“South Africa wanted its neighbours to remain consumers, not competitors.” Former Botswana President Ian Khama has accused South Africa of deliberately undermining manufacturing and industrialisation efforts in smaller Southern African economies to protect its regional economic dominance.
Speaking on the Growth Well Podcast with Oabona Kgengwenyane, Khama cited Botswana’s failed Hyundai vehicle assembly venture, Lesotho’s unsuccessful television manufacturing efforts and Namibia’s struggles to establish a cement factory as examples of the resistance neighbouring countries faced
He claimed that Botswana’s Hyundai plant needed to export a certain number of vehicles to South Africa to remain profitable, but that South Africa restricted the arrangement, contributing to the venture’s failure.
Khama also pointed to the dominance of South African retail chains across the region, while acknowledging that Botswana’s small domestic market, landlocked position and limited infrastructure made competing with South Africa difficult.-Business insider