Drop in A and AB grades
There was an overall drop in the quality of beef offered to Meatco during the first half of this year.
Statistics for the period February to June 2018, show a decrease in the supply of A and AB grades, with A grades dropping from 25.9% last year to 9.9% this year, while the AB grades dropped from 29.2% in 2017 to 25.3% in 2018 for cattle slaughtered.
“This decrease can be attributed to the change in strategy to reduce the number of live cattle purchased for the Backwards Integration Initiatives (Feedlots and MOC) while concentrating on slaughter-ready cattle purchases,” says Meatco.
Another factor is the many cancellations resulting from poor cattle conditions caused by the late rains received in most parts of the country.
According to Meatco the procurement of quality cattle and premium grades remains at the core of its business operations.
“Therefore, continuous analysis of grade and gender distribution procured from Namibian producers over a certain period is paramount in ensuring quality end products,” it says. According to Meatco, statistics also showed that the supply of bulls remained stable from 2.3% in 2017 to 2.6% during the period under review.
However, there was a strong increase in the supply of cows from 15.8% in 2017 compared to 23.1% this year.
Meatco says this led to a decrease in heifers from 16.8% in 2017 to 14.2% in 2018, while the supply of oxen also decreased from 65.1% in 2017 to 60.2% in 2018.
Meatco assisted producers by providing an option to sell their lean cows to its feedlots, where the animals were fed and prepared into slaughter-ready cattle.
“Although we realised this was not the best option it was the only way we could further assist our valued producers in the continuous marketing of animals to the institution.”
Providing a market for lean cows at the time enabled producers to hold back on the supply of younger cattle. The overall average producer price paid out during this period was N$5.64 higher than for the same period last year, said Meatco.
ELLANIE SMIT
Statistics for the period February to June 2018, show a decrease in the supply of A and AB grades, with A grades dropping from 25.9% last year to 9.9% this year, while the AB grades dropped from 29.2% in 2017 to 25.3% in 2018 for cattle slaughtered.
“This decrease can be attributed to the change in strategy to reduce the number of live cattle purchased for the Backwards Integration Initiatives (Feedlots and MOC) while concentrating on slaughter-ready cattle purchases,” says Meatco.
Another factor is the many cancellations resulting from poor cattle conditions caused by the late rains received in most parts of the country.
According to Meatco the procurement of quality cattle and premium grades remains at the core of its business operations.
“Therefore, continuous analysis of grade and gender distribution procured from Namibian producers over a certain period is paramount in ensuring quality end products,” it says. According to Meatco, statistics also showed that the supply of bulls remained stable from 2.3% in 2017 to 2.6% during the period under review.
However, there was a strong increase in the supply of cows from 15.8% in 2017 compared to 23.1% this year.
Meatco says this led to a decrease in heifers from 16.8% in 2017 to 14.2% in 2018, while the supply of oxen also decreased from 65.1% in 2017 to 60.2% in 2018.
Meatco assisted producers by providing an option to sell their lean cows to its feedlots, where the animals were fed and prepared into slaughter-ready cattle.
“Although we realised this was not the best option it was the only way we could further assist our valued producers in the continuous marketing of animals to the institution.”
Providing a market for lean cows at the time enabled producers to hold back on the supply of younger cattle. The overall average producer price paid out during this period was N$5.64 higher than for the same period last year, said Meatco.
ELLANIE SMIT
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