President Hage Geingob has announced that Namibia will no longer export raw materials, signaling a shift in the country’s economic strategy. Geingob made this statement during his speech at the EU-Namibia Business Forum in Brussels, Belgium. He emphasized the importance of diversifying the economy and adding value to natural resources.
According to Article 100 of Namibia’s Constitution, the state owns land, water, and natural resources unless they are lawfully owned by someone else. Harvard defines a state as a political division of people occupying a specific territory. This underlines the significance of separating powers to maintain checks and balances.
I want to commend the president for his courageous decision to tighten regulations on raw mineral exports. This move aims to attract investors and create more revenue and job opportunities for our people. By adding value to our exports, we can stimulate the domestic market and address the issue of unemployment in the country. Geingob’s focus on economic partnerships with the EU shows his commitment to a sustainable and equitable world.
We need to reevaluate our policies and find solutions that promote inclusive growth. The investments we make today have the potential to turn challenges into opportunities with long-lasting global impacts. I am optimistic about our country’s future and the positive influence it can have on the world. As we implement new policies and regulations, it is crucial that we limit the export of raw materials. By processing these materials locally, we can retain value, protect jobs, and create wealth for our people.
Encouraging foreign investors to establish processing plants in Namibia will contribute to job creation and economic growth. This approach will also foster innovation and creativity within domestic markets, leading to economic diversification and a strong gross domestic product (GDP). The mining sector plays a vital role in Namibia’s sustainable economic development, contributing significantly to exports and interconnecting with other sectors of the economy.
We must acknowledge the underdeveloped state of our mining industry, which has led to the export of raw materials. The capital-intensive nature of mineral exploration and processing requires more resources than Namibia currently possesses. However, we believe that this policy shift can encourage the establishment of processing plants within the country. While some fear a decrease in mineral trade volume, the potential benefits of this policy outweigh the concerns. It is essential to implement an effective policy to ensure long-term success.
It’s crucial to understand that Africa supplies many of the raw materials used in global industries like green technology. Taking control of the import and export of these materials would give the continent significant influence. We cannot afford to continue exporting raw materials without maximizing their value. The involvement of investors in creating jobs and transferring skills is essential for the benefit of Namibians. While policy-making is not a challenge, effective implementation remains a problem that needs to be addressed.
By encouraging the growth of value chains, we can leverage the potential of smart trade. Namibia’s exports to Australia and the EU demonstrate the value of our resources. Unfortunately, when we export raw materials and import finished products, we experience revenue loss. Revising the Minerals Policy of Namibia will support traders in adding value and transforming into industrialists, boosting domestic economic activities.
Namibia has the potential to become a leader in critical minerals production. By forming partnerships focused on these resources, we can create a mutually beneficial economic collaboration. It is crucial to consider the expertise of professionals like Josef Sheehama, who has extensive banking experience and can contribute to the development of this industry.
In conclusion, Namibia’s decision to halt the export of raw materials marks a significant step towards economic diversification and value addition. By embracing this strategy, we can create new opportunities, increase revenue, and establish ourselves as a key player in global markets.