Justicia Shipena
Political analyst Ndumba Kamwanyah says the Meat Corporation of Namibia (Meatco) must demonstrate that its reported profit was made in a transparent and accountable manner.
His comments come after the meat processor announced that it had recorded a profit following years of losses, bailouts and boardroom battles.
For the financial year ended 31 January 2025, Meatco’s revenue increased by N$662 million, rising to N$1.865 billion from N$1.203 billion the previous year.
The state entity revealed the figures on Monday ahead of its annual general meeting scheduled for Friday.
Preliminary performance indicators show the group recorded an operating profit before tax of about N$106 million. In the previous period, it posted a N$150 million loss. The turnaround ends five consecutive years of losses between 2020 and 2024.
For an entity that has long been described as bleeding, this marks a pause in the haemorrhage.
“Well, we must look at everything with scrutiny, so we don’t know what actually transpired that they made such a profit in one year, especially since it was struggling. But profit is good for the country, but we must always be vigilant and look at it with scrutiny, I think,” Kamwanyah said.
Kamwanyah said the focus should go beyond the headline figure.
“Transparency and accountability show us that the profit was made in a more transparent way. Those are the key issues that we have to look for when they report,” he said.
He added that the public must understand how the money was generated.
“How did they make the money? How did they make the profits transparently? There’s accountability and all those kinds of things. I think those are the key issues to look at,” he said.
Last year, Meatco recorded a reduced net loss of N$67 million for the year ended 31 January 2024.
That was close to a 50% decrease compared to the N$118 million loss in the previous financial year. The slide had been steep. Between 2020 and 2022, cattle slaughter numbers fell by 68% and revenue dropped by 58%.
In 2024, a partial recovery came when 65 427 cattle were slaughtered, generating N$1.2 billion in revenue.
Still, the corporation remained in the red. In the 2022/23 financial year, it recorded a N$118 million loss.
Behind the numbers were deeper problems. Meatco faced production setbacks when substandard plastic vacuum bags affected meat quality. The defect forced the company to sell products at non-profitable rates, leading to an estimated N$50 million in revenue losses.
The government stepped in repeatedly. Over the past four years, about N$730 million in public funds was injected into Meatco.
Of this, N$519 million went to repay Development Bank of Namibia loans, while N$211 million supported operations.
At the same time, questions grew over whether the corporation was earning what it should from exports.
Two years ago, the Bank of Namibia (BoN) revealed that between 2018 and 2023, Meatco undersold its export meat products by about N$4 billion.
According to the central bank’s analysis, the corporation earned roughly N$2.1 billion from exports during that period but could have received about N$6.1 billion if priced differently.
Competitors who sold into the same markets at that time remained financially stable, while Meatco relied on state support.
Meatco was also shaken by leadership instability. In July 2025, acting chief executive officer Patrick Liebenberg was suspended pending an investigation, weeks before his six-month term was due to end. The board had earlier decided not to renew the contract of former chief executive officer Mwilima Mushokabanji. Former ambassador Albertus !Aochamub was then appointed as chief executive officer.
Some analysts warned at the time that appointing a diplomat to lead a struggling meat processor was risky. They argued that political and diplomatic experience did not match the urgent business skills needed to rescue a cash-strapped Meatco.
In June 2025, board chairperson Sakaria Nghikembua resigned, saying he had been pressured to carry out illegal instructions.
In the same year, about 400 cattle disappeared from the Linden Beef Feedlot, which Meatco contracted.
!Aochamub said on Monday that the outcomes show a change in accountability and operational focus at the corporation.
“The results we are presenting reflect more than an improvement in numbers; they demonstrate a fundamental shift in how Meatco is governed, managed, and held accountable,” said !Aochamub.
He said the turnaround plan approved by the board helped the company restore financial discipline and strengthen internal controls.
!Aochamub added that although work still needs to be done, Meatco has moved away from repeated losses and is now on a recovery path.
“While important work remains, the Corporation has decisively moved away from a cycle of recurring losses and is now on a clear, credible recovery path,” he said.
Meatco says progress includes stronger board oversight, tighter cost control, improved financial systems and stabilised operations.
Operational figures improved during the year under review. Cattle throughput south of the veterinary cordon fence, commonly known as the redline, reached 75 268 head, while throughput in the Northern Veterinary Area stood at 7 844 head.
Meatco said government funding also helped stabilise the institution while reforms take effect.
The upcoming meeting on Friday will present the audited financial results for the year ended 31 January 2025 and outline the next phase of the recovery plan.
