Namibia's agricultural sector needs to recover after two years of drought and rebuild livestock numbers, according to Leigh-Ann Nehoya, agricultural economist at the Namibian Agricultural Association (NAU).


As a result, the livestock market has declined sharply by 56%, and beef exports have halved to 5,461 tons, with weaker trade flows to South Africa, the UK, and China. Namibia exported an average of 4,330 cattle per month in 2025, significantly less than the average monthly export of 17,783 cattle in 2024. "Namibia's livestock industry has historically exported the majority of its young cattle, including weaned calves and castrated young bulls, to South Africa, as most farmers are unable to raise these animals to slaughter weight due to environmental and financial constraints," Nehoya explained.


She expects beef prices in the US and European Union (EU) to rise through 2025 due to a combination of factors, including shrinking cattle herds, rising feed costs, and increased consumer demand. "The US cattle herd is at its lowest level since the 1950s, and a recent drought has further reduced the supply of cattle for beef production," she said. "In addition, feed is becoming more expensive, especially hay and other green fodder. This makes livestock farming more expensive, leading farmers to sell more cattle for slaughter instead of raising them," Nehoya said.


On the other hand, the EU faces supply constraints in the number of cattle available for slaughter in key producer countries such as France, Spain, and Germany, which have more than offset modest increases in Ireland, Italy, and Poland. As a result, total EU beef production is estimated at 6.73 million tonnes in 2025, a decrease of 1.3% compared to 2024, mainly due to a continued decline in breeding herds. Moreover, according to Nehoya, the dynamics of international trade are shaping market behavior. "The US beef market is subject to new, unpredictable dynamics due to the ongoing trade war with China."


Milk production increased to 8.1 million liters, while producer prices remained stable. "The average milk price remained stable at N$7.42 per liter in the first half of 2025, down 2 cents from the same period last year. Production, however, increased by 482,357 liters to over 8 million liters in 2025, compared to approximately 7.6 million liters in 2024," Nehoya said.


Sheep, Pigs, Goats - Sheep trade also fell by 41%. "This economic downturn is a necessary process that is expected to lead to a stronger livestock sector starting in 2026," she says. "In international trade, mutton exports fell from 405 tons in 2024 to 155 tons in the first half of 2025 due to low registration numbers. Of this, 48% was exported to Botswana, 37% to South Africa, and 15% to Norway." Domestic pig production increased slightly by 4%, although Namibia continues to rely on imports from Spain. In contrast, according to Nehoya, goat exports weakened slightly by 10.35%, but auction prices for goats reached a ten-year high, averaging N$1,407.84 per goat in the first half of 2025.


Poultry - In the first half of 2025, 9,307,872 chickens were marketed. Of these, 86% of the poultry was slaughtered by Namib Poultry and 14% by Kadila Poultry. In the egg sector, 52,367,795 eggs were marketed between January and June 2025. Nehoya explains that, despite this, the poultry industry continues to face significant competition from imports. 11,388 tons of poultry meat and products were imported, mainly in the form of mechanically deboned meat (MDM). "In the first half of the year, 11,388.45 tons of poultry meat and products were imported into Namibia, 59% of which came from Poland. During the same period, 15,360,000 eggs were imported."


Increased Profit - Farm profitability improved thanks to higher prices for livestock, including cattle, lambs, and weaned calves. Prices increased by 10% to 27%. Livestock production costs also decreased by 1.9% in the twelve months to June 2025. This decrease was mainly due to a 10.29% drop in fuel prices, which offset an increase in electricity costs. Capital expenditure also decreased by 4.83%, and maintenance and fixed improvement costs decreased by 2.7% annually, easing the burden on the agricultural sector, according to Nehoya. "While sales production was unprofitable between 2023 and 2024, they are now showing a recovery in prices and a stabilization of input costs."

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