01 Oct 2020

The manufacturing sector needs strategic enhancement in order to recover from the COVID-19 pandemic, Business Botswana’s chairperson for manufacturing sector, Mr Mike Joyner has said.

Speaking during a press briefing in Gaborone this week, Mr Joyner said manufacturing had to be driven in an investment point of view in order to provide high return on investment.

He said the sector had lost value in the region of 30 to 35 per cent, notwithstanding that it only attributed around five per cent to the country’s Gross Domestic Product (GDP), which presented a bad outlook.

He said the COVID-19 pandemic had revealed vulnerabilities in the manufacturing sector, which needed to be enhanced through strategic partnerships and development of initiatives that promoted creation of high performing value chains to boost the sector.

Mr Joyner said capacity constraints such as infrastructure, electricity and shortages of water were the main challenges that created in sector growth noting that this challenged the quality and competiveness of the sector.

The chairperson added that tendering processes needed to be improved in order to stimulate growth of the manufacturing sectors since this was one of the big markets for locally manufactured good.

He admitted that although there were solutions advanced in improving the ease of doing business, there still remained some bottle necks that needed to be leveled out in order to create a sustainable manufacturing business space.

Mr Joyner, however, noted that recent drafts of the Citizen Economic Empowerment laws and Economic Diversification Drives would be beneficial when operationalised to encourage local citizens to start manufacturing business.

On one hand, Mr Joyner noted that tripartite relationships between government, Business Botswana and the private sector would be vital in growing the sector.

“Quality and competitiveness through strategic participation are key to a strong and equitable manufacturing industry,” he said.

He also appealed to manufacturers to ensure the supply of important commodities within the local market. ENDS