Meatco recovery strategy at advanced stage

October 22, 2023

The finance ministry has voiced its continued support for the Meat Corporation of Namibia (Meatco),  saying the development of its operational turnaround strategy is at an advanced stage.

The interim Meatco board is expected to finalise the strategy before the end of the year.

This comes at a time when the corporation has allegedly been failing to pay 245 commercial livestock farmers N$320 million for cattle delivered to its abattoir.

“Resolving the afore is on top of the priority list of the Government and the interim board. The Government and the interim board of Meatco value the crucial role that producers play in sustaining Meatco’s operations and the whole beef value chain,” said the Ministry of Finance and Public Enterprises.

The ministry added that Meatco’s interim board has had engagements with the Farmers Union and all relevant stakeholders to resolve the issue and to ensure that all producers are paid money due to them.

 “The government acknowledges the importance of Meatco’s stability and its significant contribution to the domestic economy. The ministry is, therefore, committed to supporting Meatco in overcoming its financial difficulties and ensuring that all outstanding amounts to cattle producers are settled in due course,” the ministry said.

To date, Meatco has slaughtered 53,820 head of cattle, with its liabilities exceeding its assets by N$133,2 million.

“The government would like to assure cattle producers of its unwavering commitment to their wellbeing and the pivotal role they play in our nation's prosperity. Government is dedicated to ensuring that Meatco meets its obligations to its creditors,” the ministry said.

The finance ministry appointed a temporary board to steer the corporation for six months, effective from 1 September 2023.

This came after the workers petitioned that the previous board be dissolved amid accusations of maleficence, nepotism and alleged disregard for employees’ welfare.

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Last modified on Tuesday, 24 October 2023 07:54

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