Tobacco company licensed in 2020 employs 20 citizens

Bame Piet
ON THE SPOT: Mmusi Kgafela

Four years after receiving its license, the tobacco company set-up to produce cigarettes has created 20 jobs for Batswana and six expatriates, according to the Minister of Trade and Industry, Mmusi Kgafela.

He was responding to a question in Parliament this week, in which MP for Mabutsane-Jwaneng, Mephato Reatile requested an update on the company Government helped establish in 2020.

“The company is operational and renews its license annually. The current investment stands at P5 million with total employment at 26 being 20 citizens and six non-citizens. The licensed companies are in the business of manufacturing of cigarettes and fragrance/flavours for cigarettes which they extract from the natural plants such as fruits, coffee bean and tobacco leaf,” disclosed the Minister, who did not give the company’s name nor where it is located.

Kgafela however, noted that prior to being awarded the license, the company passed an Environment Health Inspection on its premises, demonstrated Technical Know How, and showcased the production process in detail, indicating how each product will be produced and where it will be stored.

- Advertisement -

“The ministry has measures in place to attract and support the growth of not only tobacco industries, but manufacturing industries as a whole. There are incentives for manufacturing industries based on geographical region where a company operates. As an example, there are special dispensations for industries that set up in the Special Economic Zones and SPEDU region,” continued Kgafela, adding manufacturers must adhere to quality standards in their production processes to ensure they are competitive and profitable, both locally and internationally.

Reatile also enquired what measures/incentives the Government has put in place to attract and support the growth of the tobacco and alcohol industries in Botswana.

Furthermore, the MP wanted the Minister to explain licensing processes for retail liquor businesses, including the different types of licenses and any specific criteria or regulations they must meet.

In response, Kgafela revealed there is a legislation that monitors, regulates, and guides the liquor trading sector, with a control authority in place to issue or revoke a licence.

“A person aggrieved by the liquor control authority’s decision may appeal in writing to the Regional Appeals Board within 30 days of the notification of the decision of the Board and may further appeal to the Minister of Trade and Industry if not satisfied by the decision of the Regional Appeals Board,” he explained.

- Advertisement -

He said that out of the eight categories of licenses, four are reserved for Batswana being: Bar, Bottle Store, Depot, and Night Club or Discotheque.

“Government developed a National Alcohol Policy in 2010, which emphasizes on multi-sectoral approach to facilitate the implementation of the policy and collaborate towards the common goal of reducing alcohol related harm to society. My ministry, through the Liquor Act 2003, came up with some regulatory measures to ensure responsible alcohol and consumption,” he added.

Leave a comment