‘Dankie Botswana’, Again

Many Namibians’ first car has been an imported second-hand vehicle.

The buying process would start with Namibians identifying a reputable a seller in Asia or Europe, selecting a pre-used vehicle they could afford, and then activating a foreign exchange payment online.

Weeks later the individual would head for Walvis Bay or a port in South Africa and return home with a used, imported Japanese or United Kingdom car.

This was, however, shot down by the authorities, and the direct buying and importation of vehicles abruptly ended.

Sharp entrepreneurs then discovered the need for affordable, pre-owned cars, mustered their resources and satisfied this need by importing vehicles – that is what smart entrepreneurs do.

Soon vehicles were imported from countries in the Common Customs Area (CCA), mainly from Botswana.

Member states of the CCA include Namibia, Botswana, Eswatini, Lesotho and South Africa.

These pre-used vehicles, known as ‘Dankie Botswana’ cars, are now so prevalent on the road that it seems they outnumber other makes and models sold by established dealerships across the country.

The prevalence of ‘Dankie Botswana’ vehicles has created other business opportunities for emerging entrepreneurs, including for mechanics and sellers of second-hand tyres, batteries, accessories and spare parts.

The government recently announced new restrictions on the importation of second-hand motor vehicles older than 12 years.

Considering the cost of vehicles, predictably the only change will be the prevalence on the roads of newer ‘Dankie Botswana’ models.

Farmers cultivating vegetables in the northern regions of Namibia have another reason to thank Namibia’s neighbour, Botswana.

To be more specific, the emerging farmers are applauding a supermarket chain with its genesis and ownership in Botswana.

Small-scale commercial farmers, mostly youngsters, say they are finding it difficult to sell their crops in bulk.

They claim that when approaching Namibian- and South African-owned supermarket chains to become suppliers, there are promises and pledges of buying support, which have just not materialised.

Following up is usually met with set buying conditions that include delays and bureaucratic payment terms, and requirements to deliver to a central distribution centre located far away.

For a fledgling entrepreneur, cash inflow is essential to meet operational costs, including staff wages, timeously and to fund inputs for the next crop cycle.

Young farmers would not have generated sufficient reserves to buy a vehicle and engage the services of transporters.
So, transporting produce to a distant distribution centre erodes profit.

A supermarket retail chain that hails from Botswana has reportedly come to the rescue.

They source vegetables locally, accept deliveries at their local supermarkets at towns across the northern regions, and payments are made within a week of supply.

Unsurprisingly, these young farmers are saying “dankie Botswana, again”.

Namibia’s retail sector charter stipulates principles and targets that aim to ensure access to retail markets for local firms.

In this way it is helping to create an enabling environment for local procurement and demand, and thereby growth for Namibian enterprises.

If it is not already being done, as custodian of Namibia’s retail sector charter, the Namibia Trade Forum should explore how change can be effected to help small-scale commercial farmers in the northern regions get their vegetables and produce into foreign and local owned supermarkets.

– Danny Meyer is reachable at danny@smecompete.com

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