02 Oct 2022

Negotiations are said to be ongoing between Botswana Development Corporation (BDC) and a potential investor over collaborating to make the Milk Afric dairy project in Lobatse operational.

Lobatse mayor, Mr Mosimanegape Dithebe highlighted in a full council meeting recently that the concerned investor had already shared a proposal for consideration with the BDC. Mr Dithebe said BDC aimed to complete implementation of the project and was preparing for it to be ready for operation by December. 

Those preparations, he said, entailed development of further infrastructure and facilities at the farm.

“My office has been informed that Milk Afric has issued a Request for Proposals (RFP) for project manager services for the road construction and bio-fence development. 

The objective is to develop infrastructure that is inevitable such that once agreements with the technical partner have been reached, BDC will then focus on the core structures such as calf and cow housing facilities, a cow hospital, and a feed barn. 

The appointments were expected to conclude by end of September, so that construction work can commence this month,” said the mayor. 

In June, Mr Dithebe told the council that some investors from Dubai were interested in the Milk Afric project, which was expected to significantly increase milk production in Botswana and boost the economy of Lobatse.

The project has experienced several delays since its launch as a public-private-partnership in 2016. 

BDC cut ties with the original investor and identified a new technical partner in June last year. 

However, negotiations with the new partner stalled and the BDC is now looking for another investor.

Giving progress update of another large-scale project in the town, the reopening Lobatse Clay Works, Mr Dithebe said the first phase of the turnaround plan commenced in August.

“To date, five local companies have been sub-contracted for refurbishment (of the plant), and at least 30 jobs have been created.

The Botswana Development Corporation anticipates the first phase and the process of preparing the business operation to take 12–14 months. 

Once operational, the business is expected to generate a positive socio-economic impact in Lobatse and the country at large, by creating an additional 141 jobs,” said the mayor. 

Mr Dithebe also told the council that cattle slaughter production at the Botswana Meat Commission (BMC) abattoir in Lobatse had improved from 30.9 per cent to 79.4 per cent. 

He said 21 812 cattle, against a targeted cattle supply of 27 460 were slaughtered since January 2022 up to the end of August, compared to 6 427 cattle in the same period last year.

“Therefore, there has been a notable improvement of 48.8 per cent in throughput as a result of the development and implementation of an impactful strategic plan called Meriting Strategy 2022–2025. Lobatse abattoir produced 3 744 tonnes of beef for local and export markets from the supplied cattle,” said the mayor. ENDS