Botswana works on plan to sell beef in Gulf countries
Botswana Meat Commission (BMC) is working to finalise its marketing plan to capture the Gulf Countries market, where there is high demand for Botswana's hormone-free beef.
To succeed in this market, it is essential to maximise efficiencies, ensure reliability, and maintain a consistent supply.
Currently, the BMC is receiving numerous inquiries from various companies and organisations. They believe that with an effective marketing plan, the Gulf Cooperation Council (GCC) countries, including Saudi Arabia, will become the best alternative market for beef from the Maun abattoir, which does not meet the stringent EU standards.
The BMC is collaborating closely with the parent ministry of Agriculture and organisations responsible for marketing Botswana, such as the Botswana Investment and Trade Centre (BITC) and the Botswana Tourism Organisation (BTO).
In an interview, Chief Operating Officer Brian Dioka stated that the GCC offers a significant alternative market because it can provide access for the 80 percent of cattle from communal areas that do not comply with EU requirements. He emphasised that the success of Botswana beef in reaching premium levels in that market heavily depends on the country's strategic marketing efforts. Understanding that consumers pay close attention to the origins of their products and the country profile is crucial.
Dioka said the BMC is eager to penetrate the GCC market, which is currently dominated by US beef. Botswana has an advantage because, unlike US meat, which contains hormones, Botswana's beef is hormone-free. The hormones used in US beef aid digestion, converting food into protein and sugar more efficiently, allowing cows to fatten quickly.
He also noted that the US has a well-organised system and is a trusted brand in the Asian market due to its high-quality distribution network, which efficiently transports products. Dioka explained that maximum efficiency and reliability are essential to ensure a consistent supply if one wants to compete in the Hotel, Restaurant, and Cafeteria (HORECA) market, which caters to a high-end clientele who expect their steak to taste the same every time.
Elaborating on this point, Dioka noted the importance of 'acquired taste' in the perishable goods market, saying it is challenging to switch products because consumers are driven not by price but by their preference for a specific taste. Recently, BMC hosted a delegation from Dubai to discuss exporting Botswana beef. Dioka mentioned that the issue of acquired taste was a key topic during the delegation's visit to Lobatse. He said these are the
kinds of discussions the delegation will have with their principals.
Dioka stated that they have clearly communicated that beef from the Maun abattoir is becoming available, and Dubai could be an ideal market for it. However, beef from the Lobatse BMC remains the premium product. He emphasised that despite significant interest in their products, they need to be cautious because the Dubai market is highly aggregated and operates as a commodity market. Further, that the current updates are general, as they are waiting for a solid proposal from the Dubai delegation, expected in the coming weeks.
He compared Dubai's aspirations to become the distribution hub of Persia to the role of the Netherlands. He noted that Botswana, often referred to as 'land-linked' rather than landlocked, serves as a crucial transit route for trade heading to South Africa. He said even Dubai is trying to emulate the Netherlands where there are trade and transportation hubs.
'In such markets you find a lot of what we often call intermediaries. The people who are just there to make margins not necessarily as consumers, but to make margins so that they distribute to other territories within the region. That is the let-down in Dubai when dealing with niche products.'
Dioka said for now, BMC is working on a marketing plan to ensure that Dubai becomes their route to some of the high premium regions of the Gulf States.
'We consider the GCC because of our access through Dubai is a real alternative to EU, make no mistake about that because the demand is there and high. You have a mix of buyers, premium, as well as those that are of choice or Grade 1 in terms of consumption.'
Dioka said they will have to work very hard with BTO and BITC to produce a country plan to market, package and sell Botswana, which is not known much like South Africa.