The battle for a larger share of De Beers is only one part of the broader mineral ambitions taking shape within the Umbrella for Democratic Change (UDC). Its affiliate, the Botswana National Front (BNF), is proposing the creation of industrial hubs to expand local processing and manufacturing across the diamond, coal and copper sectors.
The BNF wants Botswana to establish mineral beneficiation and industrial hubs that would allow the country to retain more value from its diamond, coal and copper resources, rather than relying primarily on the export of raw materials. The proposals are contained in a draft policy document expected to be tabled at the party’s special policy conference, scheduled for October 23 and 25.
At the heart of the proposals is the need to retain a greater share of the economic value generated by Botswana’s mineral resources. Citizen participation has also been identified as a central priority.
For the diamond sector, the BNF is proposing the establishment of a Botswana Diamond Beneficiation City—a purpose-built business district designed to attract investment across the diamond value chain, from cutting and polishing to jewellery manufacturing and retail.
The proposal comes as President Duma Boko pursues an increased stake in De Beers, which he has described as a strategic asset, amid Anglo American’s plans to sell its interest in the diamond company.
The draft policy argues that substantial value creation in the diamond industry still takes place outside Botswana, despite the country’s important role in diamond production and trade. It proposes building on Botswana’s existing position by attracting companies involved in diamond trading, certification, technology, finance, logistics, jewellery design, branding and packaging.
Botswana already hosts De Beers’ global rough-diamond aggregation function through the Diamond Trading Company Botswana (DTCB). The BNF believes this position could help the country attract more downstream diamond businesses.
The proposed city would bring specialised companies and supporting services together in a secure, internationally competitive district. Its objective, though, would extend beyond processing more diamonds locally. According to the draft policy, Botswana must retain a larger proportion of the economic value generated by its diamond resources.
The BNF also proposes that citizen participation be placed at the centre of the industry’s development, while government assumes a strategic and catalytic role.
Rather than committing immediately to the full development of the proposed city, the party recommends that the government first commission a comprehensive, bankable feasibility study to determine whether the project is viable.
The beneficiation agenda also extends to coal. The BNF is proposing a Botswana National Coal Beneficiation, Conversion and Industrial Hub, with Palapye identified as a possible anchor location for further assessment.
The party argues that Botswana’s substantial coal reserves provide an opportunity to move away from exporting coal primarily as a raw material and instead develop processing, conversion and downstream industrial activities.
The proposed hub would aim to establish a stronger industrial base around the country’s coal resources. The draft policy recommends that an independent feasibility and bankability study be conducted before any implementation decisions are made.
Copper and related minerals are also included in the BNF’s proposals, with an emphasis on developing local beneficiation and manufacturing capabilities. The party wants to expand economic activity beyond mineral extraction by encouraging further processing and the development of industries linked to copper production.
