Namibia’s livestock sector pivots to herd rebuilding as sales decline

Namibian Agricultural Union provides that herd rebuilding is a necessary cycle after years of drought-induced offloading.

NAMIBIA – Namibia’s livestock industry is entering a period of herd restoration in 2025, with fewer animals reaching markets as farmers prioritise rebuilding stocks after years of drought-driven sell-offs. 

The shift, detailed in the Namibian Agricultural Union’s latest Agri-Review, has triggered a sharp decline in cattle, sheep, and goat sales during the first half of the year.

Cattle marketing has fallen by 56% to 92,600 head, compared with 211,610 during the same period in 2024. Sheep numbers are down 41% to 306,233 head, while goat sales are more resilient but still showing a 10% drop in exports to South Africa, totalling 53,134 head. 

The union attributes the slowdown to an unprecedented rise in retention rates, with about 60% of auctioned animals being kept for herd rebuilding, compared to the typical 2 to 5%.

Rising prices and lower costs bring relief

Despite reduced volumes, profitability across the sector is improving as prices climb and some input costs ease. A2 cattle are trading at US$3.30 (N$65.15) per kilogram, up from US$3.00 (N$59.25) in the first half of 2024. B2 cattle have reached US$3.30 (N$65.09) from US$2.95 (N$58.18), while C2 cattle are recording a 12% gain to US$3.23 (N$63.78).

Small stock prices are surging even higher. A2 lamb has risen 23% to US$4.65 (N$92.00) per kilogram, and C2 sheep are up 27% to US$3.10 (N$61.27). Goat prices have hit record levels, averaging US$73.40 (N$1,408) per head compared to US$53.90 (N$1,035) last year. Weaner calves are also trading stronger at US$1.66 (N$32.81) per kilogram, up from US$1.37 (N$27.03).

Production costs provide further support. The review notes that overall livestock costs have eased by 2% in the twelve months to June 2025, largely thanks to a 10% cut in fuel prices. While electricity costs rose 3% in the second quarter, these were offset by declines in maintenance and capital expenditure, down 3 and 5% respectively.

Exports decline amid tighter supply

However, stronger local prices and tighter supply are weighing on export performance. Beef exports have halved to 5,461 tonnes in the first half of 2025, down from 10,968 tonnes a year earlier, as fewer animals reach export abattoirs. 

Sales to key markets such as South Africa, the United Kingdom, and China have all contracted. Sheep exports are also declining, dropping to 155 tonnes from 405 tonnes last year, primarily destined for Botswana, South Africa, and Norway.

Globally, beef prices are climbing as herd sizes contract and feed costs rise, with the European Union, the United States, Australia, and South Africa all experiencing stronger markets.

Looking ahead, the union stresses that herd rebuilding is a necessary cycle after years of drought-induced offloading. 

It also highlights persistent challenges such as bush encroachment and reliance on live exports, but suggests that better rangeland management could double output and shorten the time needed for animals to reach market weight.

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