Consider this: A rough diamond dug in Botswana might be cut in Surat, India, polished in Antwerp, set in New York, and sold to a bride in Tokyo. Of that final retail price (which could be 5x to 10x the rough value), Botswana currently captures only the cost of extraction plus half the rough profit.
The discussion surrounding whether Botswana is getting a "raw deal" from has shifted significantly following the formal signing of a new partnership agreement in February 2025 . While historical sentiments—including those from former President Masisi—suggested Botswana was previously undervalued, the current consensus under President Duma Boko leans toward a more balanced, "transformational" relationship. Recent Developments (as of April 2026)
At the heart of this success story is Debswana, a 50/50 joint venture between the Government of the Republic of Botswana and De Beers. For years, the operational model was straightforward: Debswana mined the stones, and they were funneled into De Beers’ global sightholder system, largely processed in London.
For years, this arrangement was viewed as mutually beneficial. De Beers secured access to some of the highest-quality, most lucrative diamond deposits in the world—most notably the Jwaneng mine, often described as the richest diamond mine on earth. In return, Botswana received a steady stream of revenue that funded infrastructure, education, and healthcare. Signs of Friction: The Push for Modernization Consider this: A rough diamond dug in Botswana
To understand the current friction, one must understand the history. Unlike many other African nations where resource extraction led to conflict or exploitation (the "resource curse"), Botswana managed its diamond wealth with prudence. The government negotiated a 50-50 joint venture with De Beers, known as . This arrangement ensured that profits were split evenly, funding the country’s education, healthcare, and infrastructure.
De Beers moved its global rough diamond sorting and sales operations from London to Gaborone in 2013, anchoring Botswana as a global gemstone capital.
While Botswana has successfully extracted major concessions from De Beers, the global landscape has shifted dramatically, meaning a higher percentage of diamond revenues may no longer guarantee economic stability. The Lab-Grown Diamond (LGD) Disruption For years, this arrangement was viewed as mutually
What do you think? Should resource-rich nations control their own diamond destiny? Join the conversation in the comments below.
Arguments that Botswana might be getting a raw deal
The state-owned Okavango Diamond Company’s share of Debswana’s rough production immediately jumped to 30%, with a contractual trajectory to reach 50% by the early 2030s . This gives Botswana direct control over marketing half of its own diamonds, bypassing the De Beers allocation mechanism entirely. with opposition questioning the strategy.
and De Beers was hailed as the ultimate success story in African mining
One of the main criticisms is that the diamond industry has made Botswana too dependent on a single commodity. This has made the country vulnerable to fluctuations in the global diamond market, and has limited the country's ability to diversify its economy.
Under President Duma Boko, Botswana is aggressively seeking a controlling stake in De Beers to secure economic sovereignty, aiming to acquire over 50% ownership by October 2026. While a February 2025 agreement increased Botswana’s share of diamond production to 50% by 2035, the push for majority control comes amidst a depressed diamond market and high financial risk, with opposition questioning the strategy. Read the full story at Mining.com .