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Somaliland, Saudi Businessman Sign Livestock Export Deal

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Somaliland, Saudi Businessman Sign Livestock Export Deal

 

Hargeysa, Somaliland, April 14, 2007 (SL Times) – The Somaliland livestock minister has announced on Monday that an agreement on livestock exports has been reached between Somaliland and a Saudi Arabian businessman. The businessman will export 2,000,000 heads of cattle, camels or goats per year.

 

The Somaliland livestock minister said at a meeting that the agreement between the government and the businessman, who goes by the name Sulayman Sa'id al-Jabiri, has two provisions:

 

1. The businessman should buy 2,000,000 heads of livestock - camels, cattle or goats from Somaliland every year and export them to Saudi Arabia.

 

2. Building of a quarantine camp for livestock meant to undergo health checks in Berbera that meet international standards. The camp will have the capacity of keeping 5,000,000 heads of cattle, camels or goats and it will be funded by the businessman. The construction of this camp will begin at the end of this week.

 

The Somaliland livestock minister also mentioned that the sale of livestock to Yemen will remain as it is.

 

The minister noted that this agreement would be useful for exporting Somaliland livestock to Saudi Arabia, where a ban used to exist on livestock from Somaliland.

 

Source: Somaliland Times

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Well, time now for us to take a quick break. But when we return: looking for ways to revamp its economy, Somaliland demands action on an international livestock ban. Stay with us.

 

(COMMERCIAL BREAK)

 

MAKGABO: And welcome back.

 

We now take you to the breakaway Somali region of Somaliland, where leaders are looking for ways to revive the region's economy. Once thriving, the economy has taken a downward turn after many Arab countries imposed a ban on the region's principle export, livestock.

 

Catherine Bond reports from the port city of Berbera.

 

(BEGIN VIDEOTAPE)

 

CATHERINE BOND, CNN CORRESPONDENT (voice-over): Livestock, the backbone of Somaliland's economy, shipped on the hoof from the Red Sea port of Berbera. But there are fewer animals leaving Somaliland than before, and leaders here in this breakaway region of Somalia are angry about it.

 

(on camera): Normally, Somaliland says it would export more than 2 million sheep a year to Saudi Arabia; exports that would earn it up to 200 million U.S dollars.

 

(voice-over): Last year Berbera did it's best business ever. But a ban last September, the second in three years, has hit it hard.

 

ALI OMAR MOHAMED, PORT MANAGER: Last year when the livestock was stopped, we were expecting about 30 percent cut in the (UNINTELLIGIBLE) volumes on both sides, but now we have been up to 60 percent cut.

 

BOND: At first, the ban was due to an epidemic of rift valley fever, which killed more than 300 people in Saudi Arabia and Yemen. But now, even officials of the FAO, the Food and Agriculture Organization, have declared Somaliland's stock disease free. And leaders here call Saudi Arabia's ban on Somali mutton, which has devastated the economy and cut government revenues in half, unwarranted and unfair.

 

Political pressure, claims its president, to get Somaliland's unrecognized government to rejoin the fractured state of southern Somalia.

 

MOHAMMED IBRAHIM EGAL, SOMALILAND PRESIDENT: (UNINTELLIGIBLE) what I say about the power of these beggars, you know the -- some of these. The FAO came here. They examined our livestock, not only here but in the (UNINTELLIGIBLE) region of Ethiopia and Somalia. And they have testified, you know, that there is no sickness, you know, in our livestock, you know.

 

BOND: Another suspicion: Saudi interest in Australian sheep farms. Some say it means Saudi Arabia has let Australia fill the gap.

 

Either way, FAO officials believe it's time to resume trade, based on regulations to protect both exporter and importer with Somali traders able check they're sending livestock free, not just of rift valley fever, but foot and mouth and Renda (ph) pest.

 

The ban last year, says the FAO, was justified.

 

PAUL ROSSITER, FOOD & AGRICULTURE ORG.: There was a huge problem, and one of the things which the Saudis and the Yemenis both did was to immediately put in place a ban on the movement of their own livestock. And I think in this whole story about these outbreaks and the bans, that people have neglected the fact that there's been a ban on the indigenous livestock movement, as well as a ban on importation.

 

BOND: With the welfare of hundreds of thousands of families at stake, the FAO now hopes trade will resume, which it has a little. The United Arab Emirates reopened markets like Dubai. This partial lifting of the ban helping pastoralists like 13-year-old Nuo (ph) already.

 

"Several months back," he says, "there was no market for our goats. But now the demand has increased and we are getting a favorable price."

 

A favorable price, say experts, that comes from top quality, comparable or even better than mutton from other areas.

 

ROSSITER: If you've ever eaten it, you'll agree that it is actually delicious compared with some of the more commercial sources that are brought in on boats from other parts of the world.

 

BOND: Somalis are confident that, given the chance, their old trading ties with Saudi Arabia will help them recapture the Saudi market.

 

MOHAMED: And as soon as the ban is lifted, we draft all our livestock away from the market.

 

BOND: They and the FAO would like to see the ban reversed before February, so that Berbera can take advantage of its proximity to Saudi ports. The two- or three-day journey across the Red Sea before mutton eating pilgrims converge in Saudi for the Hajj.

 

Catherine Bond, CNN, Berbera, Somaliland.

 

cnn.com - transcripts

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Somaliland, Saudi businessman sign livestock export deal

 

 

The Somaliland livestock minister has announced that an agreement on livestock exports has been reached between Somaliland and a Saudi Arabian businessman. The businessman will export 2,000,000 heads of cattle, camels or goats per year.

 

The Somaliland livestock minister said at a meeting that the agreement between the government and the businessman, who goes by the name Sulayman Sa'id al-Jabiri, has two provisions:

 

1. The businessman should buy 2,000,000 heads of livestock - camels, cattle or goats from Somaliland every year and export them to Saudi Arabia.

 

2. Building of a quarantine camp for livestock meant to undergo health checks in Berbera that meet international standards. The camp will have the capacity of keeping 5,000,000 heads of cattle, camels or goats and it will be funded by the businessman. The construction of this camp will begin at the end of this week.

 

The Somaliland livestock minister also mentioned that the sale of livestock to Yemen will remain as it is.

 

The minister noted that this agreement would be useful for exporting Somaliland livestock to Saudi Arabia, where a ban used to exist on livestock from Somaliland.

 

 

 

BBC Monitoring

 

 

Copyright © 2007 BBC Monitoring/BBC. Source: Financial Times Information Limited.

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RedSea   

Good news for us, more business oppurtunities for our area. Now, can they do something with the money they get back selling the livestock?

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