Good prospects for agri sector in 2023
The agriculture sector is expected to remain resilient in 2023, owing to better rainfall for crops and improved rangeland conditions for livestock farmers.
Farmers are, however, encouraged to continue diversifying their farming operations to minimise the risk of climatic, sectoral and/or economic shocks on production output and sales.
This is contained in the latest Agribank Market Watch Report, which covers the month of October. The report, however, noted that the number of cattle marketed declined drastically by 30% to 16 952 in August 2022 due to a ripple effect from the 21-day nationwide ban on the movement of cattle in South Africa.
The ban on cattle movement was aimed at curbing the foot and mouth disease outbreak.
The number of total cattle marketed declined further to 15 840 in September 2022 due to a slow pick-up in cattle marketing after South Africa lifted the ban in most parts of the country.
The sheep industry was also affected by the movement ban, as 70% of the sheep marketed is live export to South Africa.
Moreover, the average beef producer price remains elevated, averaging at N$59.5 per kg year to date ending September 2022, compared to N$51.2 per kg recorded during the same period in 2021.
Weaner auction prices subsided drastically to N$37.4 per kg during the period ending September 2022, compared to a N$39.9 per kg recorded in 2021. The decline in prices can be attributed to the increase in the number of live exports, Agribank said.
The improvement in land pasture due to better rainfall recorded in 2022, coupled with the positive rainfall outlook for the next season, keeps the industry upbeat and hopeful for better grazing and production in 2023.
Potential Spill over: Brown Locust
Agri SA predicts potentially devastating brown locust swarms in the upcoming summer season.
Brown locust outbreaks have been reported in parts of the Northern Cape and the Western Cape. These swarms have been caused by above-normal rainfall, a phenomenon that is forecast to persist into the summer season.
Production efficiency, innovation and agile strategies will be critical in the current business cycle and foreseeable future to remain viable.
According to the October Namibia Rangeland monitoring report, rangelands are much greener, compared to the previous year due to the good rains received in the 2021/22 rainy season.
However, some parts of Kunene remain dry as the country receives no to little rainfall in that area.
Farmers are cautioned to be vigilant of veld fires due to dry carry-over grass materials that are still available on farms.