Business

Gov�t conducts study on opening up beef sector

BMC is s monopoly in the industry
 
BMC is s monopoly in the industry

Speaking in Parliament recently, assistant minister of Agricultural Development and Food Security, Kgotla Autlwetse said the study endeavours to assess the feasibility of liberalisation of the Botswana beef export market in order to allow other players in the beef industry to participate in the international beef market.

He said the study, which is being conducted through a private consultancy, is expected to be completed in September this year.

“The findings of the study should inform Government decision on whether or not the monopoly on the export of beef products, live cattle, should or should not be removed,” the assistant minister said.

According to Autlwetse, the study was born out of recommendations of a 2013 Sector Pitso Conference convened by a majority of stakeholders in the country.

“It would be premature to prefix a date without even having the basis nor recommendations of the study if at all there is need to abolish the BMC monopoly or replace it with a liberalised sector,” he said.

Specially elected Member of Parliament, Mephato Reatile had asked the minister to elaborate on the Government’s stand with regards to the liberalisation of the country’s beef export market.

Autlwetse stated that BMC remains the only beef export state entity established according to an Act of Parliament, adding that any review of BMC Act and by extent of the beef sector, should address itself to a thorough legal review process.

“In view of the aforesaid, it is evident that the decision to abolish or maintain the legal framework is not a decision of the minister alone,” he said.

However, he said, the minister can sanction on application, any private business to export only if they meet national regulatory standard and requirements. Until recently, government has been resisting calls by farmers to liberalise the beef industry.