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Trudging his way back to the top

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MASERU – ARTHUR Mokoena Majara is a Mosotho who lives by a Japanese wise saying – “Fall down seven times, stand up eight.” One moment, he is a celebrity businessman and friend of the country’s foreign affairs minister. The next, everything was in smoke and he was back to the life of a pedestrian. For his friendship to Thomas Thabane, then a foreign minister, Majara lost his business. Soon after, his wife had to go. Thabane, has badgered through harsh times since those days as foreign minister and then as a runaway politician.

He is now Prime Minister. And Majara thinks he can walk the same road back to the top. A new venture is giving the 70-year-old some hope. Banca del’ Afrique has partnered with 357 FM Radio, managed by Majara’s only sibling Motlatsi Majara, and the now out of print Business Mate newspaper. Standing on the vast loggia of his Maseru East property where 357 FM is housed, Majara is looking ahead.

Although the house, a white double storey nestled on the slope of Mejametalana hill atop which is a military airbase, needs some maintenance, Majara seems convinced that it will be the headquarters of the coming glory. “We are going to expand this property. There will be residential flats behind this building,” he says. He knows how it feels being the top dog. He was the first Mosotho to bring the fast food giant KFC franchise to Lesotho, which instantly became a hit.

Majara also brought Woolworths Clothing and Dairy Bell Ice Cream franchises in the country. He bought into Phillips Lighting, which describes itself as a global market leader in lighting solutions. Life was good.
That was until September 1998 when political upheavals hit Lesotho as mobs burnt properties in Maseru, Mafeteng and Mohale’s Hoek towns. “All my businesses went up in smoke,” Majara says. “I was left with a few personal properties that included eight vehicles, three private cars and trucks,” he says.

Majara claims he was targeted because he was perceived as a supporter of the then ruling Lesotho Congress for Democracy (LCD). The party was in an alleged election rigging storm and Majara was caught in the crossfire because of his close friendship to Thabane, and Lefu Manyokole, a controversial journalist and radio presenter at the time. “I was not into politics but I was punished and suffered because of my close friendship with them,” he says.

“I used to visit Ntate Thabane at his house and I suffered as a result.” While he was cracking his head about how to start over, creditors were circling. The period between 1999 and 2012 was hell, he says. “The little money I had was for my daily survival,” he says. To pay his debts, Majara sold much of his personal and company property. His fleet of cars went under the hammer and he found himself a jobless, broke pedestrian.

“I struggled like my father, trying several things to see if there was any plan that could work for me,” he says. “I sat down and thought of what to do next.” At his lowest point, he says he was so broke that he decided to divorce his wife. “I am a single man now,” he says with a tinge of sadness. “The 1998 chaos did not only burn down my businesses but contributed to my family woes as well. I had to divorce to protect my family because all legal onslaughts were coming to me.”

However, he has won all the cases against him. Often, he represented himself because he could not afford a lawyer. He could not afford friends too. “Once you are in that position no one wants you,” he says. “You quickly become a social outcast.” The outcast condition soon turned into a business idea. In 2009 he formed Banca del’ Afrique Holdings, which he said was in the business of “planned giving”.

He describes this line of business as “a dreams factory in which infrastructure is built to assist clients with low cost entry into services that would otherwise require huge capital. “A client pays M1 000 a year to become a member of a scheme that offers different services such as business research, market research and advertising platforms. Unfortunately for him, the Central Bank of Lesotho forced the company to close down in September 2015 alleging that Majara was operating a bank or was receiving deposits from the public without a banking license.

He has now sued the Central Bank claiming M20 million for loss of business. “I am of the firm belief that this kind of business will help many small entrepreneurs see their dreams come true,” he says. “It is not a bank but I understand that once the people understand it they will use what it offers even if they have very little money or no money at all.” Majara says he was born poor but he is not determined to die one. His father was a maintenance officer at Thabeng Training School in Morija. His mother sold fat cakes.

Majara says he was fascinated by his father’s work. A handyman who could make almost everything doable, Majara’s father was Lesotho’s first maker of a hatching machine in early 1960s. He also reared chicken to complement his salary. He says his parents instilled the spirit of entrepreneurship in him. Majara enrolled with Lerotholi Polytechnic, then called Lerotholi Technical Training College, in 1964 where he studied electrical engineering before being employed at a government garage.

He went back to Lerotholi to teach before going overseas to further his studies under British Council Fellowship, at the Bolton Technical College. He also studied education at the Bolton College of Education before going to Victorian Manchester University for master’s degree, combining education with economics. He later obtained a doctorate in Social Sciences and then worked for the Southern Scotland Electricity Board. In 1980 he returned home and worked for the government for a year before joining De Beers Group where he taught technicians and helped in establishing training centres.

Majara then joined the world of business. He says Basotho should strive to be entrepreneurs instead of relying on government for their daily needs. For Lesotho to succeed, it should “steal winning formulas from developed countries”. Of course, he looks no further than Japan for wisdom. “That is exactly what Japan did. Look where they are now,” he says.

