The Livestock and Meat Advisory Council (LMAC) is actively working with the Government to secure funding aimed at enhancing Zimbabwe’s livestock sector, according to a council official.
The council believes that the sector holds substantial economic potential, with an estimated capacity to export 15,000 tonnes of beef annually to the Middle East and other markets.
In the 1990s, Zimbabwe was a major beef exporter to the European Union through the State-owned Cold Storage Commission (now Cold Storage Company), shipping 9,100 tonnes annually and generating US$45 million.
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However, beef exports to the EU were halted in August 2001 due to a foot-and-mouth disease outbreak, leading to a major financial loss for the CSC.
At the 12th Annual National Agri-business Conference during the Zimbabwe Agricultural Show, LMAC CEO Dr. Reneth Mano highlighted that a market survey by ZimTrade identified the Middle East as a promising and relatively underdeveloped market for Zimbabwe’s livestock.
Dr. Mano pointed out that while the Government has concentrated on crop production financing since 2010, it is now crucial to shift focus towards livestock production to support the sector’s growth and development.
“We are working closely with the Government and advocating for a more comprehensive financing mechanism for the livestock sector, similar to what is in place for crop production,” Dr. Mano said.
“A well-structured financial facility for the livestock sector, involving farmers across the value chain, could significantly transform the industry and boost growth in the export market.”
He emphasized that Zimbabwe has the capacity to export up to 15,000 tonnes of beef based on the current grade of carcasses from its 5.4 million cattle herd, noting that opportunities in the Middle East and beyond are promising.
In 2020, the Government introduced the Livestock Recovery and Growth Plan (2021-2026) to tackle production and productivity issues and position the industry as a key economic driver. The Government expects the livestock sector’s value to reach US$3.4 billion next year, following improvements in productivity and disease management. The industry was valued at US$1.1 billion in 2021 and grew by 36 percent to US$1.5 billion last year.
Dr. Mano noted that while neighboring countries like Zambia, Botswana, and Mozambique are successfully exporting beef, Zimbabwe has yet to fully exploit its livestock sector’s potential, requiring a structured financing approach.
He highlighted the importance of the livestock sector in improving rural livelihoods and proposed a co-finance facility involving banks and the Government.
“We believe that a well-structured financing plan focusing on heifer multiplication and capacity building would minimize the risk of defaults,” Dr. Mano said.
Regarding the capital needs for the proposed livestock facility, Dr. Mano mentioned that discussions are ongoing, and it is too early to determine the exact amount.
However, the industry and the Ministry of Lands, Agriculture, Fisheries, Water, and Rural Development will work with stakeholders to establish an appropriate facility size based on initial export requirements.
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