Time to end informal sector fronting

The Francistown Umbrella Informal Sector chairperson, David Mbulawa, has highlighted this growing concern, revealing that many local traders are using their licences to facilitate the entry of foreign goods into the market at a fee.

Fronting undermines the very fabric of our local economy. It allows foreign traders to exploit the system designed to benefit Batswana, using local licences to cross borders and sell goods at prices intended for local traders. This not only distorts market dynamics but also deprives genuine local entrepreneurship opportunities to thrive. The goods, once across the border, are sold by local traders on behalf of foreigners, who in turn pay them for this service. This arrangement often comes to light only when disputes arise between foreign traders and local licence holders.