BMC loses P1.3 billion
Entity runs without substantive or acting CEO Made a loss of P106 million in 2019 Acting Minister Manake admits bad management at BMC
Troubled Botswana Meat Commission ( BMC) is said to have made a cumulative loss of P1.3 billion as of the end of December 2019.
The organisation which has been on autopilot after running for some time without a Chief Executive Officer ( CEO) is said to have made a P106 million loss in that year. Acting Minister of Agricultural Development and Food Security Beauty Manake acknowledged that there are serious problems at BMC.
She pointed out this week when appearing before the Parliamentary Committee on Statutory Bodies and State Enterprises that the problem is not the cattle industry but BMC. Manake appeared before the committee because there is no substantive CEO or Acting CEO at the entity that the committee could have summoned to account for BMC.
The committee has expressed concern that there is no proper running of the organisation and no accountability while the government continues to pour funds into the organisation. The committee said that the Minister should commit to appointing a CEO because funds have been given to the entity through wrong people and without accountability.
The committee chairperson Dr. Never Tshabang said that BMC even failed to submit its financial statement last year due to the mess it is currently in.
Minister Manake said BMC has not had a substantive CEO since 2018. “The problem we have had at BMC is that we did not have a CEO since 2018.
“The challenges we have been facing there are many and we want to bring BMC back to life. There has been restructuring and liberalisation of BMC which is why we came up with the Transitional Bill.
“BMC has not had Policy direction. We are in the process of appointing a CEO.
We are at the tail- end of that. We have been constrained by policy direction to appoint the CEO because we wanted to first know the direction the beef industry is taking,” Manake said, adding that they are doing assessment and interviews.
The Acting Minister pointed out that they are faced with legacy issues at BMC some of which are 10 years. Committee member Aubrey Lesaso said it is worrisome to see developments at BMC, wondering why revamping, liberalisation, and restructuring at BMC could not have been done with the substantive CEO appointed.
Manake admitted that there has been bad management at BMC. Governance at BMC is said to be in shambles. Manake stated that early next month, she would be able to reveal the appointed substantive CEO or at least on an acting basis.
No appointment has been made for the position of CEO following the end of Dr. Boitumelo Mogome- Maseko’s contract as Acting CEO in March this year.
This is the status quo even though the parastatal’s Board had recommended 12 months contract for the Chief Strategy Officer Brian Dioka to the position.
In a letter dated 4th March 2021 addressed to the Agriculture Minister Karabo Gare and copied to the Permanent Secretary in the Ministry of Agriculture Jimmy Opelo, the BMC Board revealed that in its special meeting held on March 4th, 2021 Board of Commissioners’ Chairperson Tshepo Masire was requested to advise the office of the Minister that for the position of CEO for the BMC which fell vacant on 1st March 2021 as recommended, the Board nominated Dioka for the position.