Non-diamond exports rise

Exports of non-diamond commodities jumped to P599 million in May, up 14% from April, as the economy continued the warming seen since the beginning of the year. Diamond exports generally account for up to 90% of the country’s monthly merchandise exports. According to the latest Statistics Botswana figures released this week, the level of non-diamond exports seen in May was the highest since March 2020, the month before the full onset of COVID-19 in Botswana. In terms of contributions, leading the non-diamond exports in May 2021 was the export of machinery and electrical equipment, followed by gold exports at P140.1 and P62.1 million respectively. In terms of month-on-month growth, meat and meat products enjoyed the highest increase of 98%, followed by gold which rose from zero exports in April to P62.1 million in May. The category ‘other exports’ also performed well, rising by 17% month-on-month to P229.4 million in May. Despite the stronger performance of non-diamond exports, the trade balance slipped to its largest deficit since the year began, being measured at P2.6 billion in May from a shortfall of P1.9 billion in April. The driving factor behind the higher deficit was a fall in diamond exports, set against an increase in diamond imports over the same month. De Beers imports rough diamonds from its mines across the world for sorting and aggregation in Botswana, before sales are conducted in Gaborone and the stones are exported for sale globally.