Debswana, having surpassed its P20 billion target under the Citizen Economic Empowerment Programme (CEEP), is now focusing on enhancing local value chain initiatives to promote job creation and sustainable economic growth. Key initiatives include supporting local manufacturing and establishing a repair and rebuild center.
During a workshop with business partners, Debswana Managing Director Andrew Motsomi stressed the importance of promoting locally made products.
“By promoting the use of locally made products and establishing industries that supply our operations, we are cultivating opportunities worth an estimated P600 million annually,” he stated.
He also mentioned Debswana’s commitment to developing the rebuild center through strategic partnerships to consolidate national needs and boost Botswana’s industrial capacity. Feasibility study results and the identification of a technical partner will guide this initiative.
As part of its broader value chain efforts, Debswana seeks to transform Botswana into a value-generating economy by forming partnerships with organisations like the Botswana Chamber of Mines (BCM) and Botswana Investment and Trade Centre (BITC) to bolster local manufacturing. After over 50 years of diamond mining, Motsomi emphasised that establishing a robust manufacturing industry will position Botswana as a top mining investment destination.
While Debswana has made significant progress in implementing its CEEP, the results of the company’s supplier sustainability survey in Q3 2023 showed that citizen business partners had an average sustainability score of only 45 percent, below the target of 60 percent. Additionally, issues of financial mismanagement and fronting have been identified within the program, raising concerns. Motsomi warned of serious consequences for business partners found guilty of these actions.
Employee welfare also emerged as a critical concern, with reports of delayed or unpaid salaries among some business partners. Motsomi reiterated that employee welfare is paramount and that neglecting this responsibility could jeopardise partnerships with Debswana. He also urged business partners to respect workers’ rights, including their right to freedom of association.
CEEP is an integral part of Debswana’s current operational strategy, 2024 One Dream, One Team, which emphasises sustainability, digitisation, and community empowerment. Motsomi expressed hope that these efforts will create a lasting impact on the local economy and foster the growth of citizen-owned enterprises.
As Debswana approaches the final year of its 5-year strategy, the company has developed a transitional plan to address both internal and external challenges. By July 2023, Debswana had already exceeded its target, achieving a spend of P20.89 billion and setting a new stretch target of P22 billion by the end of the current strategic period. The company has also created 16,989 jobs, achieving 85 percent of its target of 20,000 jobs.
At the workshop, Malebogo Morakaladi, Presidential Investment Coordinator, emphasised the importance of citizen participation in economic opportunities. Morakaladi highlighted that Debswana’s citizen spending had increased from 26 percent to 55 percent over the past five years, marking a pivotal moment in the company’s history with citizen participation in its supply chain reaching parity. This achievement, she noted, has not compromised the company’s operations.
