Namibia Revises Export Levies to Boost Livestock Sector and Domestic Value Addition

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In a strategic move to advance its livestock industry and promote economic transformation, Namibia’s Ministry of Finance has announced revised export levy rates for raw and processed animal skins, which came into effect on 1 May 2025. This adjustment forms part of broader economic reforms designed to stimulate domestic industrialisation, enhance export competitiveness, and create job opportunities across the country.

Under the new policy framework, the export levy on raw skins and hides has been significantly reduced from 60% to 15%, while the levy on pickled (semi-processed) skins has been lowered from 15% to 10%. The Ministry explained that these changes aim to encourage domestic value addition, while also providing producers with the flexibility to tap into global markets when local demand is insufficient.

According to the Ministry, the revised levy rates reflect a carefully calibrated approach that seeks to harmonise economic growth with industrial development goals. The intention is to support producers’ income through diversified market access, while incentivising the development of local processing industries that can add value to animal by-products, such as leather goods and footwear manufacturing.

“These reforms are not only about reducing export costs but are also meant to stimulate Namibia’s processing and manufacturing capabilities, making our livestock products more competitive regionally and globally,” the Ministry stated.

On the global stage, the policy aligns Namibia with broader trends in developing countries that are seeking to move up the value chain, shifting from raw material exports to finished and semi-finished goods. By doing so, Namibia hopes to capture more value domestically, create employment in both rural and urban settings, and strengthen its trade position within the Southern African Development Community (SADC) and beyond.

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In conclusion, Namibia’s revised export levies represent a forward-thinking approach to economic management—one that balances immediate producer needs with long-term industrial aspirations. As global trade becomes more competitive and value-driven, such reforms are crucial for countries aiming to build resilient and inclusive economies.