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Home Livestock Cattle

Cattle farmers: There are other solutions to cost squeeze

7 July 2025
in Cattle
Reading Time: 6 mins read

By Vida Booysen

As cattle farming faces increasing pressures from rising costs and stagnant meat prices, cattle farmers and other meat industry role players gathered at the recent Boran SA Information Day near Bloemfontein to discuss solutions for sustainable and profitable livestock farming. The event, with the theme “Winds of Change” brought together experts, breed advisors, and stakeholders to tackle critical challenges facing South African beef producers.

“Cattle farmers must realise that the industry is undergoing change – the winds of change are already blowing,” said Christopher Havenga, breed advisor of Boran SA.

Havenga warned the coming weeks would be pivotal for the sector. “The next few weeks could be challenging and will shed light on the direction the industry is heading,” he told delegates at the Information Day held outside Bloemfontein.

He emphasised that South African farmers are resilient and will not be defeated by crises such as foot-and-mouth disease. “The only way cattle farmers are going to deal with the problems in the industry is to stand together. Let’s join hands and use the problems to turn our industry around in a positive way.”

Speakers at the Information Day proposed various solutions to the current cost squeeze threatening livestock farmers’ profitability and sustainability. 

Adapt and Produce More Affordably

Issie Liebenberg, beef consultant at agricultural consultancy Intelact, stressed the need for meat to be produced more cheaply in South Africa to ensure competitiveness in the export market.

“Even if we didn’t have foot-and-mouth disease and all the borders were opened, no one would buy our meat because it’s too expensive. We would have to farm differently,” Liebenberg explained.

He compared South Africa’s production methods with international competitors: “Both Brazil and Australia produce their cattle on the veld, which is why they can produce meat more cheaply, whereas South Africa, like the USA, produces meat in feedlots, which means the beef production price depends on the maize price.”

Liebenberg emphasised the importance of adapting to local conditions rather than trying to change them. “You can’t change where you farm, but you can make changes. Use efficient farming methods wherever you are. You need the right breed of cattle that suits your farm. Don’t change your environment, change your genetics.”

Grass-fed Beef: From Niche to Necessity

Marco Coetzee, inspector and auditor for the South African Meat Industry Company (Samic), pointed out that grass-fed beef has evolved beyond a niche market. “Grass-fed beef is no longer just a niche market, but a necessity in the beef value chain.”

According to Coetzee, South Africa is uniquely positioned to take the lead in grass-fed beef production. “Our diverse natural landscapes provide the ideal grazing conditions, and indigenous and adapted breeds such as Nguni, Bonsmara, Boran and Afrikaner thrive in these regions.”

He highlighted regions with particular potential: “The KwaZulu-Natal Midlands, parts of Mpumalanga, and the Amathole district in the Eastern Cape already show good potential. These areas combine fertile grasslands, moderate rainfall, and a history of grazing.”

Coetzee called on farmers, policymakers, and consumers to support grass-fed beef systems. “South Africa has the land, the right cattle breeds, and the knowledge. Now we just need the will to do it.”

Quality Throughout the Value Chain

The beef industry must recognise it’s working with a product of potential quality, not merely a commodity, according to Prof. Phillip Strydom, professor of meat science at Stellenbosch University’s Faculty of Agriculture.

“We can produce meat well at a good quality without it necessarily being expensive,” Strydom stated.

In his presentation on factors ensuring consumers can enjoy the perfect steak, Strydom explained that meat tenderness is one of the most important aspects determining quality. “Yet the classification system no longer has anything to do with tenderness and edibility, although it was designed in the 1980s to take these factors into account.”

He emphasised that abattoir processes significantly impact meat quality. “You can have very good genetic material, but if the wrong processes are used after slaughter, it is eliminated. It takes time and costs money to age meat properly, and we don’t always have it.”

Regenerative Agriculture Offers Proven Benefits

Gerrit van Zyl, Bonsmara stud farmer of Hanzyl Bonsmaras at Dewetsdorp, noted that over the past 20 to 30 years, livestock farmers have strived to achieve high weaning weights. “But there is an increase in the maintenance costs of the cow when weaning weight is increased,” he explained. This has caused production costs to rise while meat prices have stagnated.

Van Zyl is convinced that regenerative agriculture offers a viable alternative for the struggling livestock industry. Recognising that some farmers dislike the term “regenerative agriculture,” he suggests thinking of it as effective veld management that delivers higher yields than conventional systems.

The benefits are measurable, as Van Zyl has demonstrated on his own farm. Using a conventional system, he produced 36kg of meat per hectare, but by implementing regenerative agriculture practices, this increased to 70.3kg of meat per hectare last year. “Because we keep double the number of cattle, we have achieved a saving of almost R5/kg of meat produced,” he said.

Van Zyl concluded with a clear message about industry sustainability: “The guy who produces the cheapest meat per kilogram in South Africa will farm the longest.”

Looking Ahead: A Call for Change

With weaner calf prices stagnating and input costs rising, many farmers are looking for ways to maintain profitability on the veld by bypassing or reducing the feedlot finishing period.

The Boran Cattle Breeders’ Society’s Information Day specifically aimed to illuminate the latest research on veld finishing and provide practical implementation tips. Christo Doman, the event organiser, emphasised that the entire meat industry value chain – not just farmers – would benefit from these insights.

“In the current circumstances, where farmers are producing for feedlots and are under pressure due to low prices, they should explore other options,” Doman explained. “Producing grass-fed beef, where you finish your animals on the veld yourself and market them directly to abattoirs, represents one such promising alternative.”

As the industry navigates these challenging times, the collective message from the Information Day was clear: Adaptation, collaboration, and a return to cost-effective, environmentally-suited production methods will be key to securing a sustainable future for South Africa’s beef farmers.

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Record prices and global interest in Richter Simbra cattle

15 July 2025

Established in 2020, African Farming aims to support black commercial farming in South Africa by providing informative and inspiring content and creating communication and education channels to help farmers develop and grow. Its initiatives include African Farming information days and workshops, which empower farmers – whether new or experienced – to build profitable and sustainable farming enterprises.

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