WE have read the letter of Mr Herman Hamutenya in the letters column of your newspaper of Friday, 17 March 2006.
We as the leadership of the Indigenous Business Forum want to comment on the contents of Mr Hamutenya’s letter as follows: 1. Namibia has one of the biggest foreign-investment laws in Africa in order to attract foreign direct investments, however this does not mean that investors will run to the country with their billion-dollar investments.Investors look at different aspects in one package before making the decision to invest in a certain country.We all know that the trade-union movement is very strong in Namibia, something that scares investors away.Surely this falls under the Ministry of Labour? Is Mr Ndishishi still to be blamed for this scenario? 2.Speaking of the WTO, this is a body that came into existence in 1996 to remove trade barriers in member countries.Globalisation thus took root with the establishment of the WTO.The main aim of the WTO is to promote free trade in the world.Namibia is a member country of the WTO and must abide by its rules and regulations.This means competition with countries that have cheap labour, very weak trade-union movements and huge markets.Is Mr Ndishishi still to blame for what is decided by the World Trade Organisation? 3.Industries with the same capacity as Ramatex will find it hard to invest in Namibia.This is simply because the quota system for the textile industry was abolished by the WTO in 2005.This means that there are no favourable measures for countries like Namibia to attract textile companies such as Ramatex.These companies obviously prefer to set up their operations in the Asian countries with cheaper labour and less vocal trade unions.It is not only Namibia that has been hit hard by the abolition of the quota system.Malawi is also finding the going very tough as many textile industries close business in the country.Is Mr Ndishishi also responsible for the abolition of the quota system? 4.It is extremely difficult for developing countries to have their recommendations or grievances heard at the WTO.More so when a country wants to go the unilateral way.The only way to succeed is by forming groupings and the African countries are working together as a grouping.Dear Mr Hamutenya, the big countries such as America, Japan, China, England, France, etc, think only of themselves and will not think twice to crush you if they believe you are a nuisance.Namibia is surely in a better position when doing business in the Africa group.5.The comment that South Africa negotiated on Namibia’s behalf during the Uruguay Round is void of all truth.The Sacu grouping participated at the round as a grouping.As mentioned earlier, it is far better to participate as a grouping at trade negotiations rather than taking a lonely route.6.Namibia has fully participated in both Trade Preferential Agreements e.g.with EFTA and Mercosur.There are also certain efforts towards bilateral trade agreements e.g.Angola and China.One of the constraints facing Namibia is that of supply-side developing countries’ fair participating in the trade.Thus current efforts of agreements with the Namibia Manufacturing Association, IBF, NCCI and the establishment of the NTF are all geared towards improving market access, overcoming supply-side constraints and sensitising the private sector to take trade seriously.You can only do well at international trade level if you are prepared on the home front.7.The Indigenous Business Forum was established in August 2005.Since we approached the Ministry we have found a very friendly and helpful person in Mr Ndishishi.We are not the only ones who will testify to this, but there are various trade-related organisations that will do the same.8.Mr Hamutenya, indigenous Namibian entrepreneurs are facing unfair trade practices on a daily basis in Namibia, 16 years after the independence of this country.Don’t you think that is a very serious aspect that needs to be mentioned in your letter? You seem to be a very able person on trade issues, why then don’t we join hands with the likes of Mr Ndishishi towards the realisation of a more conducive trade environment in Namibia, not only for foreign investors, but first and foremost for Namibians? 9.It is regrettable that your criticism does not provide possible solutions to the problems you are encountering.This is one of the biggest assets of Namibians who always want to criticise or to discredit; there are no sound solutions or suggestions to their criticisms.It always starts and ends with the criticism.That is indeed regrettable.10.Contrary to the wishes of Mr Hamutenya, the IBF wishes Mr Ndishishi a very productive year as the Permanent Secretary of the Ministry of Trade and Industry.J Nekundi Indigenous Business Forum (IBF)Namibia has one of the biggest foreign-investment laws in Africa in order to attract foreign direct investments, however this does not mean that investors will run to the country with their billion-dollar investments.Investors look at different aspects in one package before making the decision to invest in a certain country.We all know that the trade-union movement is very strong in Namibia, something that scares investors away.Surely this falls under the Ministry of Labour? Is Mr Ndishishi still to be blamed for this scenario? 2.Speaking of the WTO, this is a body that came into existence in 1996 to remove trade barriers in member countries.Globalisation thus took root with the establishment of the WTO.The main aim of the WTO is to promote free trade in the world.Namibia is a member country of the WTO and must abide by its rules and regulations.This means competition with countries that have cheap labour, very weak trade-union movements and huge markets.Is Mr Ndishishi still to blame for what is decided by the World Trade Organisation? 3.Industries with the same capacity as Ramatex will find it hard to invest in Namibia.This is simply because the quota system for the textile industry was abolished by the WTO in 2005.This means that there are no favourable measures for countries like Namibia to attract textile companies such as Ramatex.These companies obviously prefer to set up their operations in the Asian countries with cheaper labour and less vocal trade unions.It is not only Namibia that has been hit hard by the abolition of the quota system.Malawi is also finding the going very tough as many textile industries close business in the country.Is Mr Ndishishi also responsible for the abolition of the quota system? 4.It is extremely difficult for developing countries to have their recommendations or grievances heard at the WTO.More so when a country wants to go the unilateral way.The only way to succeed is by forming groupings and the African countries are working together as a grouping.Dear Mr Hamutenya, the big countries such as America, Japan, China, England, France, etc, think only of themselves and will not think twice to crush you if they believe you are a nuisance.Namibia is surely in a better position when doing business in the Africa group.5.The comment that South Africa negotiated on Namibia’s behalf during the Uruguay Round is void of all truth.The Sacu grouping participated at the round as a grouping.As mentioned earlier, it is far better to participate as a grouping at trade negotiations rather than taking a lonely route.6.Namibia has fully participated in both Trade Preferential Agreements e.g.with EFTA and Mercosur.There are also certain efforts towards bilateral trade agreements e.g.Angola and China.One of the constraints facing Namibia is that of supply-side developing countries’ fair participating in the trade.Thus current efforts of agreements with the Namibia Manufacturing Association, IBF, NCCI and the establishment of the NTF are all geared towards improving market access, overcoming supply-side constraints and sensitising the private sector to take trade seriously.You can only do well at international trade level if you are prepared on the home front.7.The Indigenous Business Forum was established in August 2005.Since we approached the Ministry we have found a very friendly and helpful person in Mr Ndishishi.We are not the only ones who will testify to this, but there are various trade-related organisations that will do the same.8.Mr Hamutenya, indigenous Namibian entrepreneurs are facing unfair trade practices on a daily basis in Namibia, 16 years after the independence of this country.Don’t you think that is a very serious aspect that needs to be mentioned in your letter? You seem to be a very able person on trade issues, why then don’t we join hands with the likes of Mr Ndishishi towards the realisation of a more conducive trade environment in Namibia, not only for foreign investors, but first and foremost for Namibians? 9.It is regrettable that your criticism does not provide possible solutions to the problems you are encountering.This is one of the biggest assets of Namibians who always want to criticise or to discredit; there are no sound solutions or suggestions to their criticisms.It always starts and ends with the criticism.That is indeed regrettable.10.Contrary to the wishes of Mr Hamutenya, the IBF wishes Mr Ndishishi a very productive year as the Permanent Secretary of the Ministry of Trade and Industry.J Nekundi Indigenous Business Forum (IBF)
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