(2 minutes read)
· After almost 20 years of continuous negotiations with the US
for exporting red meat, Namibia has bagged the maiden order, which can
beef up the foreign exchange receivables of the Southern African
country
· Meatco, the state-owned firm, has shipped 25 tons of beef to
Philadelphia as the maiden consignment. This is only a miniscule of
total 860 tonnes of red meat contracted between the US and Namibia to
be exported in 2020
After almost 20 years of continuous negotiations with the US for
exporting red meat, Namibia has bagged the maiden order, which can
beef up the foreign exchange receivables of the Southern African
country.
Meatco, the state-owned firm, has shipped 25 tons of beef to
Philadelphia as the maiden consignment. This is only a miniscule of
total 860 tonnes of red meat contracted between the US and Namibia to
be exported in 2020. The order is for exporting various types of beef
cuts. The quantum of exports would rise to 5000 tons by 2025, if
things move as planned, giving a big relief to Namibia for coming out
from the persistent shortage of foreign exchange. The US is a
lucrative market for red market. The Americans consume an average of
120 kgs of meat per person annually, which is higher than consumption
levels of other countries.
The rare feat achieved by Namibia after a series of grueling quality
tests to find whether it conformed to the quality and health standards
of the US. Samples of meat were sent to the US laboratories for
testing. These trials and testing were long drawn out, stretching
over the last 18 years or so. Different varieties of meat to be
exported include boneless and raw beef cuts in frozen or chilled
form.
It is a win-win situation for the US and Namibia. While Namibia will
have access to the huge meat market in the US and earn considerable
foreign exchange, the US consumers can benefit from access to
Namibia’s high-quality, free-range, grass-fed beef, which the US often
refers to as lean meat. The Southern African country has been
exporting its meat and meat products. In 2019,
Namibia’s export of meat was 12,400 metric tons last year and were
destined mainly to Norway, Britain, the European Union and China.
Significantly, Namibia has duty free access to the US market under the
African Growth and Opportunity Act (AGOA).
