Charles Ndeumane
Following the sale of Dundee smelter to Chinese investors Sinomine Resources Group, hope is high among Tsumeb residents that their town could wake up from its economic slumber.
Several businesspeople and prominent figures in Tsumeb have weighed in on the catastrophe of businesses closing in the town.
Former information deputy minister Engel Nawatiseb is one of them.
He fears Tsumeb might become a ghost town.
“Businesses are closing down because there is no buying power; local people are unemployed because major employers like Dundee have employed people from outside Tsume, and when those people get paid, they go and invest and spend their money in their hometowns,” he said.
Nawatiseb is now urging new investors, particularly the new owners of the Dundee smelter, to prioritise locals and avoid repeating the same mistake made by other employers by employing people from outside Tsumeb.
He said, “When local people are employed, that is what keeps business alive.”.
The ongoing catastrophe was also confirmed by Tsumeb mayor Mathews Hangula during an interview with New Era recently.
He said the economy of the town has suffered greatly because of Covid-19, and its effects are still harming some businesses, causing them to close shop.
“We remain cognisant of the progressive strides achieved by the Dundee Tsumeb Community Trust but continue to express disappointment at the appointment of trustees from other parts of the country other than local Tsumeb youth to serve as trustees. This has resulted in the diverting of millions of dollars to other regions other than investing in the local community, which has been centrally exposed to dangerous toxic elements in the town, e.g., N$8 million investments in Stampriet, Hardap region,” stated Nawatiseb during a consultative meeting between the Namibian Competition Commission and Tsumeb Business Consortium.
Hangula stated that the closure of Tschudi Mine has negatively affected the economy of Tsumeb, which in turn has affected many businesses, causing some to close completely. “When big businesses come into a town, it boosts business activities because there is more money circulating, and when those businesses close down, it has serious effects on the economy and business in general,” he added.
Like Nawatiseb, Hangula pleads with new investors to prioritise employing local people and only employ outsiders when locals do not meet requirements for specific jobs.
“They say the Chinese are not making use of our banks. Apparently, they take their money to their country, and that affects our economy. I advise new investors to refrain from this notion; first, they should consider the local people for jobs before they look outside Tsumeb,” he added.
–mrndeumaneraycharles@gmail.com