Farmers want stake in BMC
Boniface Keakabetse | Tuesday February 21, 2017 15:05
Speaking during a consultative meeting at Maun Lodge, Minister of Agricultural Development and Food Security, Patrick Ralotsia said Government is proposing to privatise Lobatse and Francistown abattoirs. The Minister explained that they have three proposals; that Lobatse abattoir be privatised but shareholding be shared on 50/50 basis between Government and private sector; that the Francistown abattoir be wholly privatised; and thirdly BMC will continue operating the Maun abattoir.
Ralotsia explained that they are forced to privatise the Lobatse abattoir because it has not been making profit, as it subsidised the non performing Francistown and Maun abattoirs.
With regard to Francistown abattoir Ralotsia said, “we intend to invite expression of interest for disposal of Francistown abattoir while Maun abattoir will be maintained under BMC as a social project”.
Ralotsia explained that there is limited cattle population for the Francistown abattoir adding that it is unprofitable to operate the facility. For Maun, he said there is healthy cattle numbers in Ngamiland but the main problem is the recurrence of Foot and Mouth Disease.
Chairperson of Botswana Meat Producers Union, Madongo Direng pleaded with government to halt the privatisation for now pending the finalisation of the study in to the beef value chain in Botswana by KPMG, which was contracted by Government after a recommendation by farmers at 2013 Letsema in Otse.
He further said, “it is our view that before privatisation, the industry needs to be liberalised. The ground needs to be levelled, as beef producers we want a stake in the privatised properties”.
Direng said their view is that government must await the findings of this audit to guide the privatisation. He further explained that farmers are interested in buying a stake in the abattoirs.
Direng revealed in a side interview that they are in the process of starting a co-operative. “We have funding from European Union to determine the best co-operative model our envisaged co-operative will operate.”
Meanwhile, Ngamiland farmers were upbeat to hear that Government will continue to operate the Maun abattoir. For his part, Mokadi Masedi representing Ngamiland farmers association called for the review of the BMC Act to cut the BMC monopoly. Ralotsia responded that abattoirs privatisation would be preceded by the review of the Act.