Patience Makwele
The scaling down of operations by the Meat Corporation of Namibia (Meatco) at the Katima Mulilo abattoir has left farmers in the Zambezi region uncertain about the future of cattle marketing and the stability of the local livestock sector.
Zambezi livestock farmer Kwenani Matengu said the development has created uncertainty among producers, although he was not entirely surprised by Meatco’s decision.
“There is uncertainty, but for me it is not entirely new. I understand that Meatco was operating under a contract, so at some point it was going to come to an end,” he said.
Matengu said farmers are mainly concerned about whether they will still be able to sell their cattle.
“As farmers, what we need is market continuity. As long as there is a market and we are able to sell our animals at a good price, we do not have a problem,” he said.
He warned that legal disputes or delays during the handover process could affect operations.
“If there are challenges, especially if it goes to court, operations could stop. That is where the real problem will be,” he said.
Meatco announced last week that its memorandum of agreement with the Zambezi Meat Corporation (Zamco) had reached its contractual expiry.
Meatco is implementing a transitional exit plan which began on 16 April and will end on 30 June.
Meatco said the gradual scale-down includes stopping cattle procurement and reducing stock levels as part of what the company described as a “structured and orderly disengagement” from the facility.
Kavango West farmer Oivah Mahina said the impact could be severe for farmers in the northern communal areas if the abattoir stops operating.
“If you look at the long-term objectives for the northern communal areas, this is a setback. Farmers were expecting improved benefits, but now it feels like we are going backwards,” he said.
Mahina said the closure of the abattoir would remove formal market access for many farmers.
“If operations stop, it means there will be no formal market. Without that, farmers will suffer and so will their families,” he said.
He added that many producers rely entirely on livestock farming for income.
“Some may survive through informal markets, but not at the same level. If you have hundreds of cattle, where are you going to take them?” he asked.
Mahina also questioned whether the incoming operator has the financial resources needed to sustain operations.
Meatco resumed operations at the Katima Mulilo abattoir in 2020 after the facility had previously closed due to operational losses of nearly N$43 million recorded during the 2014/15 financial year.
The closure left farmers in the region without a reliable market for their cattle, prompting the government to invest about N$14 million into renovating the facility.
The Katima Mulilo abattoir has the capacity to slaughter around 110 cattle per day.
The Namibia National Farmers Union (NNFU) described Meatco’s planned exit as worrying and said the success of the transition will depend on the readiness of the incoming operator.
NNFU chief executive officer Kuniberth Shamathe said it is still unclear whether the development will ultimately benefit or disadvantage communal farmers.
“For now, it is difficult to tell whether this is for better or worse without knowing what has transpired and whether Zambezi Meat Corporation has the technical and financial capacity to manage and sustain abattoir operations,” he said.
Shamathe warned that similar situations in the past left northern abattoirs non-operational for years.
“We have seen cases where entities awarded leases could not operate these abattoirs for years. Farmers suffered due to lack of market access until government intervened,” he said.
He said operations at the Katima Mulilo abattoir improved under Meatco over the past six years and cautioned that those gains could now be lost.
“We witnessed better operations and benefits to farmers in the Zambezi Region over the past six years. The concern is whether those gains can be sustained,” he said.
Shamathe emphasised the need for a thorough assessment of the incoming operator’s financial and technical capabilities before proceeding with the transition.
“Does the incoming entity have the technical and financial capacity? Will it be able to sustain operations without the kind of government support that Meatco receives? These are key questions that must be answered with proof,” he said.
He warned that shutting down operations could have serious economic consequences.
“If the abattoir stops operating, restarting it is costly and difficult. We have seen this before, and the impact on farmers and the regional economy can be severe,” he said.
Shamathe called for urgent discussions between the government, Meatco, farmer organisations and regional leaders.
“What is required now is a coordinated approach involving all stakeholders, including Meatco, the ministry of agriculture, the Zambezi Meat Corporation, farmers in the region and regional leadership because what is at stake is the regional economy and the livelihoods of farmers,” he said.
While supporting the idea of local ownership, he cautioned against rushing the process.
“I am not against Zamco taking over. It can be an opportunity for local empowerment, but we must ensure it is ready. Otherwise, we risk repeating the same mistakes and going backwards,” he said.
Agriculture commentator Dobson Kawala said the uncertainty around the Katima Mulilo abattoir reflects wider structural problems affecting livestock farming in northern Namibia.
Kawala questioned the circumstances surrounding Meatco’s exit and said more clarity is needed.
“People want to understand exactly what transpired and what led to this decision, because this facility was created to support livestock producers and strengthen economic opportunities in the region. Low supply is linked to many factors, including foot-and-mouth disease controls, floods, limited grazing areas, environmental pressures and human-wildlife conflict. These realities affect production capacity,” he said.
He said communal farmers continue to face disadvantages due to weak infrastructure and limited market access.
“Northern farmers are trying to participate in formal markets while operating under very different conditions. Without strong local processing facilities and support systems, they remain at a disadvantage,” he said.
Kawala warned that weakening abattoir operations could affect broader regional value chains.
“Institutions such as schools, hospitals, supermarkets and lodges should be sourcing products from local farmers. That is how sustainable value chains are built and maintained,” he said.
On the issue of the veterinary cordon fence, also known as the red line, Kawala said the debate should focus on balancing disease control with market access.
“The discussion should focus on how to make the system more flexible and beneficial to farmers while still protecting animal health standards and market access,” he said.
He also raised concerns about weaknesses in quarantine systems and illegal livestock movements.
“The government must strengthen quarantine systems because there are still cases where fences are damaged and livestock movements are not properly controlled. Those are some of the realities affecting the livestock sector,” he said.
Kawala called for more investment in quarantine systems, local production and processing facilities in northern Namibia.
“If production facilities continue disappearing from the north, communities will continue losing economic opportunities while farmers struggle to sustain their livelihoods,” he said.
