In September 2023, precious stones, particularly diamonds, emerged as Namibia’s primary exported commodity, constituting 22.4% of the total exports, with 4.7% being re-exports. These diamonds found their destination primarily in Botswana, the United Arab Emirates, and Belgium.
According to NSA, uranium claimed the second position in the list of top exports, accounting for 17.1% of the total export volume. These uranium exports were primarily directed to China, Canada, and France.
Fish secured the third spot in the list, contributing 12.1% to the total exports, with a small portion (0.3%) being re-exported. The main recipients of Namibia’s fish exports were Spain and Zambia. Non-monetary gold occupied the fourth position in the export hierarchy, making up 10.6% of the total export volume.
Non-monetary gold was exclusively sent to South Africa. These export figures provide insights into Namibia’s key trade commodities and their destinations, shedding light on the country’s trade dynamics in September 2023.
“President Hage Geingob has reiterated Namibia’s steadfast commitment to halting the export of raw metals and has outlined the reasoning behind the country’s ban on exporting unprocessed lithium and critical minerals.
“The overarching objective is to stimulate the growth of domestic processing capabilities, ultimately leading to increased value addition to the Gross Domestic Product (GDP) and a bolstering of export earnings over the long term. This strategic decision was prompted by the government’s prior restriction on the export of unprocessed critical metals in June, aligning Namibia with Zimbabwe’s approach of mandating local processing for all domestically mined lithium,” Simonis Storm said in commentary.
Going forward, the firm said, the trade balance for Namibia is anticipated to maintain its persistent deficit. The global economic landscape continues to grapple with subdued demand, and discussions surrounding a looming recession have gained relevance.
“Namibia’s status as a net importer of goods significantly influences inflation dynamics, and the confluence of this factor with the weakness of the Rand compounds the challenges faced by Namibian consumers. However, within this challenging scenario, a glimmer of hope emerges from the government’s strategic move to ban the export of raw earth metals.
“This policy shift is poised to stimulate investments within Namibia, fostering the establishment of processing companies in the country. This, in turn, promises to usher in a positive tide by augmenting employment opportunities and bolstering economic growth,” further said the firm.