Is Botswana Getting A Raw Deal From De Beers Diamonds - The World News Jun 2026

The 2025 deal has improved the situation—moving the ODC allocation from 25% to 40% and eventually to 50% is a tangible victory. However, the fact that the mining licenses were extended for a full quarter-century in exchange for these gains suggests that De Beers still walked away with the long-term prize: security of supply.

LGDs are chemically identical to mined diamonds but cost a fraction of the price. As consumers—particularly Millennials and Gen Z—prioritize price and ethical transparency, the demand for natural stones has softened. Some analysts believe that by the time Botswana gains full control of 50% of its production, the global price for natural rough diamonds may have collapsed to a point where the increased volume cannot offset the lost value. Transparency and the "Middleman" Problem

"We are not a quarry," President Masisi said in a fiery address last month. "We are not just diggers. We want the full value of our resources, including cutting, polishing, and selling. The current deal treats us like a junior partner in our own house."

However, the proposed solution—taking control of De Beers—is a high-stakes gamble. It could allow Botswana to finally capture the full value of its mineral wealth, but it also risks sinking the nation deeper into debt and dependency on a beleaguered industry. Whether President Boko’s bold vision will lead to a new era of diamond-driven prosperity or a cautionary tale of overreach is a story that is still being written in the mines of Jwaneng and the negotiating rooms of Gaborone. The 2025 deal has improved the situation—moving the

Whether he succeeds will determine if Botswana was merely paying rent for its own wealth, or if it can finally claim the inheritance it has been owed for half a century. For now, the raw deal is being renegotiated—and the world is watching to see how much pressure a small nation can put on a giant industry.

"Botswana has been a glorified landlord," says Dr. Kebabonye T. Monagen, an economic historian at the University of Botswana. "They own the land and the resource, but De Beers has been the intellectual and logistical landlord. De Beers decides when to release stones, how many, and at what price to the cutters. Botswana gets a dividend, but not the strategic leverage."

De Beers has historically had the right to buy 100% of Debswana's production. Critics argue that De Beers then sells diamonds at higher prices through its global distribution network, leaving Botswana with only mining profits and taxes, not downstream margins. "We are not just diggers

Is Botswana Getting a Raw Deal From De Beers Diamonds? A 2026 Perspective

At the heart of this economic miracle sits , a 50/50 joint venture between the Botswana government and De Beers.

: Most rough diamonds were historically shipped abroad for cutting and polishing in hubs like India, depriving Botswana of higher-value manufacturing and retail jobs. Alleged Profit Shifting "If Botswana pushes too hard

As the world continues to demand more transparency and accountability from mining companies, De Beers and the government of Botswana must work together to ensure that the diamond industry benefits both the company and the country.

"If Botswana pushes too hard," warns one mining analyst, "De Beers might divert capital to newer discoveries in Canada or Angola. You don't kill the goose that lays the golden egg—but you also don't let the goose starve the farmer."