An investigation into Penjor Slaughterhouse in Tsirang, the country’s sole beef supplier, has revealed several operational issues, including pricing irregularities, use of personal bank accounts, poor hygiene and outdated slaughter practices, among others. The Competition and Consumer Affairs Authority (CCAA) released its findings yesterday. The investigation followed after Thimphu meat vendors filed complaints against the facility about unfair pricing, hygiene concerns, and operational lapses that affected vendors and consumers. In February, BBS ran an exclusive story on Thimphu’s meat shop owners raising concerns over the issue.
The report states that the slaughterhouse does not source cattle but allows meat vendors to use its facility to slaughter cattle and process meat. It charges vendors Nu 3,500 per animal for facility use and Nu 1,100 for butchering.
Additionally, it keeps the head, feet, and internal organs of animals without providing compensation to the vendors. The vendors are required to pay a refundable security deposit of Nu 100,000, but without receipts, raising concerns about financial transparency.
According to the report, vendors alleged they were forced to sell the cattle to the slaughterhouse at low prices and repurchase it at inflated rates.
While the investigation could not fully confirm this, it found that the slaughterhouse under-invoiced transactions, issuing receipts for Nu 250 per kilogramme while charging vendors up to Nu 400. This raised suspicions of tax evasion and financial misconduct.
The report also highlights hygiene and animal welfare concerns. While the facility is licensed for beef production, it lacks “Good Hygiene Practices and Good Manufacturing Practices” certification.
Slaughter methods were found outdated and primitive, and wastewater runoff was observed to be dangerously close to a community water source, posing environmental risks.
According to the report, the Competition and Consumer Affairs Authority has recommended the Department of Revenue and Customs to investigate under-invoicing and improper financial practices and hold the proprietor accountable for his lapses with penalty as deemed necessary.
In addition, it has recommended the Bhutan Food and Drug Regulatory Authority to increase hygiene inspections and vigilance and the Department of Livestock to explore modern alternative methods for handling, transportation and slaughter with a focus on enhancing animal welfare and replacing outdated practices.
The report has further suggested revising beef import policies to allow fresh beef imports. According to the report, this could increase competition, lower prices, and offer consumers better quality and choice.
Karma Samten Wangda
Edited by Sonam Pem
