Beef prices soar amid FMD outbreak

Beef prices soar amid FMD outbreak
Beef prices soar amid FMD outbreak

Beef prices in South Africa have surged due to confirmed outbreaks of foot-and-mouth disease (FMD) across five provinces, leading to significant supply shortages. Retail prices in major cities like Cape Town and Johannesburg have risen by 15% to 25% in just two weeks, with some supermarkets facing temporary shortages. The Red Meat Producers' Organisation (RPO) reports that beef prices are now 20% higher than last year, while whole cattle prices have increased by 45%. As new cases continue to emerge, pricing pressures are expected to persist.

The FMD outbreak has also impacted South Africa's beef exports, prompting several countries to suspend imports of fresh beef and related products. Livestock associations warn that if the epidemic continues until August, the beef cattle industry could face its worst crisis in a decade. Although the Ministry of Agriculture has lifted animal movement restrictions in parts of Eastern Cape and Limpopo, the situation remains critical, with new cases reported in KwaZulu-Natal, North West, and Gauteng.

In response, the government has launched a national vaccination campaign, distributing over 500,000 doses of FMD vaccines to high-risk areas and allocating 43 million rand (approximately 2.44 million U.S. dollars) for additional vaccines. Agriculture Minister John Steenhuisen assured that vaccinated animals will be safe for consumption after six weeks. Furthermore, a Biosecurity Council is being established to enhance disease surveillance and prevent future outbreaks.

The FMD crisis has led to export bans from countries like China, Namibia, and Zimbabwe, complicating the domestic supply chain and contributing to rising food inflation, which reached 4.8% in May. Consumers, particularly those in lower-income groups, are increasingly concerned about the affordability of protein sources, especially as an avian influenza outbreak has also led to poultry import bans. Authorities maintain that beef remains safe for consumption, as FMD does not affect humans, while efforts to contain the outbreak and stabilize the meat supply chain continue.