Farmers face phosphate shortage
Phosphate licks for cattle will be in short supply until January, when a shipment from overseas will arrive at Walvis Bay.
Namibia will experience a shortage of phosphate products used as supplements for animal feed while the South African producer of phosphate and phosphoric acid is refusing to supply to customers not willing to pay the price.
Feedmaster last week warned Namibian farmers of the shortage of phosphate, saying that the limited supply could last at least a month before a shipment from overseas was expected to reach the country.
The company urged livestock farmers to feed other available licks in the meantime.
This follows after the fertiliser group Omnia last month filed an application in the Pretoria High Court to have phosphate producer Foskor and its directors declared in contempt of court.
Foskor had failed to adhere to an order of the Competition Tribunal. The order restricted Foskor's pricing of phosphoric acid to the local market since mid-2014.
Prior to this, the Competition Tribunal had made an order in 2010, confirming that Foskor had engaged in excessive pricing in contravention of the Competition Act.
The Competition Tribunal ruled that the phosphate producer may not charge more than the Free on Board (FOB) Richards Bay price for phosphoric acid.
Despite this, Foskor charged more than this stipulated price from mid-2014 onwards.
Now Foskor has stopped supplies of phosphoric acid to local customers who refuse to sign letters agreeing to pay the higher price.
Yara Animal South Nutrition Africa, a customer of Foskor who supplies licks to Feedmaster, said since the court ruling in November Foskor had stopped delivering phosphoric acid to numerous customers, including them.
“We are in the process of formulating alternative supply solutions but this will take some time. We will therefore be unable to supply your full demand at this time. We are also unable to accept any new orders for any of our phosphate products until further notice,” said marketing manager Cecile de Oliveira.
She said that the matter was receiving immediate attention.
The marketing manager of Feedmaster, Christo du Plessis, said another consignment of phosphate from an overseas contractor was currently at the coast of North Africa and would only leave for Namibia after Christmas. The expected arrival is early in January next year.
“Therefore, for a window period of three to four weeks, we will not be able to manufacture phosphate products. No phosphate raw material is discharged like P21 / P23,” it said. Feedmaster encouraged customers to stay on protein licks as long as possible before making the move to phosphate products. Customers can even consider licks for cow and weaners, especially before the peak season.
“As soon as the shipload arrives we should be able to deliver our phosphate products without any problems. We can only be grateful for our shipping freight that has already been shipped and that we will be able to deliver a major part of our phosphate season.”
He added that it was not known how long the South African situation would continue.
“This is a situation completely out of our control and we must work together and make the best of the situation.”
Of all licks phosphate is the most economical and gives the most payback.
It improves condition, growth, fertility, milk production and weaner mass and can be fed to cattle, sheep and goats.
ELLANIE SMIT
Feedmaster last week warned Namibian farmers of the shortage of phosphate, saying that the limited supply could last at least a month before a shipment from overseas was expected to reach the country.
The company urged livestock farmers to feed other available licks in the meantime.
This follows after the fertiliser group Omnia last month filed an application in the Pretoria High Court to have phosphate producer Foskor and its directors declared in contempt of court.
Foskor had failed to adhere to an order of the Competition Tribunal. The order restricted Foskor's pricing of phosphoric acid to the local market since mid-2014.
Prior to this, the Competition Tribunal had made an order in 2010, confirming that Foskor had engaged in excessive pricing in contravention of the Competition Act.
The Competition Tribunal ruled that the phosphate producer may not charge more than the Free on Board (FOB) Richards Bay price for phosphoric acid.
Despite this, Foskor charged more than this stipulated price from mid-2014 onwards.
Now Foskor has stopped supplies of phosphoric acid to local customers who refuse to sign letters agreeing to pay the higher price.
Yara Animal South Nutrition Africa, a customer of Foskor who supplies licks to Feedmaster, said since the court ruling in November Foskor had stopped delivering phosphoric acid to numerous customers, including them.
“We are in the process of formulating alternative supply solutions but this will take some time. We will therefore be unable to supply your full demand at this time. We are also unable to accept any new orders for any of our phosphate products until further notice,” said marketing manager Cecile de Oliveira.
She said that the matter was receiving immediate attention.
The marketing manager of Feedmaster, Christo du Plessis, said another consignment of phosphate from an overseas contractor was currently at the coast of North Africa and would only leave for Namibia after Christmas. The expected arrival is early in January next year.
“Therefore, for a window period of three to four weeks, we will not be able to manufacture phosphate products. No phosphate raw material is discharged like P21 / P23,” it said. Feedmaster encouraged customers to stay on protein licks as long as possible before making the move to phosphate products. Customers can even consider licks for cow and weaners, especially before the peak season.
“As soon as the shipload arrives we should be able to deliver our phosphate products without any problems. We can only be grateful for our shipping freight that has already been shipped and that we will be able to deliver a major part of our phosphate season.”
He added that it was not known how long the South African situation would continue.
“This is a situation completely out of our control and we must work together and make the best of the situation.”
Of all licks phosphate is the most economical and gives the most payback.
It improves condition, growth, fertility, milk production and weaner mass and can be fed to cattle, sheep and goats.
ELLANIE SMIT
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