Copper overtook diamonds as the country’s leading export item for the first time in November, as the slump in the precious stones continued to weigh on trade figures and the economy.
Statistics Botswana figures released this week show that the shortfall between the value of goods imported and exported by the country reached P6.8 billion last November, the worst monthly figure since the diamond downturn began in late 2023. Imports in November were estimated at P9.1 billion set against exports of P2.3 billion. The main import items included diamonds, food, fuel, and machinery, whilst exports were led by copper at P780.5 million, followed by diamonds at P618 million, and machinery and electrical equipment at P241.5 million.
Diamonds are classified as both imports and exports because the country imports rough diamonds under the sales agreement with De Beers where stones from Canada, South Africa, and Namibia are sorted, arranged, and sold in Gaborone to international clients over 10 auctions a year.
However, the major story of the latest figures was the copper exports surging above diamonds for the first time, a historical feat according to available records. The record was made possible by a sharp drop in diamond exports, as the precious stones’ exports fell from P2.5 billion in October to P618 million in November. Copper exports maintained their strong performance seen in 2024 over the same period, though marginally dropping by about five percent.
The uptick in copper and nickel exports is on the back of rising local production and escalating prices of the metals, which are both eagerly sought after in the global energy transition. Diamonds, meanwhile, are battling with the prolonged diamond downturn, which has been caused by lower demand in the retail market due to oversupply dating back to 2022.
Diamonds are classified as both imports and exports because the country imports rough diamonds under the sales agreement with De Beers where stones from Canada, South Africa, and Namibia are sorted, arranged, and sold in Gaborone to international clients over 10 auctions a year.
However, the major story of the latest figures was the copper exports surging above diamonds for the first time, a historical feat according to available records. The record was made possible by a sharp drop in diamond exports, as the precious stones’ exports fell from P2.5 billion in October to P618 million in November. Copper exports maintained their strong performance seen in 2024 over the same period, though marginally dropping by about five percent.
The uptick in copper and nickel exports is on the back of rising local production and escalating prices of the metals, which are both eagerly sought after in the global energy transition. Diamonds, meanwhile, are battling with the prolonged diamond downturn, which has been caused by lower demand in the retail market due to oversupply dating back to 2022.