26 Jul 2017

The assistant minister of Investment, Trade and Industry Mr Biggie Butale has explained that there is no policy on retail reservation waiver in Botswana.

However, Mr Butale said the Trade Act of 2003 empowers the minister to grant waivers to companies if it is in the best interest of the public. 

Speaking in Parliament on July 25, he said his ministry has received five requests for waiver to trade in reserved retail activities since last year. 

“Requests were granted for four companies, while one was advised to submit more information on how they will empower citizens. We await the proposal from the company,” he said.

He said in terms of the Trade Act, the first consideration is the involvement of citizens in the shareholding of a joint venture retail company wishing to operate in the reserved business activity.

“Where citizen ownership in the joint venture falls below 51 per cent they are obliged by the Act to apply for an exemption from the minister responsible for trade to enable them to partake in such reserved business activity,” he said.

Mr Butale said in deciding whether or not to exempt a business, the minister takes into consideration the general contribution to the economy including the level of investment, employment creation and the capacity to involve or empower citizens in the value chain.

He said granting waivers has created additional employment to 119 citizens in the retail sector.

Specially Elected MP Ms Bogolo Kenewendo had asked the assistant minister to state the number of companies that were granted retail reservation waiver and the criteria used in awarding the waivers. ENDS