Portfolio Committee on Premier and Enterprise Development applauds Borobala diamond cutting project in Wolmaranstad
On Wednesday, 3 June 2015, the North West Provincial Legislature’s Portfolio Committee on Premier, Treasury, and Enterprise Development has applauded the role played by Department of Finance, Economy and Enterprise Development and Council for Scientific and Industrial Research (CSIR) on assisting Borobala Diamond Cutting and Polishing cooperative during a meeting to assess its functionality.
The twelve (12) member cooperative aimed at job creation and economic development was funded by the department at a budget of R6 613 806.00 in the 2013/14 financial year and CSIR was contracted to conduct feasibility study, develop and implement a business plan and establish a sustainable enterprise.
Borobalo purchases rough uncut diamonds from the State Diamond Trader, cuts and polish them before certification and selling at jewellery manufacturers. The project has created six (6) direct jobs; a trainee general manager, three (3) trainee diamond cutters, trainee administrator and general assistant.
The Enterprise Development Specialist at CSIR, Ms Siphokazi Mhlana said some of the challenges in the project are marketing opportunities, low sales volumes of polished diamonds and release of funds to procure rough diamonds from suppliers.
“Cooperative members also need further training and marketing skills to successfully manage their business. There is also competition from international buyers of rough diamonds at local tender house,” said Ms Mhlana.
The General Manager of the Cooperative, Ms Gosebelwang Mmamolao said their main challenge is transparency on decision making processes concerning the cooperative.
“We often miss crucial rough diamonds on the market because of late payments by the CSIR. We also need transport to visit and intensify relationship with the prospective buyers and sellers in the industry,” said Mmamolao.
The Acting Committee Chairperson, Hon. Gordon Kegakilwe said the project has an opportunity to grow and the main challenges need urgent attention from the department and CSIR.
“The cooperative must be given funding and implementation plans and be involved in high level decision making processes. The department must urgently provide a transport as the cooperative is dealing with a highly expensive commodity and cannot rely on public transport,” said Hon. Kegakilwe.
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