Guest Contributor | Feb 18, 2019 | 0
Increased SA weaner production likely to put more downward pressure on meat prices at auctions
An increase in the availability of weaners in South Africa is expected to put further downward pressure on the price of producers at Namibia’s auctions, according to the latest report from the Meat Board.
According to the country’s meat processing and marketing regulator, the report reviews the performance of the marketing of cattle for the period January to June 2018 compared to the same period in 2017.
The Meatboard said as more weaners become available in South Africa, the average price for weaners have decreased month-on-month.
“The price is also expected to continue on the downward trend. The reduction in price might result in the decrease in the number of weaners exported as the year progresses,” the board said.
Furthermore, internationally, there is a decrease in the price of beef most of which is the result of an increase in production, the Meat Board added.
Year-on- year, a 3 % increase was seen in the total production of cattle during January to June. Production increased from 224,127 in 2017 to 230,797 in 2018.
The increase can be attributed to the increase in the live export of weaners which increased by 8%.
From the total cattle marketed, 66% were live exports, 18% export abattoirs and 16% B & C class abattoirs. A total of 15,124 cattle were declared to the Meat Board by the registered B&C class abattoirs in 2018. However, based on hide purchases, it is estimated that 37,127 cattle were slaughtered at B& C class abattoirs.
Namibia has been a net exporter of cattle since the early seventies.