Mawashi in talks to set up livestock farms abroad
Originally published in Gulf Times on July 5, 2008
AS PART of Qatar’s broader plans to ensure food security, Qatar Meat and Livestock Company (Mawashi) has been engaged in efforts to establish livestock farms in foreign countries including Sudan and Australia.
While the company’s Sudanese branch exported the first shipment of its products to Qatar in November last year, talks with the Australian government for setting up livestock farms and investment opportunities in the livestock and meat trading industry have been initiated, it is learnt.
Mawashi chairman and managing director Khaled bin Mohamed al-Khater had also held talks with a trade delegation from Macedonia led by its second deputy premier Zefco Yankolivski last year. The Macedonian delegation had briefed Mawashi officials about the investment opportunities in this sector in their country.
In 2007, Mawashi signed an agreement with the Kuwait Livestock Transport & Trading Company for supplying 250,000 Australian sheep for 2008. The deal is worth $20.5mn.
Mawashi has also established a food trading company with Bahrain. The formal announcement of the company was made during the first board of directors meeting in November last year.
In January, Mawashi officials met the Australian minister for agriculture and food in connection with establishing livestock farms in that country as well as other investment opportunities in this sector. Prior to it, the company had signed an agreement with the Government of Western Australia to prepare a feasibility study.
The company is currently building an automatic slaughter house at Umm Al Owaina at a cost of QR700mn. It is also a slaughterhouse at the main livestock market in Abu Hamour, where people are charged QR16 for the slaughter of livestock.
Meanwhile, private sellers of the livestock in Abu Hamour are reporting good business even though the season has not begun yet.
The best time for these traders is during Ramadan and Eid-ul-Adha when thousands of Muslims slaughter sheep, goat, cow or camels.
One trader attributed steady ‘off season’ sales to the increase of population in Qatar and increased purchasing power of the people.
A seven-eight months old camel (Saudi Arabia) was available in the market for QR3,000 and above, while a two-year old one was offered for QR4,500. Camels from Qatar were also available at the market and were similarly priced.
“And buyers usually go for Qatari camels since they assume they have been fed and cared for well,” said a Yemeni seller.
Syrian sheep - the most preferred among individual buyers - was available in the range of QR600-900, while animals from Saudi Arabia were priced between QR500 and 700. Prices can be negotiated and most of the prospective buyers are usually seen haggling with the nomadic traders, who mostly hail from Yemen.
“These prices can double or triple, come Ramadan or both Eids,” explained a seller.
Supply to the market is either through auction or private farmers in the region. Parallel businesses, such as fodder for the livestock were also thriving.
Iranian fodder was being sold by a wholesaler to the market for QR35 a bundle. Other cheaper varieties are also available.
Mawashi also has facility at the market, offering Australian and Syrian sheep at fixed prices. The rate of an Australian sheep was fixed by the stock-enlisted company at QR450, while the Syrian animals cost QR800 each.
According to an official, this main market is the only place where the company keeps all the stock, since it orders livestock in keeping with the demand.
Australian and Pakistani cows were also available at the market for anything from QR3,500 and QR2,000, respectively.