The Sunday Mail
Trade Focus
Allan Majuru
THE National Development Strategy 1 launched last year by President Mnangagwa to chart a new transformative and inclusive development agenda bestows on every Zimbabwean a role to play towards achieving an upper middle-income by 2030.
With exports having been identified as a key enabler to economic growth, growing the country’s sources of foreign currency will require increased exports of non-primary products.
Growing exports will also require the integration of all stakeholders, including rural communities, communal farmers, smallholder farmers, micro and small businesses, women, and youths.
This integration will be made possible if focus is placed on products and services that are easy to produce and are already found in large numbers.
Among these are low hanging products such as sheep and goats that provide export opportunities if mechanisms are introduced to develop capacity and promote consolidation.
While the country’s exports of sheep and goats are subdued, there is potential to grow the exports into regional and international markets.
According to the Zimbabwe National Statistics Agency (ZimStat), the country accrued US$203 000 from the export of sheep and goat meat in 2019, with Mozambique the destination of choice.
While these export earnings are clearly low, they also present opportunities that we can tap into.
The production and exportation of sheep and goat meat is one area that has not been explored in the country, yet it has great potential. Some countries on the continent already have thriving sheep and goat meat export sectors.
For example, Sudan grew exports of live sheep and goat from US$381 million in 2016 to US$448 million in 2019. During the same year, Somalia recorded US$87 million, Mali (US$58 million), and Namibia (US$34 million). Ethiopia exported US$64 million worth of mutton or chevron in 2019.
With the African Continental Free Trade Area (AfCFTA) easing trade between countries on the continent, there is an opportunity for soft landing for local sheep and goat producers in African markets.
What is important now going forward is increasing production, improving the quality, meeting international standards and creating new market linkages.
Global market for live
sheep and goats
The market for live sheep and goats and the meat has been growing over the past 20 years, albeit amid fluctuations.
According to Trade Map, the market for live sheep and goats grew from around US$680 million in 2001 to around US$1,73 billion in 2019.
The largest market is currently the Middle East, with Saudi Arabia leading the top importing countries in 2019, after having imported around US$634 worth of live sheep and goats from across the world.
Other top importers of live sheep and goats in 2019 were Kuwait (US$166 million), Libya (US$142 million), Qatar (US$140 million), Jordan (US$82 million), Italy (US$62 million), Israel (US$57 million), United Arab Emirates (US$54 million), and Lebanon (US$38 million).
Zimbabwe already has existing trading relationships with most of these markets and local producers can leverage on current export products to introduce live sheep and goats.
Currently ZimTrade — the national trade development and promotion organisation — is exploring the United Arab Emirates market which has a lot of potential for goat and lamb meat.
ZimTrade will continue engaging potential buyers in Middle East on their market requirements as well as what Zimbabwean suppliers need to do to be part of their supply chain.
What is also interesting is that South Africa is an emerging market for live sheep and goats and offers huge potential for Zimbabwean-produced animals.
According to Trade Map, South Africa’s imports of live goats and sheep grew from around US$23 million in 2016 to US$41 million in 2018 before dropping marginally to around US$34 million in 2019.
South Africa is currently Zimbabwe’s largest trading partner and the current established networks will make it easy for Zimbabwean farmers to export to South Africa.
Data shows that top exporters of live sheep and goats to South Africa in 2019 were Namibia (US$33 million) and Swaziland (US$408 000).
Global market for sheep
and goat meat
Although there are ready markets for live sheep and goats, there is potential for local farmers to earn more if they export as processed meat.
Whilst the global import value of live sheep and goats was US$1,73 billion in 2019, the total import value of its meat during the same year was around US$7,9 billion.
Of the largest importers, China grew its imports from just around US$20 million in 2001 to US$1,86 billion in 2019, presenting one the viable markets for Zimbabwe-produced meat.
Other markets with potential for locally produced sheep and goat meat are France (US$530 million), United Kingdom (US$400 million), Germany (US$394 million), United Arab Emirates (US$383 million), and Netherlands (US$247 million).
Consolidation the way to go
One of the current challenges affecting production of goats and sheep is that producers are fragmented with each unable to produce enough to meet orders.
To meet demand in some of these markets, local producers will need to consolidate their products so that they sustainably meet orders.
Associations will make it easy for this consolidation and priority should be placed on producing similar breeds with the same quality.
Once established, associations at community level will develop a healthy management plan that will make it easy for smallholder farmers to produce live sheep and goat or their meat in line with international standards.
Requirements for exporting
sheep and goat
Local producers who want to export live sheep and goat and meat need to meet specific requirements set by Zimbabwe or the importing country.
Each country has its own specific requirements for the import of meat and working with partners in the landing country will ease the process.
When exporting live animals, potential exporters need a health certificate and the source area must be declared as disease free and approved by the veterinary services department within the Lands, Agriculture, Fisheries, Water and Rural Resettlement.
For sheep and goat meat products, the processing should be done in an approved abattoir and exports or imports should be done through an approved border inspection post. The exporter will need to register with the Agricultural Marketing Authority and obtain an export permit from the Ministry of Agriculture.
Allan Majuru is ZimTrade’s chief executive.
