Taking care of �doing business�
Staff Writer | Friday February 21, 2014 16:46
BusinessWeek: Since its formation what has BITC achieved to date?
Sejoe: BITC has been quite aggressive in marketing and positioning Botswana in the global market. Since its formation we have launched BITC in South Africa, London and went to Japan where we met multinational companies, Brazil where we engaged pharmaceutical companies and currently our team is in Mozambique marketing Botswana.
BITC is also building a national (Botswana) image on the international landscape.
We have also engaged foreign missions based in Botswana with an aim of attracting investment to Botswana.
The Turkish ambassador to Botswana is currently facilitating to bring Turkish investors to Botswana, to come and explore the abundant opportunities this country has to offer. The Kenyan ambassador is also facilitating a visit of the Kenyan business delegates to Botswana. As BITC we have developed a strategy that puts a lot more emphasis on specific sectors.
BusinessWeek: Is Botswana attractive enough for FDI?
Sejoe: There are some strengths and weaknesses, and amongst the challenges this country is faced with is the length of time it takes to register. This might not go well with some investors in the end abandoning their intention to invest in the country.
Even though we have plenty of land, there is still a challenge to find serviced land with utilities like water, sewerage system, electricity and roads to mention but a few. It is even more difficult to get serviced land in the vicinity of Gaborone.
There are also perceptions that we are a small market. Amongst the strengths that we have as Botswana is the stable environment that we have had for a long time, because of political stability. Our economy for a long time has been performing very well, providing opportunities for businesses to flourish.
If you look at our import bill you will realise that there are opportunities in the core sectors of the economy, so those are opportunities we have as a country. The relocation of the Diamond Trading Company (DTC) to Botswana has also brought much needed attention to the country, which on its own is an opportunity for investors to tap into.
BusinessWeek: What is BITC doing to boost export promotion, especially non-mining exports?
Sejoe: BITC have taken Batswana/local business to international trade fairs in South Africa, Japan and Zimbabwe with the aim of giving them access to the market.
We have also trained exporters to produce quality competitive products in the global market.
By training local producers it empowers them, while at the same time it gives them skills to survive competition in the global market.
BusinessWeek: What are the requirements for businesses to qualify for the services offered by a one stop shop/ business facilitation service centre?
Sejoe: This should not be mistaken, Batswana investors are required the same requirements that qualify their foreign counterparts.
For an investor to qualify for the business facilitation service centre their businesses need to be consistent with the national level requirements, there should be able to help in diversifying the economy, bringing the much-needed foreign direct investment and create employment.
Business Week: How is the one stop shop going to ease the way of doing business in Botswana?
Sejoe: It will enable qualifying investors in the manufacturing and selected services sectors to secure all government clearances and approvals with ease for business start-up. Investors would be able to submit documents to the one window business facilitation centre, which then forwards them to relevant authorising government departments.
It would facilitate government authorisation, notably; company and business registration, trade and business licence applications, entry visas, work and resident permits, work permits exemptions, connection of utilities, income tax and VAT registration, access to industrial and commercial land allocation, facilitation of construction permits, allocation of BITC factory space, environmental impact assessment compliance, and provision of information on the Botswana business climate, regulatory regime and investment opportunities.
BusinessWeek: BITC usually carries its studies on economic sectors and their suitability for investment, which sectors are investors encouraged to invest in?
Sejoe: We encourage investors to invest in agriculture, manufacturing, mining, energy, financial sector and business services.
The reason why we encourage investors to invest in agriculture is because our production is below our domestic consumption.
For instance if you look at our dairy produce we have a deficit of 89%, which means we only produce 11%. That’s why we say there is an opportunity in agriculture for investors to take advantage of.
In mining nowadays investors bring themselves, that’s why we are focused on beneficiation which we think will benefit the down stream investment.
Education is also one of the sectors we together with the Education hub encourage investors to invest in, and invest in institutions that would benefit the economy by producing skilled manpower for different sectors.
BITC also encourages business to invest in the financial sector, as we still want to make this country a financial hub.
BusinessWeek: Which countries are friendly to Botswana exports?
Sejoe: In SADC South Africa and Zimbabwe top the list of countries that Botswana exports to. We export a lot to European Union (EU), which consumes 37% of our exports followed by UK consuming 33% from us. We also export to Asian countries.