PRESIDENT Hifikepunye Pohamba’s blanket defence of Chinese business in Namibia because the superpower helped the country during its liberation struggle has sparked an outcry from the private sector.

“Having contributed to our liberation struggle should not be an open door for any nation to sidestep our laws or national priorities,” Tarah Shaanika, chief executive officer of the Namibia Chamber of Commerce and Industry (NCCI), said in a press statement on Thursday.
On Friday morning, the secretary general of the Namibian Employers’ Federation (NEF), Tim Parkhouse, followed with an open letter to the President, saying that the private sector has been objecting to some of the labour practices by business people, mostly Chinese, which “are nothing short from labour and sweat shops”.
The NCCI and the NEF reaction followed remarks made by President Pohamba last Monday when he visited the Etunda Irrigation Scheme near Ruacana. Pohamba lashed out at local entrepreneurs condemning the Chinese, while remaining silent about South Africans doing business in Namibia.
“It is shameful for black Namibian business people to condemn the Chinese who provided us with arms during our liberation struggle,” he said.
The very same day, Labour Minister Immanuel Ngatjizeko released a report on labour law violations by retailers in the Caprivi, in which he mentioned at least nine Chinese shop owners who “have ignored the Labour Law completely”, including minimum basic conditions and the Social Security Act.
When an employee takes a lunch break at these shops, as much as N$20 is deducted from his salary, the report stated among others.
The NCCI said it was “disturbed” by Pohamba’s remarks and that it was clear that the “President misunderstood the concerns which the business community has been expressing for some time now”.
The NCCI has nothing against Chinese businesses or Chinese investments, and the chambers’ concern does not mean a lack of appreciation of “our Chinese brothers’ and sisters’ contributions to our liberation struggle”, Shaanika said. What they are worried about are the unethical and, in most instances, illegal practices by some foreign businesses, often Chinese.
The NEF expressed the same sentiments.
“The objections raised by the business community are not aimed against a specific nation but rather the clear and blatant disregard by, mostly Chinese, investors and business people for the laws, policies and culture of Namibia and the fact that it appears as if they are continuing with their approach with impunity and continue to receive state tenders,” Parkhouse wrote.
Both Shaanika and Parkhouse said this results in unfair and uncompetitive business which threaten the livelihoods of small and medium enterprises (SMEs) in particular.
The NCCI once again asked Pohamba for serious discussions on the matter, while the NEF reminded him that “the business community, both local and foreign, is dependent on your office to ensure that all business people are answerable to the same laws”.
Back in 2008, the NCCI’s northern branch already appealed to Government, in particular Trade and Industry Minister Hage Geingob, to ban foreign firms from providing goods and services which local SMEs can adequately handle.
In 2010, Geingob announced that Government would enforce legislation and make foreign investors obtain permits to invest in any form of retailing. At the same time, Namibia would ban foreign investment in SME-sized public-transport businesses and in hair and beauty salons because of increased Chinese involvement in the industries, he said.