Botswana Meat Commission (BMC) is racing against time to secure emergency funding and clear an outstanding balance of over P8 million owed to Ngamiland farmers for cattle supplied for slaughter. 

Addressing a full council meeting recently, Maun plant manager, Mr Ishamel Ramorula acknowledged payment delays, which had stretched to four months and triggered mounting frustration within the farming community.

Mr Ramorula said out of 3 435 cattle received through the Direct Cattle Purchase (DCP) scheme, valued at a total of P26 million, the abattoir had paid P17.7 million, leaving an outstanding balance of P8.3 million.

“We are aware that farmers are struggling because of delayed payments for cattle supplied to the abattoir and I can assure you that we are working on something to secure funding and settle the debt. We are hopeful that in two weeks everything will be in place,” he said.

 He noted that management had engaged stakeholders over the challenges and consulted with farmers across the North West and Okavango districts in July. Mr Ramorula attributed the cash flow crisis to wide-ranging operational disruptions caused by ongoing Foot and Mouth Disease (FMD) outbreaks, which had severely impacted both the Maun and Lobatse plants.

He said the outbreak had crippled export operations, adding that following an EU market suspension, the Lobatse plant, which had not slaughtered since March, had been forced to redirect export-destined products entirely to the local market. 

That, he said, had created a localised oversupply, sluggish product movement and delayed revenue realisation.

However, he indicated that despite such challenges, BMC was pursuing new export avenues, with engagement with buyers in Angola having taken place last week, while discussions with buyers in the Democratic Republic of Congo (DRC) had reached an advanced stage following the submission of compliance documentation. Mr Ramorula further stated that BMC had no intention of suspending the popular DCP scheme, despite preferring to clear current arrears before taking on fresh stock. 

He added that the Makalamabedi quarantine facility required urgent repairs following a recent fire that damaged sections of the fence, noting that veterinary experts were currently assessing the facility’s capacity.

For his part, acting executive manager for livestock, Mr Motlhokomedi Gaetshetse explained that BMC purchase prices operated across three structural frameworks, including EU and DCP prices as well as other markets. 

Mr Gaetshetse said EU and alternative markets relied on Carcass Dressed Mass (CDM), while the DCP scheme operated on live weight, with pricing benchmarked against regional and local market trends.

Councillors welcomed the introduction of new pricing structures, but expressed concern over payment delays and urged management to restore trust.

Cllr Moetetse Mogalakwe of Somelo/Hainaveld ward, stressed that timely payments were essential to incentivising farmers, noting that the DCP programme succeeded because it reduced overhead expenses for producers. 

He cautioned BMC to avoid direct competition with private abattoirs and local butcheries.

Cllr Verukua Ruueza of Bodibeng/Bothatogo ward stated that BMC had previously missed an August payment deadline. 

She emphasised that livestock sales remained a critical lifeline for local families, thus urged BMC to deliver on its promises. ENDS