Market Brief on Botswana

January 2018

Location Facts and Figures

Botswana is a landlocked country located at the centre of Southern Africa. Its neighbouring countries are Namibia, South Africa and Zimbabwe.

Total Population (2016)

2.26 Million

Area 581,730 sq.km

Time Zone +2 hrs GMT

Capital City Gaborone

International Telephone Code

+267

Currency Pula

Exchange Rate (29/01/17)

1 USD = 10.5707 BWP

GDP (2017 est.) US$ 11.0 billion

GDP per capita (2017 est.)

US$ 5,068.9

GDP Growth Rate (2017 est.)

4%

Ease of Doing Business (World Bank 2017)

71/190

Inflation Rate (2017 est.)

3.5%

Official Language(s)

English

Other Languages Setswana , Kalanga , Sekgalagadi, Sesarwa

Sempukushu

Business Hours 0800 hrs-1700 hrs Lunch 1300-1400 hrs

Banking Hours 0900-1530 hrs (weekdays)

0830-1100 (Sat)

Literacy Rate 76.4%

Measures Metric System

Important International Participation

UN, AU, SADC, SACU, WTO

City Population

Gaborone 208,411

Francistown 89,979

Molepolole 63,248

Selebi-Phikwe 53,727

Maun 49,945

Serowe 47,419

Kanye 44,716

Mahalapye 44,471

Mogoditshane 43,394

Mochudi 36,962

Cities and Population

Botswana Trade with the World

Major import sources of Botswana (2016) Major export destinations of Botswana (2016)

Na

2012 2013 2014 2015 2016

Exports (US$'000) 5,971,245 7,573,299 7,915,468 6,319,191 7,320,706

Imports (US$'000) 8,025,288 7,433,499 7,830,451 7,626,168 6,102,722

0

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

6,000,000

7,000,000

8,000,000

9,000,000

US

$'0

00

65%

10%

6%

3%

3%

2%

1%1%

1%1% 7%

South Africa Namibia Canada

India Belgium Mozambique

China Germany UK

Israel Other

19%

15%

14%12%

10%

6%

5%

5%

3…

2%

9%

Belgium India South Africa

Namibia UAE Israel

Singapore Canada Switzerland

Hong Kong Other

Source: Trademap Source: Trademap

Source: Trademap

Major import products of Botswana (2016) Major export products of Botswana (2016)

Zimbabwe-Botswana Trade (US$’000)

28%

13%

8%7%6%

3%2%

2%2%1%

1%

27%

Pearls & precious stones (Diamond, gold)Mineral fuels (Petrol, diesel, paraffin, electricity)Machinery (Bulldozers, pumps, engines)VehiclesElectrical machinery (telephone sets, coaxial cables, switches)Pharmaceutical productsArticles of iron or steel (tubes, pipes, bridges, doors)Cereals (Maize, wheat, rice, sorgum,millet)Plastics and articles thereofOres, slag and ash (Nickel ores & concentrates)Medical or surgical instruments and apparatusOther

89%

3%

2%1%

1% 1% 0.5% 3%

Pearls & precious stones (Diamond, gold)

Nickel and articles (Nickel mates)

Electrical machinery (Insulated wires, accumulators, electricmotors)Meat and edible meat offal (Bovine, sheep,goat)

Machinery (Bulldozers, engines & parts)

Vehicles

Inorganic chemicals (Carbonates, iro oxides)

Other

2012 2013 2014 2015 2016

Exports (US$'000) 48,796 44,011 27,939 30,799 29,085

Imports (US$'000) 112,890 175,939 148,002 54,976 39,488

Trade Bal (US$'000) (64,094) (131,928) (120,063) (24,177) (10,403)

(150,000)

(100,000)

(50,000)

-

50,000

100,000

150,000

200,000

US

$'0

00

Source: Trademap Source: Trademap

Source: Trademap

Zimbabwe’s major exports to Botswana (2016)

Zimbabwe’s exports to

Botswana in 2016,

(US$’000)

Annual growth in value

between 2012-2016, %, p.a.

Botswana imports from the world in 2016, (US$’000)

Cane sugar 9,080 - 41,141

Wood sawn or chipped 5,325 9 21,957

Animal feeds 1,336 86 20,063

Manufactured tobacco (cigarettes) 829 - 1,574

Medicaments (antibiotics) 520 -2 159,942

Articles of iron & steel (doors & window frames)

402 -28 45,138

Source: Trademap

Zimbabwe products with export potential to Botswana Zimbabwe's imports from Botswana (2016)

• Pharmaceuticals

• Structures and products of iron & steel (rods, angle, plates including door and window frames)

• Cement

• Insulated wires/cables

• Raw sugar, cane

• Machinery parts

• Milk and cream, concentrated or sweetened

• Beauty or make-up preparations

• Refrigerators, freezers

• Animal feed preparations

• Alcoholic beverages

• Articles of plastics

• Sugar confectionery

• Footwear

• Furniture (wooden)

19%

11%

9%

8%6%5%

4%

4%

4%

3%

27%

Salt (Sodium chloride)

Vehicles

Paper materials (books, toilet papers, cartons & boxes)

Soap

Mineral fuels (Petroleum oil,coal, petroleum gas)

Electrical machinery (Electric accumulators, generators,transformers)

Iron and steel

Pharmaceutical products

Artificial stone

Animal fodder

Other Source: Trademap

Useful Addresses Preferential Trade Arrangements

Embassy of the Republic of Botswana 22 Phillips Avenue Belgravia P. O. Box 563 Harare Tel: +263 4 794645/7/8 Fax: +263 4 721360

E-mail: botzim@gov.bw

Embassy of the Republic of Zimbabwe Plot 8850 P. O. Box 1232 Gaborone Tel: +267 314495/7 Fax: +267 305863

E-mail: zimembassy@zimgaborone.gov.bw; zimgaborone@mega.bw Website: zimgaborone.gov.zw

Botswana Confederation of Commerce, Industry and Manpower Old Lobatse Road Plot 5196 P. O. Box 432 Gaborone Tel: +267 3953459 Fax: +267 3973296 E-mail: publicrelations@boccim.co.bw Website: www.bpc.bw/

For more information, please contact us

www.tradezimbabwe.com info@zimtrade.co.zw +263-4-369330-41

Disclaimer: ZimTrade strives to compile reliable, research-based information that is passed on to our clients in good faith. Whilst every care has been taken in the production of this report, ZimTrade does not accept any responsibility for the accuracy of the information supplied. For more information about ZimTrade and its activities log on to www.tradezimbabwe.com

Zimbabwe-Botswana Preferential Bilateral

Trade Agreement

Ratified in 1988, the agreement provides for reciprocal duty free trade on all products grown, wholly produced, or manufactured wholly or partly from imported inputs subject to a 25 percent local content requirement.

SADC Trade Protocol

Zimbabwe and Botswana are both members of the

SADC Trade Protocol.

The Protocol is an agreement between SADC Member

States to reduce customs duties and other barriers to

trade on products from each other. By January 1, 2008,

most customs duties (on 85% of tariff lines) had been

eliminated for goods originating from SADC Member

States.

For more information on trading under the SADC Trade Protocol and the Bilateral trade agreement refer to ZimTrade’s “Guide to Zimbabwe’s Trade Agreements”.

Travelling to Botswana

• Zimbabwe nationals do not need a visa to visit Botswana.

• A valid passport (at least 6 months) is required.

• Botswana is accessible by air, road and rail.

✓ There are flights nearly every day from Harare to Gaborone via Johannesburg.

✓ By road there are 1 062 Km (Harare-Gaborone)