A decision by Botswana to reserve some businesses for its citizens may divide opinion in the continent with a senior South African official already raising a red flag.
South Africa’s Head of Public Diplomacy in the International Relations Department Clayson Monyela recently expressed concern via his Twitter account that the reservation of some businesses for citizens which has been adopted by Botswana also being speared by Zimbabwe’s ruling party in that country could divide Southern African Development Community (SADC) and work against the ideals of the African Continental Free Trade Area (AfCTA).
Through his Twitter handle, Monyela wondered: “What is driving this policy shift in the SADC region? Are Botswana and Zimbabwe citizens who live, work and run businesses in South Africa subjected to similar restrictions, if not, how sustainable is the status quo. What does all this mean for AfCTA?”
He was commenting on a recent press release issued by Botswana’s Ministry of Investment, Trade and Industry in which it stated that it “has noted with great concern business operations undertaken by non-citizens and foreign owned companies within the manufacturing business activities reserved for citizens. These includes business operations by WHOLESALERS, RETAILERS, FILLING STATIONS and INDIVIDUALS.”
The ministry informed the Public and the Business Community that such operations are illegal and in contravention of the Industrial Development Act of 2019 and its Regulations of 2020.
“The Ministry further wishes to inform the Public and the Business Community of its intention to conduct inspections and that action will be taken against perpetrators,” the statement said.
According to the release, the list of Reserved Activities as per the Industrial Development Act, 2019 and Industrial Development Act Regulations, 2020 are as follows: Bread and confectionery, Ice making, meat processing, peanut butter, purification and bottling of water, traditional sour milk, sorghum milling, bricks, burglar bars, gates and windows, candles, fencing materials excluding gum poles, floor polish, packaging, protective clothing, roof trusses, school furniture, school uniform, screen printing and embroidery, signage including electronic signage, traditional crafts, traditional leather products.
Monyela also cited reports from Zimbabwe media which indicated that the ruling ZANU-PF has embarked on a campaign to ensure that foreign nationals do not operate businesses in the economic sub-sectors reserved for Zimbabwean citizens.
