This comes on the backdrop of concerns about the viability of the local diamond cutting and polishing firms, reportedly operating below break-even due to high labour costs and other factors such as productivity and infrastructure.
In an interview with Mmegi, DTC international CEO Varda Shine said that the company has engaged manufacturers in discussions centred around making their business in Botswana more economical. "Normally in the diamond industry, labour cost should represent about 10 percent of the rough costs. So as the DTCB is trying to beneficiate as many rough diamonds as possible, we have gone into discussion with manufacturers to try and supply them with more suitable goods. With labour costs higher in Botswana, the manufacturers will need to buy rough that is of appropriately high value as well," she said on the sidelines of the Beneficiation Pitso held in Gaborone this week. However, Shine said the challenge they have faced in deliberately supplying the higher value goods to local manufacturers is trying to strike a balance between making the business run sustainably and creating employment.