Caswell Tlali

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Mahao, PS in big fight

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PRIME Minister Sam Matekane this week summoned the Basotho Action Party (BAP) executive committee in a bid to defuse simmering tensions within the party.
This comes amid fears that Professor Nqosa Mahao’s fallout with his principal secretary at the Ministry of Energy, Tankiso Phapano, could threaten the unity in the BAP and the government’s stability.

thepost can reveal that Mahao has hinted that he would resign if Matekane doesn’t fire or reassign Phapano.

But there are strong indications that Mahao doesn’t enjoy the backing of his executive committee and MPs in his fight with Phapano.

Inside sources this week told thepost that some members of the BAP’s executive committee and MPs are openly siding with Phapano and have been secretly lobbying Matekane to reshuffle Mahao from the Ministry of Energy to Sports.

A source said Mahao is aware of these manoeuvres, including a clandestine meeting in Maputsoe, and has said he would rather resign than be the subject of a humiliating reshuffle instigated by people he leads.

The source of the bad blood between Mahao and Phapano is not clear but it is understood that they have disagreed over tenders and the ministry’s direction.

The source said Matekane was first briefed of the running battles at the ministry some three weeks ago just as matters were coming to a head.

It is the second briefing which revealed a complete breakdown in the relationship that triggered Matekane’s meeting with the BAP’s executive committee and MPs on Monday.

Three people who were in that meeting said Matekane told the BAP officials to deal with the crisis before it affected the ministry and threatened the coalition government’s stability.

The BAP’s executive committee, including MPs and Mahao, then had a marathon meeting to discuss ways to make peace between Mahao and Phapano.

A source who was in that meeting said “it was clear to Mahao that the majority of the committee and the MPs were on Phapano’s side”.

“Mahao quickly realised that he did not have the backing of the majority and took a conciliatory approach. It was clear that the committee would rather have him resign than get Phapano removed from the ministry,” the source said.

“In the past Mahao had flatly refused to reconcile with Phapano because of seniority. But this time he appeared to be open to a meeting to discuss reconciliation.”

Both Mahao and Phapano told thepost last night that their relationship was still cordial. ‘“We are still in good books with Phapano until further notice,” Mahao said.

“However, we cannot predict the future.”

Mahao denied ever discussing Phapano’s dismissal or transfer with Matekane.

Phapano also insisted that he was working well with Mahao.

“We are still on good terms,” Phapano said, adding that the allegation that they were fighting was “baseless”.

The fallout between Mahao and Phapano has been quick and spectacular.

The two had been almost inseparable months before Mahao agreed to join the coalition government.

Phapano would use his car to drive Mahao around. They would attend party meetings together. Some party insiders saw Phapano as Mahao’s right-hand man and adviser.

Mahao allegedly strongly pushed for Phapano to be appointed as his principal secretary when he became energy minister.

But sources said Mahao started having second thoughts days after recommending Phapano and tried to get his appointment reversed but it was too late.

A source says within weeks Mahao was telling cabinet colleagues that Phapano had captured the ministry and he was unable to function as the minister.

“He started pushing to oust Phapano within days because they were already clashing. It’s been war from the first days,” said the source.

Staff Reporter

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How chicken import ban hit vendors

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MALESHOANE Pakela used to work at small backyard chicken farms where she was paid with chicken heads, necks, legs, and offals that she would roast and sell to factory workers at the Thetsane Industrial Area.

Her job was to clean and pack chicken.
The profit wasn’t much but just enough for the 37-year-old widow to feed and keep her four children in school.

“It also covered her monthly rental of M150 for a room in Ha-Tsolo Sekoting.

Her life was however shattered last October when the government imposed a ban on chicken imports from South Africa following an outbreak of bird flu.
Without day-old chicks the farms quickly shut down, cutting Pakela’s supply of heads, necks, legs, and offals.
Within a few days, her family was starving.

Pakela had been struggling even for months before the ban. The closure of the factories and retrenchments of thousands of workers has severely hit her sales. She was behind on her rent and could barely feed her children.

The partial lifting of the chicken ban has not helped Pakela because her former employers still cannot import day-old chicks or live birds.
Pakela and a family were kicked out of their rented room in November when their arrears were about M1 000.
She has found another room nearby.

A ‘Good Samaritan’ has allowed her to use a room for free until she can afford the rent. But Pakela says she still feels obliged to pay something because she understands that things are hard for everyone.

“Here the rent is still M150 but the landlord accepts every amount that I give her,” Pakela says.
There are days when her children go to bed hungry.

“I have told them (children) that if I have nothing they should accept (the status).”

She now survives on handouts from neighbours and other well-wishers. Pakela’s poverty is apparent.

