NDTC posts record revenue
The Namibia Diamond Trading Company (NDTC), a 50/50 joint venture between the Government and diamond giant De beers through its rough diamond sorting and distribution arm, DTC announced this week that revenue for the year 2013 has risen to an all time high of N$11 billion.
According to NDTC CEO Shihaleni Ndjaba, the company grew its revenue by 26.5% to N$11 billion up from N$8.7 billion recorded in 2012.
Ndjaba attributed the growth in revenue largely to high diamond production from Namdeb and Debmarine operations together with a favourable exchange rate. Ndjaba, however, said the growth in revenue was achieved at the back of challenging market conditions characterised by liquidity problems, depreciation of the Indian Rupee against the US dollar, high stock levels particularly in the midstream, and a slowdown in the Chinese and Indian economies – the world’s two biggest consumers of diamonds.
NDTC, which receives 100% of rough diamonds produced at Namdeb and Debmarine operations in the country before sorting, valuing and marketing them (90%) to Debeers in Botswana and (10%) to 12 local sight-holders, marketed just over 1.8 million carats this year alone up from 1.6 million carats marketed in 2012.
As a result, NDTC paid N$160 million as dividend to shareholders on Tuesday bringing the total dividend paid in 2013 to a total of N$240 million after the company declared an interim dividend of N$80 million earlier in the year.
With the latest dividend pay out, NDTC has now paid over N$1 billion to shareholders since the company’s inception in 2007. In addition, over N$550 million has also been paid to the Receiver of Revenue as corporate tax.
In a speech read on his behalf by his deputy Willem Isaacks during the handover of the dividend cheque, Mines and Energy Minister Isak Katali added that NDTC operations has created a thriving downstream diamond processing industry in the country which has created about 1300 permanent jobs.