Oshikango business community in trouble

THE decline in cross-border trade at Oshikango in the Ohangwena region has led to the closing down of several businesses at the town.

Fast-food restaurant chain KFC, among others, has recently announced the closure of the business at the town.

“The business closed down, because it was losing a lot of money. We were not making a profit any more. Things are really bad,” says former employee David Albano.

He says business activities at the franchise, which has been in the area for more than six years, started declining with the onset of the Covid-19 pandemic, which saw Oshikangos Angolan borders closing, limiting the movement of clients.

The past year saw thousands of people losing their livelihoods through retrenchments, as many businesses at the border town had to close shop.

Bonded Warehouse International Commercial opened shop at the border in 1997, and managing director Amer Ladki says if the situation does not improve, the company is as good as out of business.

Ladki says their business depends on mostly Angolan clientele, and have been severely affected by the closure of borders since March last year.

“Our business depended mostly on customers coming in from Angola, but at this stage the Angolan borders are closed. Customers cannot cross into Namibia any more, so we can say we have been out of business for more than a year now.

“The situation is really critical,” Ladki says.

He says at this stage the only remedy would be the immediate reopening of Angolas borders.

“We are grateful to the Namibian government that has put in much-needed effort for the reopening of the borders, but I would also like to reiterate that the Oshikango and Angolan border is not only beneficial to Helao Nafidi, this border is a very strong boost for the whole countrys economy in all its sectors,” he says.

“We dont understand how Angolan airline TAAG has resumed its flights between Luanda and Windhoek, while the borders remain closed. Moreover, we dont understand why trucks carrying goods from South Africa are allowed to pass through the borders, while Namibian and Angolan trucks are not allowed.”

Simeon Ndatyavela owns a customer-clearing agency container across the border.

“I dont know why I wake up to come here every morning at all. It could be out of hope. Nothing is going on here. There are no customers from Angola or Namibia. It is just bad. Things are tight, but we are hanging on,” he says.

Ladki says his company will keep fighting for the sake of its many employees.

Helao Nafidi mayor Darius Shalukeni says he is aware that more and more businesses are closing shop, including the local Spar.

“Businesses are closing because they are not making their target profits they used to make before the crisis. They see no reason in conducting business where they are making a loss. We are just hanging on here. The crisis remains.

“The closure of the border has really negatively impacted business activities here at Helao Nafidi. We used to rely on cross-border business transactions. The Angolan side of the border is still closed off, and the situation really needs intervention from both the Namibian and Angolan governments,” Shalukeni says.

He says the struggles of businesses at Oshikango is not the result of bad business practices as many may assume.

Email: bottomline@namibian.com.na

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