- Wants to meet US President Trump
- Calls for zero tariffs against the proposed 37% increase
- Clarifies perception that Botswana holds unfair trade advantage over US in exports and imports
- Says US based companies ultimately receives extensive benefits from Botswana’s diamond export
President Duma Boko set the tone post arriving from the recent U.S.-Africa Business Summit, making it clear that Botswana intends to have dialogue with President Donald Trump on the looming 37% tariff on its exports to the United States, set to take effect on July 9.
“We want a situation between Botswana and the United States of zero tariffs,” stated Boko.
President Boko’s main goal is still to meet directly with President Donald Trump and negotiate a trade deal that drops tariffs on Botswana’s exports to zero.
Boko acknowledged a perception in America; that because Botswana exports more to the U.S. than it imports, it holds an unfair trade advantage, which has prompted tarrifs to mitigate the inequality. But, he added, this assumption ignores what really matters: that these same exports directly benefit American owned businesses, meaning that tarrifs if passed would stifle both the nation and American businesses.
President Boko’s appeal for zero tariffs comes following the proposed 37% tariff which if enacted, would further erode Botswana’s narrow margins and discourage U.S. importers from buying its diamonds. It would also undermine Botswana’s efforts to grow its own value-added industries, such as cutting, polishing, and eventually, jewelry manufacturing.
Botswana has already taken steps in that direction. The government has increased the share of diamonds it sells independently through the Okavango Diamond Company and has invested in local polishing facilities to capture more of the diamond’s final value. But with a tariff hiking path to the U.S. market, these efforts face an uphill battle.
A zero-tariff agreement could change that. It would give Botswana the predictability it needs to attract investors, grow its beneficiation sector, and create jobs. It would also help U.S. companies maintain access to a trusted diamond source without inflating costs or compromising ethics.
Botswana produces some of the world’s most valuable diamonds through Debswana, a joint venture between the government and De Beers. These rough stones are sold at an average of $150 to $250 per carat, depending on size and quality. From there, the diamonds are often exported, polished abroad, set in jewelry, and resold in American stores by companies like Tiffany & Co., Signet Jewelers (which owns Kay Jewelers, Zales, and Jared), and online retailers such as Blue Nile. These companies rely heavily on a steady supply of ethically sourced diamonds—many originating from Botswana’s mines.
By the time they reach the U.S. retail market, these same diamonds can be priced anywhere from $3,000 to $10,000 per carat, depending on cut, setting, brand, and design. After factoring in all costs polishing, logistics, marketing, and retail overhead U.S. jewelers like Tiffany & Co. and Signet brands typically walk away with net profits of around $1,000 to $2,000 per carat, sometimes even more for high-end or branded stones. Meanwhile, Botswana, as the source country, earns only a fraction of that through mining profits, royalties, and taxes.
Addressing the media this week, Boko stated that Botswana has taken bold and deliberate steps to secure the country’s future as a leading voice in the diamond industry. He pointed that their participation at the JCK Las Vegas German Jewellery Show and Heads of State Meeting at the World Federation of Diamond Bussels (WFDB) in New York were all focused on a singular purpose, which was to translate Botswana’s ethical leadership in diamonds, into economic impact for people, partners and her place in the global economy.
Boko is optimistic that his international missions would enhance diamonds trading, create jobs, open new markets, and create a brighter future for natural diamonds. He indicated that Botswana diamonds exceed mere natural resources, as they are the cornerstone of the bold development strategy that drives progress and prosperity.
