Leather park development pushed back even further
Pauline Dikuelo | Friday September 28, 2018 13:22
The leather park, a Local Enterprise Authority initiative, has been in the pipeline since 2014 with little progress, a fact that has frustrated authorities and residents in the border town.
The project entails development of a complex for different tanneries, supported by the Botswana Meat Commission and primary infrastructure such as a common effluent treatment plant, sewage treatment plant and others. Government has said the plant could employ up to 10,000 employees when fully functional, marking a sustainable economic diversification effort.
Appearing before the Public Accounts Committee (PAC) recently, MITI permanent secretary, Peggy Serame said the ministry is currently reviewing the business model for the leather park to include private sector participation.
“The idea was that government’s infrastructure investment would only be to put up a common effluent treatment plant for use by the various tanneries. The market is saying other components are needed as well. We had cost estimates from 2014 and we have to revise them, which should be done by the end of October,” she said.
According to Serame, since the decision to construct the leather park, a lot of preparation had to be done including the Environmental Impact Assessment, engagement of technical advisers, technical partners and even arranging partners for funding. “However, we could not secure these as the market told us that we need to set up the infrastructure and they will come in. We are hopeful that we will start construction of this primary infrastructure soon,” she said.
Earlier this year, the Ministry reported that they had not found the funds for the leather park. Trade minister, Bogolo Kenewendo told the media then that her Ministry was still sourcing funds for the multi-million pula project. The Ministry initially developed the Leather Industry Strategy in 2012. According to the Ministry the leather park is highly technical and needs specialised expertise and experience both at construction and operational stages.
Once operational the leather park is expected to provide private sector activities in hides and skins collection, raw to finished leather tanneries and manufacturing of different leather products. These products include shoes, belts, jackets and others thereby playing an instrumental role in stimulating economic activity.