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Zimbabwe - Meat Exports to EU Still On Hold: CSC

Published: July 12, 2004
Source : All Africa
Zimbabwe's largest meat processor, the Cold Storage Company, said it has not resumed beef exports to the European Union (EU) due to foot and mouth disease outbreaks in the country. CSC board member responsible for livestock Mr Abdul Nyathi said that planned beef exports to other markets such as Libya and Asia were also being scuttled by the problem of the disease. "Beef exports to the EU are still being held back by the problem of foot and mouth," he said. "We should also have started exports to Asia long back, considering the good rapport that we have with the region, but the problem of foot and mouth is still holding us back." Nyathi, who is also Zimbabwe Farmers Union second vice president, said the parastatal was, however, still fulfilling its trade obligations on canned beef to the EU. The EU banned meat products from Zimbabwe in 2001 following an outbreak of foot and mouth disease, thereby affecting the country's annual beef export quota of 9 100 tonnes to the bloc. The parastatal had also been saddled with a debt in excess of $4,4 billion over the past few years, but the Government took over the debt this year. Nyathi said this development, coupled with the appointment of a substantive chief executive, Mr David Mufote in April this year, kick-started a turnaround in the fortunes of the company. He said operations at the company were improving with all vacant managerial posts having now been filled, most processing plants revived while the company now had more access to working capital. "The biggest problem was working capital but the situation has since improved with the coming in of the chief executive. "He is playing a significant role in accessing working capital from both the government and the private sector," he said. "The company has also improved its relationship with farmers, resulting in an improved supply of cattle for slaughter." The CSC's livestock supply scheme, which enabled farmers to access loans to finance production activities, was playing a leading role in boosting cattle supplies to the company, he said. Nyathi said cattle supplies had increased to 2 000 a month, but the company was looking at reaching its target of 5 000 by year-end. The CSC would, in the meantime, concentrate on satisfying the local market and its regional markets, which include South Africa, Mozambique and the Democratic Republic of Congo, he said.
Source
All Africa
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