BEDIA to help set up Special Economic Zones (SEZs)

FREDERICK KEBADIRETSE
Staff Writer | Wednesday August 3, 2011 00:00

 

The Minister of Trade and Industry, Dorcas Makgato-Malesu, told Parliament on Monday that her ministry had decided to give BEDIA the task pending the development of a regulatory framework for SEZs.

The body will soon be merged with the International Financial Services Centre (IFSC) to become the Botswana Investment and Trade Centre.  Makgato-Malesu said once functional, the autonomous body would be tasked with administering SEZs, specifically in terms of staffing, budget, spending and policymaking. 

It will further report to a board responsible for operations of all SEZs in Botswana.  The minister was presenting the draft SEZs Policy for adoption by Parliament.

The proposed SEZs Policy defines SEZs as geographically distinct economic areas with their own administrative authority for the provision of an investor-friendly business environment that will make Botswana the most preferred destination for both domestic and foreign investment.  The policy aims at diversifying the economic and export base of Botswana into sectors that will continue to grow even after diamonds have run out.

The development of the policy emanates from the recommendations of the Botswana Business and Economic Advisory Council of 2005.  Makgato-Malesu said the development of the policy involved extensive stakeholder consultations in government, parastatals, the private sector and civil society, including labour organisations. 

Cabinet approved the draft policy in February.

The Minister said the policy would further provide for the development of public-private sector partnerships with SEZs across the country and sectors as dictated by the market.  Makgato-Malesu identified some of the SEZs that have since been adopted by government as modern configurations.  They include free trade zones, export processing zones, enterprise zones, free ports or mega zones, single factory zones and specialised zones.

The minister said the policy was cast in the context of domestic policies, strategies and legislation that would have a significant impact on it and vice versa. Among them were the National Development Plan (NDP) 10, Vision 2016 and the competition law.  In addition, the policy would also take into consideration the objectives of the Agricultural Hub, the Innovation Hub, the Diamond Hub and the Transport Hub.

Makgato-Malesu said in line with international best practice, government would put in place a new set of laws and regulations to govern the development and operations of SEZs and their enterprises in Botswana.  The law would cover all legal requirements for the efficient and effective functioning of modern SEZs.

Meanwhile, Director of  Export Development Lameck Nthekela has been appointed appoited acting CEO at BEDIA following the departure of Jacob Nkate.