Tourism ripe for invesment
The Botswana government is keen to encourage private investment in the tourism industry. Its tourist policy sets out to stimulate the sustainable management and utilisation of the country's diverse wildlife and natural beauty so that it can be preserved for future generations. It places particular emphasis on eco-tourism in conjunction with local communities.
The Botswana economy, based on its diamond wealth and its livestock industry, is flourishing, but the area with the greatest future potential is tourism. The government sees tourism as a major area for economic diversification. Tourism, if properly managed, is sustainable and provides a major, year-long source of employment. This is indicated in the figures. The trade, hotels and restaurants sector has been growing by more than 10% per annum in recent years, showing the huge potential of tourism. Investment by the private sector in the Botswana economy as a whole has increased from P150m to P500m over the past ten years. Tourism investment has increased even faster from P12m to P55m.
The tourism industry is not simply about managing hotels, game lodges, reservations and campsites but all the associated industries grouped round the sector. These include safari operators, transport companies, air charter and car rental companies and the suppliers to the tourist industry. It stimulates local arts and crafts and provides employment for distant communities.
The Botswana government consistently encourages new investment by following free enterprise policies. The Botswana Export Development and Investment Authority promotes Botswana as a superb investment destination. BEDIA's prime objective is to assist in the establishment and development of commercially viable businesses in Botswana.
The Hotel and Tourism Association of Botswana (HATAB) is the trade organisation representing airlines, air charters, mobile safari operators, safari camps and lodges, hotels, ancillary services, restaurants, the Botswana Wildlife Management Association and the Botswana Community Based Network. HATAB is a priority port of call for any potential investor in the tourist industry.
The administration of tourism is currently undergoing major changes. Pelonomi Venson has moved from Public Works to take overall charge as Minister of Trade, Industry, Wildlife and Tourism. And tourism will get a stronger voice of its own when the long-awaited Tourism Board is established to regulate, market and promote international tourism. It will bring quicker and more independent decision-making that should be of great benefit to potential investors in the tourism sector.
A Tourism Development Fund has been set up to finance training programmes for employees in the tourism sector at basic, intermediate and advanced levels. Training also takes place at the Botswana Wildlife Training Institute.
National parks and game reserves occupy 17% of the total land area of Botswana and a further 22% has been set aside as wildlife management areas. This means that 39% of the land is dedicated to conservation and wildlife management. The government wants to encourage investment in tourism on a sustainable rather than a short-term basis. It therefore encourages quality development at the top end of the market that specifically aims to protect the environment on a long-term basis, rather than mass tourism for short-term gain. It is also particularly keen on eco-tourism in which private investors work with local communities on projects that are of direct benefit to local people.
The Botswana government is keen to encourage joint ventures with investors so that investment brings, "on a sustainable basis, the greatest possible net social and economic benefit" to the Batswana people, while preserving the environment. Hence the government expectation that investors cooperate with community-based organisations to create projects that are of direct benefit to local communities.
This environmentally-friendly attitude of the government is reflected in the response of the Batswana people. They understand that a properly managed industry brings them benefits. The local people are friendly and well disposed, and are keen to reap some of the rewards the industry brings. Already a few dozen community-based organisations have established projects such as managing campsites, providing overnight accommodation for self-drive tourists, and marketing cultural attractions.
In some areas community associations, such as the Okavango Community Trust, benefit directly by sharing in camp administration. They have a direct financial interest in local camps, which also provide employment and training opportunities.
In the reserves the government has introduced a new fee structure to promote environmentally-friendly tourism by limiting the number of heavy vehicles used by tour operators. Since April 2000 revised regulations for national parks and game reserves came into effect, allowing walking safaris and night drives in controlled circumstances.
The Department of Wildlife and National Parks is responsible for developing the infrastructure in national parks and game reserves. Co-funded by the European Development Fund it has been working on new entrance facilities and improvements to public campsites in Chobe National Park. Similar initiatives have been taken to upgrade entrance facilities on the Botswana side of the Kgalagadi Trans-Frontier Park. This and the development of the Trans-Kalahari highway now makes it feasible to enter the park from the Botswana side.
The government is also trying to encourage the conference sector. Conferences and corporate events can be held near to tourist venues, giving delegates a reason to remember Botswana and maybe return at a later date with their families. Botswana is readily accessible from Johannesburg with the minimum entry formalitiescitizens of the US, South Africa, Europe and most Commonwealth countries do not require visas.
There are conference facilities at the Botswana conference and exhibition centre and in three of the major hotels in Gaborone. Other conference facilities exist in Francistown, Kasane and Maun.
There is plenty of scope in the tourist industry in Botswana for new investors who are prepared to work within the national strategy for the industry.
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