Brink pushes the BMC styled business model
Derek Brink’s Senn foods is set to expand significantly encroaching into some of Botswana Meat Commission’s (BMC) safe zones such as cannery, creating hundreds of jobs in the process. Although the BMC monopoly denies Senn Foods an opportunity to export beef, the 35 year old business seeks to expand into cannery and biltong production for open markets.
According to the Botswana Trade and Investment Centre (BTIC) website, Senn Floods is explained as a privately owned domestic company that began its operations in 1982. The company currently has 480 employees. The company is into wholesome foods and their products are processed meat and beef. With the current expansion, Senn Foods is expected to hire an extra 200 to bolster the work force and has recruited some experienced former BMC employees for its cannery division. BMC recently retrenched and Senn Foods pounced.
This publication gathers that with the erection of a new bigger factory, Senn Foods which currently exports processed meat only, is on a mission to ready itself for the possible liberalisation of the beef market. Parliament has been procrastinating over the BMC monopoly Bill for the past five years. The bill is currently under deferred status. It seeks to abolish the BMC monopoly in the exportation of live cattle and beef.


The law was last discussed in Parliament when Christian De Graaf was still minister of Agriculture.
Because of the BMC monopoly, Senn Foods is not allowed to export beef. In the past they have explained that they are not exporting chicken because local prices are very hire. A senior employee at Senn Foods indicated that the company’s expansion plans are moving at a very fast pace in anticipation of a liberalised beef market, which could potentially triple the company’s earnings.
WeekendPost has further established that Senn Foods has potential customers inquiring from as far as Hong Kong, China and other Asian countries on the possibility of importing beef from Botswana. The SADC region, especially Angola and the DRC are also interested. The main impediment remains licencing because BMC is protected from competition. However, what frustrates businesspeople like Brink and others is the fact that BMC seems to shun other markets and is only interested in exporting to the European Union. Attempts by Senn Foods to apply for licences to export meat other than beef are said to have been turned down on a number of occasions.
Senn Foods already operates an abattoir which has also been revamped and increased in size. The abattoir slaughters cattle, goats, sheep, game and a host of other animals for the local market.
The considered expansion, it is said, also took into consideration the possible liberalisation of the beef market and possibly other meat for export.
SENN FOODS THE EMPIRE
Derek Brink, as part of the plans to spread Senn Foods in Africa, sold 49 percent in Botswana’s biggest cold chain distribution firm, Senn Foods Logistics, for R79.9 million ($7,7m) to RCL Foods in 2014.
RCL Foods also used the acquisition in keeping with its plans to grow its presence in Africa, which is projected to experience unprecedented economic growth in the next decade.
“(Through this acquisition RCL and Vector will) offer world class logistics and sales solutions to existing and future partners in these countries,” RCL said in a statement.
Through these partnerships, Senn Foods intends to ease transportation of its goods through Africa now and in future. “Senn Foods has a lot of potential, it could employ more people, if the beef market is liberalised,” quizzed one of the company executives.
Senn Foods Logistics is involved in the distribution of dry, frozen and chilled foodstuffs. The firm currently represents almost all of Vector’s principals in Botswana, which includes Rainbow, McCain, I&J, Fry’s and QSR customers, Chicken Licken, Nando’s, Spur and Wimpy.
Senn Foods has in the past also acquired 100% issued share capital in Seafood Wholesale Botswana and in exchange, Seafood Wholesale Botswana getting 43% of issued share capital in Senn Foods. Seafood Wholesale is a distributor of chilled and frozen products including Senn Foods processed meats and dry goods.
THROW BACK – THE MONOPOLY DEBATE
Those who support the liberalisation of the beef market are of the view that if the BMC monopoly ceases, farmers would be able to sell as individuals or syndicates to whoever they choose. At the moment they are confined to selling to the BMC because of the monopolistic BMC Act. Farmers are interested in the Angola and Zimbabwe markets because they believe the BMC has neglected those.