Barefoot and holding her small child in a seshoeshoe dress, Pakela says her two children usually go to school without eating.
The other child has dropped out of school because she doesn’t have shoes.

’Mako Lepolesa, 44, who has been running a chesanyama (meat grill) at the Maseru West Industrial Estate since 2018. The father of three says his clients are mainly taxi drivers and factory workers.

Chicken was her main product until last October when the ban was imposed. It wasn’t long before his business started wobbling.

“I thought it would be just a short-lived problem (chicken import ban) but it passed on this year,” he says, adding that it might take months for his business to recover.
Moshe Ramashamole, 42, who also owns a chesanyama in the Maseru West Industrial Estate, tried to remain in business by sourcing chicken from local farmers.

It was a stopgap measure that however lasted a few weeks because the farmers also ran out of stock. He resorted to bad chicken but they were double the price of a full chicken before the ban.
Yet Ramashamole thought he could make it work by increasing the price of his plate from M35 to M55. The customers however resisted the new price and Ramashamole had to take the losses.

The poultry ban did not affect street vendors like Pakela alone.
Former Minister of Communications, Khotso Letsatsi, is one of those poultry farmers struggling following the chicken ban.

He ventured into poultry in January last year. It was an audacious venture that included a M100 000 investment in a shelter and other equipment.
He started with a batch of 300 chicks and had reached 1 000 by the time the ban was imposed.

“The business was lucrative,” Letsatsi says.

“I had to employ two people permanently to assist me on a full-time basis,” he says.

When it was time to slaughter the chickens, Letsatsi says he had to employ seven casual labourers.
Since the ban was imposed he had released all his workers.

“I do not know where they are now. Maybe they are starving,” he says of the workers he released.

Letsatsi doesn’t know how he will revive his business.
The Director of Marketing in the Ministry of Agriculture and Food Security (MAFS), Lekhooe Makhate, says the ban has been devastating to farmers and businesses.

“Some big businesses are going to declare less tax to the government because there was no business,” Makhate says.

He says Lesotho spends M2.1 billion on the importation of chicken and its products from South Africa every year.
But that amount usually soars to M4 billion depending on the market forces of demand and supply.

Makhate says the M2.1 billion goes to South Africa where the chicken and its products are imported.

At the height of the scarcity of chickens in the country, Makhate says people were supposed to make initiatives to travel to villages to search for chickens.

“There is not enough production of chickens in the country,” he says.
“Economically speaking we rely on South Africa. We have to be self-reliant.”

Majara Molupe

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Letseng fends off threat to sue

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LETŠENG Diamond says it is under no obligation to advertise jobs for Basotho to provide certain services “where it has the capacity to undertake the same services”.
Letšeng Diamond boss, Motooane Thinyane, was responding to a threat to sue by a little-known political party called Yearn for Economic Sustainability (YES).

Matekane’s company, the Matekane Mining Investment Company (MMIC), had been providing blasting, haulage and drilling services at Letšeng mine since 2005.
The deal with the MMIC was terminated in December last year with the mining company saying it was improper because Matekane had now become a politician.

Letšeng Diamonds announced that it had reached an agreement with the MMIC to acquire its mining equipment at the mine and offered employment to its current employees in line with operational requirements.

“This will enable Letšeng to continue with its mining activities,” the company said in its statement.

This infuriated opposition parties that argued that the mine should have called interested Basotho companies to bid for the contract, saying it is provided for in the Minerals Act of 2005.

The leader of Yearn for Economic Sustainability (YES), Molefi Ntšonyana, wrote the mine last week threatening to sue for allegedly failing to follow section 11 of the Act.
Ntšonyana argued that the Act “does not grant the Letšeng Diamond 100 percent to mine with its good own equipment” but it should engage Basotho companies like it did with the MMIC.

Ntšonyana said Letšeng Diamond and the MMIC made the agreement to acquire the MMIC equipment so that the mine could continue with its mining activities “without any advertisement to seek qualified Basotho to provide such services”.

Ntšonyana said the agreement unilaterally denied Basotho a chance to tender for such services and ignored the fact that the government of Lesotho on behalf of Basotho own 30 percent in the Letšeng Diamond.

“It is advisable to reconsider your decision,” Ntšonyana said, adding that they would also write to the mining board requesting the resolution they made regarding this matter of insourcing mining activities.

He said the company should adhere to section 11 of the Mines and Minerals Act of 2005 and within 14 working days the matter should be reconsidered, “failing which we will have no choice but to drag the company to the courts of law”.

In his response, Thinyane said Ntšonyana must “revisit the section in question in full for its correct interpretation”.

“Letšeng Diamond is under no obligation to advertise to seek qualified Basotho to provide services where it is willing and has the capacity to undertake the same services,” Thinyane said.

He said the decision relating to the agreement referred to has been through the necessary governance structures and is therefore procedural.
Thinyane said Letšeng is a corporate citizen that is fully compliant with the laws of Lesotho.

Majara Molupe

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