13 Dec 2023

SPEDU is a regional economic diversification agency under the Ministry of Trade and Industry, which was set up to drive economic transformation of the greater SPEDU area into a vibrant economic region to diversify the regional economy.

This was revealed by the assistant minister, Ms Beauty Manake when responding to a parliamentary question.

She stated that her ministry had already designated 1 240-hectare piece of land in Selebi Phikwe to be used as a base metals beneficiation  special economic zone (SEZ).

She added that the ministry was in the process of acquiring land to establish the Tuli Block horticulture production and beneficiation SEZ.

“The Selebi Phikwe and Tuli Block SEZs will thus act as growth poles within the wider SPEDU region which has been established under the National Spatial Plan and these two SEZs areas are meant to complement the SPEDU,” she said.

The assistant minister added that the incentives that had been approved to benefit investors in the SPEDU region included fiscal incentives, which related to taxes and customs duties. This also includes a 30 per cent direct government-off take on procurement as well as land provision incentive where companies are facilitated with a 50-year land lease and provision of the One Stop Service Centre.

She therefore, said the incentives had aided domestic and foreign investment in the region, which attracted about P2 billion worth of investment of which P1.2 billion was for Domestic Investment while P800 million was for Foreign Direct Investment.

She also highlighted that of the 88 companies at a progressive stage of development under SPEDU facilitation, 56 were operational out of which 52 had been approved for SPEDU incentives and the rest of the companies were at different levels of facilitation. 

From the companies that are operational, she said  3 197 jobs had been created.

She added that her ministry would continue to engage with stakeholders to come up with incentives that could attract investors and sustain businesses.

Giving the background of SPEDU, Ms Manake explained that SPEDU was a company limited by guarantee, which was incorporated in July 2012 in terms of the Companies Act (CAP 42:01) and is wholly owned by the government of Botswana.

She added that its geographical coverage included the five political constituencies of Bobonong, Lerala/Maunatlala, Mmadinare, Selebi Phikwe East and Selebi Phikwe West comprising a total of 52 settlements.

Furthermore, she noted that owing to its incorporation SPEDU had therefore never been intended to be a special economic zone nor had it been set up within the legal provisions of the SEZ Act No. 13 of 2015.

She was responding to a question from Member of Parliament for Selebi Phikwe West Mr Dithapelo Keorapetse who had wanted the minister to confirm if SPEDU was still considered, as a matter of policy, a special economic zone.

He further asked the assistant minister to specify incentives for companies operating and those seeking to set up in the greater Phikwe and the extent to which these incentives had aided domestic and foreign investment in the region. ends