EU wraps up P78m support programme to Botswana

The European Union (EU) intends to continue supporting Botswana in its economic diversification efforts to help the country achieve its Vision 2036 and create decent jobs for Batswana.

The EU-Support Programme is reaching the end of its life in a little more than a month's time, since it came into force in 2016.

Head of Cooperation EU Delegation to Botswana and SADC, Clement Boutillier says the EU has already started working on a new programme for Botswana and is in discussions with the Ministry of Trade and Industry and other relevant ministries and stakeholders to gather views on its objectives and priorities.

The EU extended support to Botswana through the EPA Support Programme to the tune of 6 million Euros, approximately P78 million for the period 2021-2024 to promote export-led economic diversification and sustainable economic development in Botswana.

The EU support aligns to the Development Cooperation obligations provided for in the EU-SADC EPA, whose provisions recognise asymmetries on the levels of industrialisation and development between the two parties. This Agreement is as a result of, as explained by the Acting Deputy PS in the Ministry of Trade, Johana Segotlong, a Trade Agreement between EU and six SADC countries - Botswana, Eswatini, Lesotho, Mozambique, Namibia and South Africa from 2004 to 2014.

Boutillier hailed Botswana’s close relationship with EU, which covers political, trade and development cooperation fields, among others.

“This partnership has gone from strength to strength in recent years, demonstrated in particular by the recent signing of the Samoa agreement between EU and its partners in Africa, the Caribbean and the Pacific,” he said. He further added that the EU is also stepping up its cooperation with Botswana and other key partners through its Global Gateway Strategy, whose aim is to boost smart, clean and secure links in digital, energy and transport sectors and to strengthen health, education and research systems across the world.

“This is evidenced by the Euro150 billion EU-Africa investment programme, which among others will support investment in strategic transport corridors in Africa, promote value chain development and facilitate trade,” Boutillier said.

The EU is also investing in human infrastructure, including education, skills and health systems, as well as unleashing the full economic potential of Botswana and supported the country in its journey from a natural resource-based economy to a knowledge-based high-income economy.

According to Boutillier, the programme has also helped Botswana to reap the full benefits of the Economic Partnership Agreement between the EU and the six SADC states including Botswana. This provides Botswana with duty-free and quota free access for all its goods into the EU market.

EU Support Programme to Botswana has also enabled the EU-Botswana Business Forum, which promoted business and investment links between the EU and Botswana. Secondly, technical support to the National Plant Protection Office Department of Plant Protection to strengthen their capacity to develop and implement official controls allowing for the export of citrus fruits to the EU.

“This has boosted Botswana’s citrus industry which is blooming as shown by the success of the Selebi Phikwe citrus project, in 1 200 hectares, peak production when the citrus trees mature in 2025 has potential to export fruits valued at about Euro 40-45 million per annum.”

In addition, the programme is also supporting 11 small and medium sized farmers through the provision of training on standards for citrus production: the 11 farmers have about 100 to 150 hectares under cultivation with an export potential at maturity of around 3 to 4 000 citrus tonnes per annum with an export value of about Euro 2 to 2.5 million.

Acting Deputy PS, Segotlong explained that EU exporters from Botswana face many competitiveness challenges, including, inadequate infrastructure, lack of access to financing, high export compliance costs, as well as other supply side constraints. Therefore, the EPA Support Programme covered Investment Promotion; Export Diversification and Private sector and value chains development to help exporters.

The overriding objective of the EPA Support Programme, she said, is to build export capacity of the private sector to enable them to export to the EU. She said some of the assistance to the Private Sector included facilitation of exporters to comply with EU import requirements.

“These market requirements relate to safety and health standards. The Programme is also purposed to build technical capacity in Government institutions to facilitate exporters to the EU market.

In March this year, the Selibe Phikwe Citrus Project had a successful first harvest, having received technical assistance from the Programme.

“The Project had its sights on the EU and other international markets. This assistance was delivered through among others, the Ministry of Agriculture where 20 inspectors from the National Plant Protection Organisation received training on market access requirements for citrus in the EU,” Segotlong said.

Further, that several other technical assistance activities were carried out to facilitate timely export by the Selebi Phikwe Citrus under full sponsorship of EPA Support Programme. These include; capacity building of 26 inspectors for the implementation of inspection protocols for citrus-related diseases and pests, such as the black spot, false codling moth and fruit fly.

Technical assistance was also provided to the National Plant Protection Organisation to develop Standard Operating Procedures to ensure compliance with health requirements in the EU and other international markets.

Under the Leather value-chain, Segotlong said most of the support was directed to the Local Enterprise Authority (LEA).

“One notable achievement under this area was support to a local company to produce 200 000 leather gloves per annum to be used in the mining industry. Botswana Chamber of Mines was instrumental in this,” Segotlong said.

The Programme also supported the Natural Products Association of Botswana (NPAB) who was sponsored to participate at the Global Expo and showcase their product offering.

Under the support of this programme, five (5) local Small and Medium Enterprises were sponsored to travel to Germany to participate in a Trade Fair for Organic Products. The objective of this Mission was to facilitate interaction between these local companies with buyers in Europe. The team was to also appreciate standards and other regulatory requirements of their products for export purposes into the EU.

On the capacity building side, Botswana Unified Revenue Services had their officials trained on application of Rules of Origin that govern intra-trade among the SADC EPA states. Segotlong acknowledged that while the

programme has had immense benefits to the economy of Botswana, there have been learnings from Botswana’s collaboration with the EU under this Programme.

“One such is the element of flexibility of the Programme to accommodate emerging challenges. This was effective in optimising the benefits of the Programme,” Segotlong said.