Livestock export costs increase by more than N$1.50 per kilogram 

Staff Writer

The Livestock Producers Organisation (LPO) has noted that Namibian livestock transporters to South Africa are currently unable to carry return loads after delivering livestock exports. 

Combined with higher fuel prices, these factors have increased export costs by more than N$1.50 per kilogram of live weight compared with January 2026.

One of the key factors placing pressure on Namibian prices is the suspension of livestock exports through Botswana following an outbreak of foot and mouth disease (FMD). The restriction has limited alternative export routes and increased transport costs for producers.

Although the current price gap between Namibia and South Africa appears unusually wide, the LPO said similar situations have occurred previously, particularly between 2020 and 2023.

During that period, South Africa’s weaner calf prices were affected by exceptional market conditions, including disruptions caused by the COVID-19 pandemic and extensive herd rebuilding after the 2019 drought.

The LPO cautioned that direct comparisons between Namibian and South African prices should be treated carefully, as South Africa’s official weaner calf prices are derived mainly from auction data.

These auctions represent only a portion of the market and may not fully reflect broader trading conditions.

To provide a more accurate comparison, the LPO analysed auction information alongside actual exporter prices.

The organisation concluded that both the Namibian and South African weaner calf markets are currently trading near historical lows when adjusted for inflation.

However, given the long-established link between the two markets, Namibia’s prices are expected to continue following developments in South Africa.

Namibia’s weaner calf prices are currently trading at a significant discount compared to South Africa, but the gap reflects historical market patterns, logistical challenges and disease-related export restrictions, according to the LPO. 

The LPO said Namibia’s weaner calf prices have historically followed South African prices closely, although with a typical lag of about six months.

This relationship suggests that current price movements in Namibia are expected to align with trends in the South African market over time.

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