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Annual Report 2017-2018 Namibia Agricultural Union Annual Report 2017-2018 ISSN: 2026-7843 Advertisers Contents Napha 3 Presidential Review 4 - 5 Windhoek Digital Communications 7 Overview of the commercial agricultural sector 6 - 7 Super Game Dealers 9 Organisational Matters 8 Kaap Agri Namibia 10 Save your Socks 12 Executive Council/Management Committee 10 - 12 FNB Namibia 15 Liaison 14 Virbac 16 Congress 2017 12 - 13 Meatco 18 Meat Board of Namibia 20 Livestock Producers Organisation 17 - 22 Henties Vervoer & Soutwerke 24 Agricultural Employers Association 23 - 25 Engineered Plastics 26 Agronomic Producers Association 26 - 27 African Drilling 27 Dairy Producers Association 28 - 29 Feedmaster Futterfos 31 Agra 32 Poultry Producers Association 30 Namibia Agricultural Union Tel: +264 (0)61 237838 • Fax: +264 (0)61 220193 E-mail: [email protected] Private Bag 13255, Windhoek Agri House, c/o Robert Mugabe Ave and John Meinert St, Windhoek napha namibia professional hunting association for peace of mind - hunt with a napha member Sustainable trophy hunting is applied conservation since 1974 NAMIBIA www.napha-namibia.com [email protected] NAU Annual Report 2017-2018 3 President’s review 2018 Thank you for the opportunity to give an over- to the Minister of Agriculture last year, have view of the most important issues and chal- again been discussed with the current Minis- lenges of the past year. ter of Agriculture, Mr Alpheus !Naruseb. Un- fortunately, no progress has been made yet. First of all I would like to welcome our new Furthermore the Ombudsman, Adv Walters, Executive Manager, Mr Roelie Venter, to the compiled his report and recommendations agricultural family. We are convinced that he in June this year. These recommendations are has the qualifications, background and abili- currently with the Minister of Agriculture for ty to promote our interests. We look forward consideration. to a successful working relationship. Producers furthermore expressed much con- I again realised that weather patterns in Na- cern about the financial sustainability of Meat- mibia differ from year to year, are difficult co, the national large stock export abattoir. to forecast and that a producer will have to Meatco’s proposals to limit the export of wean- adapt to this. The rainfall patterns this year ers are aimed at addressing symptoms rather were very erratic and some parts had far be- than a critical evaluation of what the actual Mr Ryno van der Merwe, NAU President low average rainfall. Producers will have to reasons for their poor financial performance ensure that they do not overestimate the and incompetence are. The reality is that the rangeland capacity. ratio of total cattle slaughtered locally versus weaner exports since Independence has re- advantage of Namibia. The best vehicle to This rainfall pattern put more pressure on the mained the same. However, there has been create employment opportunities and alle- recovery capacity of rangeland. The produc- a shift in delivering to local abattoirs rather viate poverty is economic growth. Therefore, tion potential changed from below average than to Meatco and 2016 was the first year the biggest challenge is to stimulate prima- to average. For this reason, producers will more cattle were slaughtered at local-mar- ry production, acknowledge the role of the have to apply rangeland management sen- ket abattoirs than at export abattoirs. This is primary producers and create a policy envi- sibly. The below average production condi- in shrill contrast with 20 years ago when ex- ronment to ensure an optimal and sustaina- tions put pressure on production, profitabil- port abattoirs slaughtered more than 80% ble production environment. ity and the disposable income of producers. of the total slaughtered cattle in Namibia. The NAU also visited the Minister of Finance The negative effect of the slowdown of the The reasons behind this shift should be looked to discuss the principle of value addition and economy in Namibia continues. Businesses at objectively and honestly. The NAU is in fa- long-standing VAT payments from the Min- are under pressure and retrenchments are vour of effective value addition where value istry that are in arears. still taking place. This increases unemploy- should be unlocked to the advantage of all ment which in turn increases social prob- participants in the value chain. Producers, Concerning land tax, after the verdicts of lems and poverty. however, cannot be limited regarding their the valuation court the NAU decided to get marketing options and should not need to pay involved in a supporting and administrative Agriculture’s contribution to the Namibi- for the inefficient management of the value capacity in the review application against the an economy is much more than merely the chain. Drumming up political support with- procedures followed to draft the valuation contribution to the GDP. Agriculture is the out the prior knowledge of the producers, rolls as well as the appeal against the verdict most important driver of the rural economy will cause a breach in confidentiality which of the valuation