De Beers’ Moroko on building a successful public-private partnership with Botswana

In the world of diamond mining, one of the most successful public-private partnerships has been that of De Beers and Botswana. This partnership has not only endured but has thrived over the years, setting a model for collaboration and mutual understanding between a commercial entity and a government. The success of this partnership can be attributed to a few key elements that have been outlined by the President of De Beers Group Services, Moroko Moreri. First and foremost, the foundation of this partnership lies in a deep understanding of each other's objectives. Moroko emphasizes the importance of both partners recognizing and respecting the goals and aspirations of the other. The government of Botswana represents its constituency, seeking revenue for development, while De Beers, as a commercial entity, aims to operate profitably. By aligning their strategies and working towards common objectives, the partnership is able to thrive. Secondly, Moroko highlights the importance of aligning with the aspirations of the government. Whether it is in Botswana, Namibia, or South Africa, De Beers strives to understand the goals of its partner countries and tailor its approach to support their objectives. In Botswana, where the majority of De Beers' production comes from, the company has invested in building a strong relationship with the government, collaborating and engaging regularly to address challenges and seize opportunities. Thirdly, the key to the success of this partnership lies in effective communication and trust-building. Moroko acknowledges that trust between the government and private companies does not happen overnight but is built over time through open dialogue, risk-sharing, and mutual benefit. The regular engagement between De Beers and the Botswana government's mineral policy committee has fostered a culture of collaboration and problem-solving, leading to a growing mutual trust. As the dynamics of the diamond market evolve, with challenges such as lab-grown diamonds and changing consumer demands, the partnership between De Beers and Botswana faces new challenges. Moroko acknowledges the need to adapt to these changing market conditions and explore new marketing strategies to promote Botswana diamonds in a competitive market. The shift towards brand marketing and the potential implications on the existing model are areas that require careful consideration and strategic planning. Looking ahead to the next phase of negotiations as the current agreement comes to an end, Moroko remains optimistic about the future of the partnership. Despite the dynamic nature of negotiations, the desire to work together and reach a mutually beneficial agreement is evident. The commitment of both parties to understanding each other's needs and objectives sets a strong foundation for successful collaboration and continued growth.