The anti-BMC rally is also of the view that the EU sometimes makes it difficult for Botswana to sell her beef because of stringent standards. They stress that there need to address quality first and further note that if the government were to open up the beef market, it would be a free for all. They point out that only commercial farmers would benefit from the new arrangement. He argued that Batswana farmers, who do not have ranches, would be unable to develop their breed. But those against liberalisation are of the view that before Botswana opens up the market there is need to develop the local breed first.
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Nigerians, Zimbabweans apply for Chema Chema Fund
Fronting activities, where locals are used as a front for foreign-owned businesses, have been a long-standing issue in Botswana. These activities not only undermine the government’s efforts to promote local businesses but also deprive Batswana of opportunities for economic empowerment, officials say. The Ministry of Trade and Industry has warned of heavy penalties for those involved in fronting activities especially in relation to the latest popular government initiative dubbed Chema Chema.
According to the Ministry, the Industrial Development Act of 2019 clearly outlines the consequences of engaging in fronting activities. The fines of up to P50,000 for first-time offenders and P20,000 plus a two-year jail term for repeat offenders send a strong message that the government is serious about cracking down on this illegal practice. These penalties are meant to deter individuals from participating in fronting activities and to protect the integrity of local industries.
“It is disheartening to hear reports of collaboration between foreigners and locals to exploit government initiatives such as the Chema Chema Fund. This fund, administered by CEDA and LEA, is meant to support informal traders and low-income earners in Botswana. However, when fronting activities come into play, the intended beneficiaries are sidelined, and the funds are misused for personal gain.” It has been discovered that foreign nationals predominantly of Zimbabwean and Nigerian origin use unsuspecting Batswana to attempt to access the Chema Chema Fund. It is understood that they approach these Batswana under the guise of drafting business plans for them or simply coming up with ‘bankable business ideas that qualify for Chema Chema.’
Observers say the Chema Chema Fund has the potential to uplift the lives of many Batswana who are struggling to make ends meet. They argue that it is crucial that these funds are used for their intended purpose and not siphoned off through illegal activities such as fronting. The Ministry says the warning it issued serves as a reminder to all stakeholders involved in the administration of these funds to ensure transparency and accountability in their disbursement.
One local commentator said it is important to highlight the impact of fronting activities on the local economy and the livelihoods of Batswana. He said by using locals as a front for foreign-owned businesses, opportunities for local entrepreneurs are stifled, and the economic empowerment of Batswana is hindered. The Ministry’s warning of heavy penalties is a call to action for all stakeholders to work together to eliminate fronting activities and promote a level playing field for local businesses.
Meanwhile, the Ministry of Trade and Industry’s warning of heavy penalties for fronting activities is a necessary step to protect the integrity of local industries and promote economic empowerment for Batswana. “It is imperative that all stakeholders comply with regulations and work towards a transparent and accountable business environment. By upholding the law and cracking down on illegal activities, we can ensure a fair and prosperous future for all Batswana.”
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Merck Foundation and African First Ladies mark World Health Day 2024
Merck Foundation, the philanthropic arm of Merck KGaA Germany marks “World Health Day” 2024 together with Africa’s First Ladies who are also Ambassadors of MerckFoundation “More Than a Mother” Campaign through their Scholarship and Capacity Building Program. Senator, Dr. Rasha Kelej, CEO of Merck Foundation emphasized, “At Merck Foundation, we mark World Health Day every single day of the year over the past 12 years, by building healthcare capacity and transforming patient care across Africa, Asia and beyond.
I am proud to share that Merck Foundation has provided over 1740 scholarships to aspiring young doctors from 52 countries, in 44 critical and underserved medical specialties such as Oncology, Diabetes, Preventative Cardiovascular Medicine, Endocrinology, Sexual and Reproductive Medicine, Acute Medicine, Respiratory Medicine, Embryology & Fertility specialty, Gastroenterology, Dermatology, Psychiatry, Emergency and Resuscitation Medicine, Critical Care, Pediatric Emergency Medicine, Neonatal Medicine, Advanced Surgical Practice, Pain Management, General Surgery, Clinical Microbiology and infectious diseases, Internal Medicine, Trauma & Orthopedics, Neurosurgery, Neurology, Cardiology, Stroke Medicine, Care of the Older Person, Family Medicine, Pediatrics and Child Health, Obesity & Weight Management, Women’s Health, Biotechnology in ART and many more”.
