Vol.22 No.181

Thursday 24 November 2005    

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Business Week
Mogae wants value-addition on diamonds

EMMA KAKOLOLO
11/24/2005 9:23:50 PM (GMT +2)

WINDHOEK: President Festus Mogae on Friday said it was about time mining countries in the region started cutting and polishing diamonds extracted from their soil in order to net returns to develop local economies.


Mogae proposed that more cutting and polishing should be done particularly in southern Africa where the bulk of gem-quality diamonds are being mined. Botswana wants to set up a regional diamond-processing centre and has been canvassing for support from its neighbours. “We are not doing this in a hostile manner. We think since we are a source of this, it would be funny that we do little in diamonds and cutting,” he said.

Speaking at a joint press briefing in Windhoek with his Namibian counterpart Hifikepunye Pohamba, Mogae stated, “Over time, we, the diamond-producing countries in Southern Africa want more value addition done locally.” Dismissing assertions that Botswana was contemplating to start a company equal to diamond giant De Beers, Mogae, who was accompanied by Minerals Resources and Water Affairs Minister Charles Tibone, said Botswana was not establishing a new company, but would continue to work with De Beers, who agreed that some activities done in London could be done in Gaborone.

“For instance, Botswana, Namibia, Angola, Democratic Republic of Congo (DRC), South Africa and others can do the cutting and processing of their own products,” he stressed. His counterpart Pohamba also confirmed at the briefing that the decade-old agreement with De Beers would soon expire and that Namibia would like to extend this agreement.

“Negotiations have started already and the final decision shall be made known to the public,” he stated. Pohamba said regular bilateral interactions and exchange of views between Namibia and other countries would create a stronger position to advance and defend mutual interests.

“Namibia and Botswana are endowed with an abundance of natural resources that should be exploited and harnessed for the benefit of our peoples. In this light, I believe that our two countries should work together in order to leverage the economic potential of these resources,” said Pohamba. Pohamba felt both countries had already started to reap the fruits of common endeavours aimed at improving the living conditions of the people within the framework of bilateral cooperation.

“This bilateral cooperation encompasses a wide range of areas, such as education and training, agriculture and tourism, trade and commerce, as well as power supply and many other sectors,” he said. “In the same vein, I am pleased that in the context of SADC, our countries are working side by side to advance the cause of socio-economic development and prosperity of the people of our sub-continent,” he added. (New Era)

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