produced and availed locally.

Mr Gare said according to the 2014 report by the Competition Authority there was no monopoly in the poultry industry instead an oligopolistic tendency where there are few dominant players in the industry.

He added that the lifting of the import restrictions on feed for small-scale producers since 2014 was one of the initiative Mr Gare s that were geared towards dealing with issues of oligopoly and vertical integration that were impediments to local production.

He said in addition the clustering of small-scale farmers was meant to give economies of large production.

Mr Gare was responding to a question from Gaborone North MP Mr Mpho Balopi who asked the minister if he was aware that poultry farmers had been worried about the inputs of chicken farming and whether the minister agreed that for a country that was targeting food self-sufficiency the turn of events was worrying.

Mr Balopi asked the minister what interventions government would put in place to address the complaint and whether Botswana produced enough poultry feed and chicken meat.

He also wanted to know how government intended to deal with issues of monopolies and vertical integration in the poultry sector as they were impediments to local production.ut were rejected without reasons. Ends