Is Botswana Getting A Raw Deal From De Beers Diamonds - The World News ^new^ -

This shift was solidified in February 2025 , when Botswana signed a long-delayed, landmark 10-year sales agreement and a 25-year extension of its Debswana mining licences through to 2054 . The newly elected administration under President Duma Boko prioritized finalizing this historic deal, which elevates Botswana from a mere resource provider to a dominant player in the global diamond supply chain.

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De Beers’ counter is equally simple: We are the only ones with the global marketing machine (the "A Diamond Is Forever" legacy) and the banking relationships to keep prices stable. This shift was solidified in February 2025 ,

The discussion surrounding whether Botswana is getting a "raw deal" from has shifted significantly following the formal signing of a new partnership agreement in February 2025 . While historical sentiments—including those from former President Masisi—suggested Botswana was previously undervalued, the current consensus under President Duma Boko leans toward a more balanced, "transformational" relationship. Recent Developments (as of April 2026)

The evidence suggests that the historical partnership, while providing immense benefits, has consistently favored De Beers and its parent company. Botswana has supplied the vast majority of the stones while retaining only a minority of the ultimate value. The new sales agreement, though improved, falls short of what many believe the country deserves, particularly given its economic hardship. This link or copies made by others cannot be deleted

Deep-pit mining and underground expansions—such as the massive multi-billion-dollar underground expansion project planned for the Jwaneng mine—require immense capital and technical expertise. De Beers bears significant operational and financial risk, which cushions the Botswana government from direct exposure to mining failures.

+-------------------------------------------------------------+ | OKAVANGO DIAMOND COMPANY SHARE | +-------------------------------------------------------------+ | Old Deal: [=======> ] 25% | | | | New Deal: [=======================================>] 50% | | (To be scaled incrementally over 10 years) | +-------------------------------------------------------------+ Key Milestones of the New Pact: Try again later

Several arguments suggest that Botswana may be getting a raw deal from De Beers:

The current renegotiation is arguably the most significant in the partnership's 54-year history. Botswana’s President, Mokgweetsi Masisi, has taken a hardline stance, suggesting the government could walk away if terms do not improve.

Under the previous long-term arrangement, Botswana’s state-owned Okavango Diamond Company (ODC) was entitled to just 25% of the rough diamonds produced by , the 50/50 joint venture between the government and De Beers. The new agreement fundamentally alters this balance:

In mid-2023, Botswana and De Beers finally reached a new agreement in principle, which includes a fresh 10-year sales contract for Debswana's rough diamond production and a new 25-year mining license for Debswana. The core pillars of the new deal include: