How foot-and-mouth disease is crippling South Africa’s feedlots
As South Africa continues to battle Foot-and-Mouth Disease (FMD), feedlots across the country are bearing the brunt of the crisis
Image: File
As South Africa continues to battle Foot-and-Mouth Disease (FMD), feedlots across the country are bearing the brunt of the crisis, facing severe operational, financial challenges that threaten the stability of the red meat industry.
IOL previously reported that South Africa has been battling FMD for several months, prompting key trading partners, including Zimbabwe, Namibia, Botswana, and China, to suspend imports of meat and related animal products from the country.
According to Dewald Olivier, Chief Executive Officer (CEO) at Red Meat Industry Services, with movement restrictions in place in FMD control zones, many feedlots are unable to send cattle to abattoirs for slaughter.
He added that affected feedlots must implement costly biosecurity measures and are cut off from formal slaughter markets, leading to backlogs of finished cattle and cash flow pressures.
"Affected feedlots have been forced to implement costly biosecurity protocols, including segregation of animals, enhanced sanitation, and constant veterinary oversight.
"Affected feedlots are effectively cut off from formal slaughter markets, including domestic abattoirs and export channels. This has resulted in a backlog of finished cattle with no viable outlet and significant cash flow pressure due to delayed sales and increased operational costs," Olivier said.
Olivier also noted that the outbreak has caused regional price volatility. “National retailers have maintained overall meat availability, but regional supply disruptions have caused price volatility, particularly in provinces directly impacted by FMD controls".
He warned that unless movement restrictions ease and vaccination efforts improve, red meat prices may remain unstable.
"Expect regional price disparities—depressed prices in FMD zones due to oversupply, and firmer prices elsewhere due to restricted supply".
Last week, Minister of Agriculture John Steenhuisen confirmed that mass vaccination efforts against Foot-and-Mouth Disease (FMD) have started in Gauteng.
"We have put aside R43 million for the purchase of vaccinations. We haven’t spent all of it, but the first batch of 900,000 vaccines has arrived, and we also plan to purchase more vaccines,” he said.
However, Olivier said that the government's response to the crisis has been "partially effective"
"While there are isolated successes, the response is constrained by structural weaknesses, fragmented decision-making, and a lack of strategic coherence".
mthobisi.nozulela@iol.co.za
IOL Business