STAFF WRITER
Meatco Interim Chief Executive Officer, Albertus Aochamub has welcomed the latest assessment by Plimsoll which has rated Meatco’s United Kingdom business as strong in its analysis of the leading companies operating in that country’s meat import and export industry.
In a statement released on Wednesday Meartco says the rating demonstrated the underlying strength of their international commercial platform even as the company confronts extraordinary market disruption.
“This strong rating is important because it confirms that Meatco entered the present crisis from a position of resilience in an international market where many businesses are already under severe financial pressure. It is recognition of the hard work of our people, the quality of Namibian beef and the commercial discipline we have worked hard to strengthen,”Aochamub said
The company said the rating is an encouraging external recognition of Meatco’s resilience and commercial standing in a highly competitive market.
It comes at a particularly difficult time for Namibia’s livestock and meat industry following the recent Foot-and-Mouth Disease (FMD) outbreak and the resulting disruption to access key premium export markets.
“Our business model depends on extracting the best possible value from a carcass across a combination of premium export, regional and domestic markets. When access to higher-value markets is disrupted, that value chain is immediately placed under pressure. The challenge before us is therefore not simply one of market access. It is about protecting producer value, sustaining the business and safeguarding the livelihoods that depend on this industry,” Auchamub said
Plimsoll’s latest analysis assesses 47 of the largest companies in the UK Meat Import & Export industry and provides individual assessments of financial performance, valuation, outlook and takeover risk.
The wider industry findings underline the significance of Meatco’s rating. According to the analysis, eight companies have recorded losses for a second consecutive year, five have been rated as being in financial danger and four have lost approximately one-third of their value.
Aochamub said the FMD outbreak has immediate and serious implications for Meatco and the wider livestock industry because restrictions on premium export markets reduce the company’s ability to realise the highest possible value from each animal processed.
“This is a moment for the entire industry to stand together. Producers, processors, employees, regulators, organised agriculture and Government all have a shared interest in protecting the livestock economy. We must resist fragmentation and work collectively to preserve markets, protect businesses and, as far as possible, protect every job that depends on this value chain,” he said.
He added that Meatco remains focused on balancing several immediate priorities: honouring its obligations to producers, retaining critical skills and employment, preserving liquidity and maintaining customer relationships while preparing for the progressive reopening of affected export markets.
“The strength reflected in the Plimsoll assessment gives us confidence that the fundamentals of the business can withstand this period. Our task now is to navigate the disruption responsibly and ensure that Meatco and the broader industry emerge ready to compete again when full market access is restored,” Aochamub said.
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