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Saturday 17 August 2019
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Meatco won’t feel impact from Brexit

Meatco’s corporate affairs manager Rosa Hamukuaja Thobias says that the Brexit deal won’t have much impact on Namibia’s meat product exports as the countries has more than 25 countries in the European Union committed to buy Namibian beef.
This comes after last week’s meeting held by the Livestock Market-ing sub-committee of the Meat Board of Namibia, that if the United Kingdom leaves the EU on 29 March, Namibia’s export to the United Kingdom could be in jeopardy.
Namibia has been exporting meat and edible meat offal to the Unit-ed Kingdom since 2009, making it one of the biggest meat exporters in Africa, and this now has raised questions and concerns about what this could mean if the UK does not accept the new deal?
In a recent interview with Meatco’s corporate affairs manager Hamukujua-Thobias told The Patriot that the Brexit deal will not have much impact on Namibia’s meat product due to the fact that there are still over 20 countries in the same region committed to buy Namibian meat.
“Meatco has other 27-countries in the EU who are committed at buy-ing Namibia’s products. Besides that, new big markets such as Chi-na and the USA has opened up, so this means exploring more avenues that may be better and willing to pay the maximum return.
We are willing to move the product into these new markets,” said Hamukujua-Thobias.
She further told The Patriot that they are currently working on a deal with the EPA which will see the country enjoy duty free, levy free access for beef production in the UK.
“Currently the EPA is the agreement by which Namibia enjoys duty free, levy free access for our beef products into the EU.
Under this agreement as a member of the EU, the UK currently operates as well.”
“Depending on how the UK ‘Brexits’, will determine the required mechanics going forward. If the UK agrees a deal with Europe then we continue under the EPA to access the UK through the customs un-ion agreement as we understand the situation.
This would continue until a specific SACU/UK deal is concluded.
However, if the UK ex-its and cuts all ties with the EU, then Namibia/SACU requires a specific new agreement or Namibia will operate under the MFN (Most Favoured Nation, WTO mechanic) which requires an Ad Valorem duty of 12.8% and a specific duty of €3041/ton to be paid for imports into the UK.
As far as we are informed SACU and the UK Government have negotiated 95% of how a new SACU/UK agreement would work and this maintains the rights as per the current EU/EPA agreement. Ob-viously, we all hope that this 95% will be 100% before the UK Brexit happens, however, these negotiations are between Govern-ments and not Meatco or commercial businesses, so we cannot com-ment further,” said Thobias.
On average, 37 000 tonnes are exported, with South Africa receiv-ing 9 400 tonnes and the European Union, United Kingdom, Reunion, and Norway getting 9 500 tonnes.
Local producers have warned that a no trade deal Brexit could have a severe impact on Namibia’s meat exports.
The small stock marketing scheme was also discussed, especially mechanisms to force small stock abattoirs to pay com-petitive prices. New markets that are beginning to be exploited are the US and China markets, and the US in particular appears to be profitable for forequarter meat.




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