Namibia wants to sell more diamonds on its own
Namibia will soon demand to sell a bigger share of the diamonds produced by its joint venture with De Beers, mines minister Tom Alweendo said last week. The move could spark tougher negotiations when the sales deal expires in 2026.
Namibia currently only sells 15% of the total diamonds mined, while the remaining 85% is thrown into a pot it sells together with other diamonds mined in other countries.
“Our viewpoint is that we should increase the revenue that we get. It’s actually not revenue, in terms of the production. How much production can we take and sell ourselves, instead of selling everything in a pot?” Alweendo said on the sidelines of an engagement with his Angolan counterpart Diamantino de Azevedo.
While Namibia is content with its current agreement with De Beers, the same would not necessarily follow through in 2026, the minister said.
“We are saying, right now, we are taking 15%; therefore, next time when we review this arrangement, we should increase that 15% to something else.”
Changes
Under Namibia’s current arrangement with De Beers, N$7.86 billion worth of rough diamonds has been offered annually to Namibia Diamond Trading Company (NDTC) customers since 2016.
During a meeting with President Hage Geingob in March, De Beers board co-chairperson Bruce Cleaver defended the agreement with government.
“The deal we have in every country is fair to both parties. I am confident our deals all over the world are fair to De Beers and fair to our host countries and allow us to invest in the future,” he said.
Cleaver’s comments follow Botswana president Mokgweetsi Masisi’s fears that its profit-arrangement model with the diamond company may have to change. He was speaking during a rally in that country.
“There is enormous scalable potential for the profit-sharing model that Botswana and HB Antwerp are pioneering,” he said in September last year.
“The way that extractive industries interact with African governments has to fundamentally change.”
Namibia currently only sells 15% of the total diamonds mined, while the remaining 85% is thrown into a pot it sells together with other diamonds mined in other countries.
“Our viewpoint is that we should increase the revenue that we get. It’s actually not revenue, in terms of the production. How much production can we take and sell ourselves, instead of selling everything in a pot?” Alweendo said on the sidelines of an engagement with his Angolan counterpart Diamantino de Azevedo.
While Namibia is content with its current agreement with De Beers, the same would not necessarily follow through in 2026, the minister said.
“We are saying, right now, we are taking 15%; therefore, next time when we review this arrangement, we should increase that 15% to something else.”
Changes
Under Namibia’s current arrangement with De Beers, N$7.86 billion worth of rough diamonds has been offered annually to Namibia Diamond Trading Company (NDTC) customers since 2016.
During a meeting with President Hage Geingob in March, De Beers board co-chairperson Bruce Cleaver defended the agreement with government.
“The deal we have in every country is fair to both parties. I am confident our deals all over the world are fair to De Beers and fair to our host countries and allow us to invest in the future,” he said.
Cleaver’s comments follow Botswana president Mokgweetsi Masisi’s fears that its profit-arrangement model with the diamond company may have to change. He was speaking during a rally in that country.
“There is enormous scalable potential for the profit-sharing model that Botswana and HB Antwerp are pioneering,” he said in September last year.
“The way that extractive industries interact with African governments has to fundamentally change.”
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