As per the available data, Africa has only 34.6% of the required doctors, nurses, and midwives. It is projected that by 2030, Africa would need additional 6.1 million doctors, nurses, and midwives*. “For Example, before the start of the Merck Foundation programs in 2012; there was not a single Oncologist, Fertility or Reproductive care specialists, Diabetologist, Respiratory or ICU specialist in many countries such as The Gambia, Liberia, Sierra Leone, Central African Republic, Guinea, Burundi, Niger, Chad, Ethiopia, Namibia among others. We are certainly creating historic legacy in Africa, and also beyond. Together with our partners like Africa’s First Ladies, Ministries of Health, Gender, Education and Communication, we are impacting the lives of people in the most disadvantaged communities in Africa and beyond.”, added Senator Dr. Kelej. Merck Foundation works closely with their Ambassadors, the African First Ladies and local partners such as; Ministries of Health, Education, Information & Communication, Gender, Academia, Research Institutions, Media and Art in building healthcare capacity and addressing health, social & economic challenges in developing countries and under-served communities. “I strongly believe that training healthcare providers and building professional healthcare capacity is the right strategy to improve access to equitable and quality at health care in Africa.
Therefore, I am happy to announce the Call for Applications for 2024 Scholarships for young doctors with special focus on female doctors for our online one-year diploma and two year master degree in 44 critical and underserved medical specialties, which includes both Online Diploma programs and On-Site Fellowship and clinical training programs. The applications are invited through the Office of our Ambassadors and long-term partners, The First Ladies of Africa and Ministry of Health of each country.” shared Dr . Kelej. “Our aim is to improve the overall health and wellbeing of people by building healthcare capacity across Africa, Asia and other developing countries. We are strongly committed to transforming patientcare landscape through our scholarships program”, concluded Senator Kelej.
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Interpol fugitive escapes from Botswana
John Isaak Ndovi, a Tanzanian national embroiled in controversy and pursued under a red notice by the International Criminal Police Organization (Interpol), has mysteriously vanished, bypassing a scheduled bail hearing at the Extension 2 Magistrate Court in Gaborone. Previously apprehended by Botswana law enforcement at the Tlokweng border post several months earlier, his escape has ignited serious concerns.
Accused of pilfering assets worth in excess of P1 million, an amount translating to roughly 30,000 Omani Riyals, Ndovi has become a figure of paramount interest, especially to the authorities in the Sultanate of Oman, nestled in the far reaches of Asia.
The unsettling news of his disappearance surfaced following his failure to present himself at the Extension 2 Magistrate Court the preceding week. Speculation abounds that Ndovi may have sought refuge in South Africa in a bid to elude capture, prompting a widespread mobilization of law enforcement agencies to ascertain his current location.
In an official communiqué, Detective Senior Assistant Police Commissioner Selebatso Mokgosi of Interpol Gaborone disclosed Ndovi’s apprehension last September at the Tlokweng border, a capture made possible through the vigilant issuance of the Interpol red notice.
At 36, Ndovi is implicated in a case of alleged home invasion in Oman. Despite the non-existence of an extradition treaty between Botswana and Oman, Nomsa Moatswi, the Director of the Directorate of Public Prosecution (DPP), emphasized that the lack of formal extradition agreements does not hinder her office’s ability to entertain extradition requests. She highlighted the adoption of international cooperation norms, advocating for collaboration through the lenses of international comity and reciprocity.
Moatswi disclosed the intensified effort by law enforcement to locate Ndovi following his no-show in court, and pointed to Botswana’s track record of extraditing two international fugitives from France and Zimbabwe in the previous year as evidence of the country’s relentless pursuit of legal integrity.
When probed about the potential implications of Ndovi’s case on Botswana’s forthcoming evaluation by the Financial Action Task Force (FATF), Moatswi reserved her speculations. She acknowledged the criticality of steering clear of blacklisting, suggesting that this singular case is unlikely to feature prominently in the FATF’s assessment criteria.