Formulation of a Value Chain Development Strategy for Livestock Marketing Co-operative Societies in Botswana - TCP/BOT/3902

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The Botswana Agricultural Marketing Cooperative Union (BAMCU) is a primary cooperative society that represents over 50 000 smallholder livestock farmers across Botswana, organized through 50 member cooperatives. BAMCU's primary business is the marketing of livestock, particularly cattle, to the Botswana Meat Commission and various beef retail outlets, including butcheries and retail meat markets. Over recent years, BAMCU has experienced a significant decline in service utilization by its member cooperatives. This decline is attributed to delayed payments from customers, intense competition from individual farmers and feedlots, the lack of a formal market for profit maximization, insufficient storage facilities for value addition, and high transportation costs to distribution centres. These challenges have prevented farmers from maximizing their income, thus limiting contributions to rural development and socio-economic progress in Botswana. To address these challenges and enhance profitability for farmers, BAMCU aims to diversify its services along the beef value chain. The key objectives of this initiative include the establishment of an abattoir, the processing and selling of meat, and the export of live cattle in accordance with the Presidential directive CAB 9SP/2020.

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