Savanna Beef Processors Limited has introduced an innovative system to allocate slaughter slots to producers while awaiting full European Union (EU) export accreditation to access markets in southern Africa, the United Kingdom and the EU.
The slaughter rights will be tradable on the Namibia Securities Exchange (NSX) over-the-counter platform – a first for Namibia’s beef sector.
Savanna board chairperson Siegfried Schneider says the digital Slaughter Rights System, together with an online booking platform, will ensure trading, booking, and slaughter processes are fair and transparent, helping to unlock value and create market-driven access to abattoir capacity for producers and investors.
Trading of the slaughter rights begins on 16 March, the NSX has confirmed.
Schneider says Cirrus Capital assisted in structuring and issuing the slaughter rights, which grant shareholders priority access to slaughter capacity at the facility.
“This development strengthens Namibia’s beef value chain, empowers local producers, and marks another step forward in innovative capital market solutions,” he says.
However, Savanna operated at reduced capacity in February and will continue doing so in March, limiting slaughter to 10-20% of capacity.
The company plans a controlled pilot period from 13 April to 29 May to expand slaughter opportunities for slaughter rights holders, with the goal of reaching full capacity thereafter.
During the pilot, the tradability of the rights on the NSX, the functionality of the certificates, the reliability of the online booking and allocation platform, and the reconciliation of traded rights with physical cattle deliveries will be tested.
From 13 March to 31 May, producers will have two participation options. They can buy a valid slaughter right on the market at a minimum of N$300 and book a slot online. In this case, Savanna will pay the prevailing market price plus a 3% EU premium.
Producers without a slaughter right may still book through the standard online system but will receive only the prevailing market price, without the 3% EU premium. Savanna will procure the required slaughter right on their behalf at the market rate.
A maximum of 2 500 slaughter slots will be available during the trial. Booking runs from 23 March to 28 May, while slaughter and delivery will take place from 13 April to 29 May.
“The company will announce an official producer price for April and May slaughter by 13 March as we ramp up operations to process the full 2 500 head of cattle,” Schneider says.
Slaughter rights will be allocated at a ratio of 5 333:1 shares to rights for the three combined quarters. The last day to own Savanna Beef Processors Limited shares and qualify for slaughter rights for the 2026/27 period is today.
“With full export accreditation nearing, the company is ready to issue slaughter rights to producer shareholders for the remaining three quarters of the 2026 financial year, effective from 1 June to 28 February 2027,” Schneider adds.
– Email: matthew@namibian.com.na
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