Business Profile
Economy
The earnings of the estimated 150,000 Lesotho nationals working in South Africa account for a substantial proportion of the country’s income. Inside the country, 40 per cent of the workforce are engaged in agriculture, farming maize, wheat and other crops. Wool, mohair and hides are important exports. Nonetheless, Lesotho’s vulnerability to drought means that over half the country’s food must be imported from South Africa: this was particularly apparent during mid-2002, when large-scale famine was narrowly averted. There are reserves of ores and minerals, including diamonds, uranium, lead and iron ore, but little exploitation has taken place. Light manufacturing, meanwhile, has grown steadily with food, drink and textiles as the main products. Tourism is a major source of foreign exchange. Lesotho’s government has historically relied on foreign aid, particularly for infrastructure programmes (large parts of which were destroyed during a major civil insurrection in 1998). The most important infrastructure project of recent years has been Lesotho Highlands Water Project, which aims to deliver water to South Africa and provide 60 per cent of Lesotho’s electricity supply. South Africa is Lesotho’s major trading partner and the Southern African Customs Union provides over 95 per cent of the country’s imports. Unfortunately, Lesotho and South Africa also share the scourge of the region, HIV/AIDS, which has infected over one-third of Lesotho’s productive labour force.
Business
Lightweight suit, shirt and tie should be worn for business meetings. English will be spoken by most businesspeople. Usual business formalities should be observed, but expect a casual atmosphere and pace. Office hours: Mon-Fri 0800-1245 and 1400-1630, Sat 0800-1300. Government office hours: Mon-Fri 0800-1245 and 1400-1630.
Commercial Information
The following organisations can offer advice: Ministry of Trade, Industry and Marketing, PO Box 747, Maseru 100 (tel: 312 938); or Lesotho National Development Corporation, Private Bag A96, Development House, Block A, Kingsway Street, Maseru 100 (tel: 312 012; fax: 310 038; e-mail: info@lndc.org.ls; website: www.lndc.org.ls); or Lesotho Chamber of Commerce and Industry, PO Box 79, Kingsway Avenue, Maseru 100 (tel: 323 482; fax: 310 417).
Conferences/Conventions
The Lesotho Tourist Board can provide advice (see Contact Addresses section).
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