Is Botswana Getting A Raw Deal From De Beers Diamonds - The World News (Web)

The urgency of Botswana’s push for a better deal is driven by a harsh economic truth: the country remains critically dependent on a single, volatile resource.

The piece probably concludes that historically Botswana got an unfair deal, but the 2023 agreement represents significant progress — though whether it's "enough" depends on whether Botswana can successfully build its own diamond trading and manufacturing hub.

When diamonds were discovered in Botswana in 1967, just a year after independence from Britain, the nation was one of the poorest in the world. The subsequent formation of —a 50:50 joint venture between the government of Botswana and De Beers Group —transformed the country into an upper-middle-income economy. The urgency of Botswana’s push for a better

Botswana’s bargaining chip is simple: Give us the rough stones, or we will simply refuse to renew your mining license.

Here is where the friction lies:

and De Beers was hailed as the ultimate success story in African mining

Reporting from Gaborone, The World News. The subsequent formation of —a 50:50 joint venture

Botswana has finalized a new 10-year, 25-year mining licence agreement with De Beers, aiming to boost its share of rough diamonds through Okavango Diamond Company to 50% by 2035. While the agreement strengthens local control and extends mining operations to 2054, the country still navigates an economic slump driven by falling diamond sales and rising inventory. For more details, visit De Beers Group AI responses may include mistakes. Learn more

Is Botswana Getting a Raw Deal From De Beers Diamonds? The decades-long marriage between the Republic of Botswana and De Beers Group is often hailed as the world’s most successful public-private partnership. Since the discovery of diamonds at Orapa in 1967, shortly after Botswana gained independence, this alliance has transformed a destitute pastoral nation into a thriving upper-middle-income economy. Botswana has finalized a new 10-year, 25-year mining

The diamond industry is in crisis. Lab-grown diamonds (LGDs) have collapsed the price of low-quality natural stones. A two-carat lab stone that cost $5,000 five years ago now sells for $500. While high-end natural diamonds remain resilient, the middle market is a bloodbath.