court. The NAU is still con- and the agricultural export industry current- will be difficult to restore. fident and prepared to discuss proposals to ly employs approximately 31 000 employees adapt the regulations according to which the on a full-time basis, while Namibia earned ap- The NAU also had the opportunity to visit His land values were compiled in order to make proximately N$5,9 billion in 2017 from sales Excellency Dr Hage Geingob, President of the adjustments. Despite the pending court case, of agricultural products outside the country’s Republic of Namibia, and table a submission the Ministry of Land Reform sent out land tax borders. Without a growing agricultural sec- reflecting the contribution of agriculture to assessments early this year which were sup- tor, rural businesses will be unable to expand the economy as well as to give our viewpoints posedly payable by 31 March 2018. The NAU and uncontrolled urbanisation will increase. and proposals regarding value addition and brought an urgent court application against While import replacement must continue, employment creation. this and was successful. The NAU’s viewpoint no economy can grow if exports are limited. remains that we are prepared to pay land tax A committee has been formed comprising as long as it is reasonable, fair and afforda- The continued uncertainty in the market- representatives of various ministries and the ble. The actions of the NAU are to bring this ing environment holds certain risks. The private sector with the aim to investigate about and not, as certain officials alleged and recommendations regarding the Small sustainable solutions to problems of value reported in the media, because commercial Stock Marketing Scheme submitted addition and employment creation to the farmers do not want to pay land tax. 4 NAU Annual Report 2017-2018 The second national land conference was order to prevent duplication. tion and Social Welfare, Bishop Zepha- postponed in 2017 and rescheduled for Oc- nia Kameeta tober 2018. The reason for this being that The NAU took note with shock and sorrow of more opportunities are to be given for con- the deaths of our former president, Mr Derek • Meat Board of Namibia sultations. The objective of the conference Wright as well as the NAU representative on • Agronomic Board of Namibia is to take stock of the progress made regard- the LRAC, Mr Frank Heger. Our deepest sym- • SWAKARA Board of Namibia ing the goals of the land reform programme pathy goes to their families. We are extreme- • Meatco since Independence. At this stage the NAU is ly grateful for the valuable input both gave • Agra part of planning meetings under the chair- over the years. • Namib Mills manship of the Office of the Prime Minister. • Feedmaster With special acknowledgement to: • Namibia Dairies The NEEEB business equity proposal consists of six elements, one of which is business own- • His Excellency Dr Hage Geingob, the Pres- ership which has caused the most uncertain- ident of the Republic of Namibia The sponsors: ty and the greatest concern. After wide con- sultation with especially the private sector, • His Excellency Dr Sam Nujoma, the Found- • Old Mutual which included the NAU, President Geingob ing President of Namibia • First National Bank this year announced that the 25 percent eq- • Standard Bank uity stake will not translate into broad-based • Right Honourable Prime Minister, Saara Ku- • Pupkewitz Megabuild empowerment as wished and is therefore ugongelwa-Amadhila • Total done away with. Instead Government will • Aqualand rather focus on the acceptance of employee • Deputy Prime Minister and Minister of For- • Agra share schemes in order to address poverty. eign Affairs, Netumbo Nandi-Ndaitwah • Namib Mills • Feedmaster The NAU this year made various proposals and • Honourable Minister of Presidential Af- • Meatco held talks with ministries and organisations fairs, Frans Kapofi/Immanuel Ngatjizeko/ • AgriGro in order to ensure a sustainable production Amb Martin Andjaba • Plastic Packaging environment. I can assure each member that • Komnick & Frank much time and energy was spent by this office • Honourable Minister of the National Plan- • Namibia Dairies and Executive Council to try and influence or ning Commission, Tom Alweendo/Obeth • Namibia Breweries change policies and schools of thought to the Kandjoze • Polyoak Packaging benefit of a profitable agricultural sector for everyone in Namibia. Unfortunately, the re- • Honourable Minister of Land Reform, Uto- Lastly, I would like to thank my fellow Exec- sults of these talks are not necessarily in our ni Nujoma utive Council members and the agricultural favour or are drawn out. However, success- family for their contributions to the success ful negotiations make it worthwhile for the • Honourable Minister of Agriculture, Wa- of our industry in Namibia. Through your pos- NAU to keep on trying. ter and Forestry, John Mutorwa/Alpheus itive involvement we can be assured that we !Naruseb make a difference in our environment and I am aware of the numerous challenges Na- leave a better future for our descendants.
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