This study uses the traditional cost-benefit analysis to estimate the viability of commercial fishing in Botswana, using the Boiteko Syndicate in Shakawe, Botswana. The Net present Value (NPV) and Benefit Cost Ratio (BCR), indicate that commercial fishing, as practiced by the Boiteko Syndicate, is commercially viable and thus, should be encouraged and supported. The findings are supported amply by the results of the sensitivity analysis carried out in the study. The paper also indicates that in order to avoid over exploitation of freely available biological resources like fish, specific rules and regulations should be formulated, thus, ensuring the long-term sustainability of the fishing industry. This article thus provides feasible ways to aid the agricultural sector in contributing towards the diversification of the economy of Botswana.

The thrust of Botswana’s current macroeconomic policy aims at achieving sustainable economic growth and economic diversification that entails increased participation and enhanced competitiveness of Botswana exports in global markets (Government of Botswana, 2003; Setlhare, 2005). It essentially means that a shift must occur from mineral-led and government-led economic growth to the inclusion of other sectors of the economy. Traditionally, the country has relied on mining particularly, diamond exports to drive the economy. In the non mining sector, the main source of foreign exchange has been the export of beef and beef products. While a strong reliance on diamonds has spurred economic growth for the past three decades, this has gradually changed in recent years.

The flaw of reliance on the export of one mineral commodity to drive economic growth has been seen with the experience Zambia had with its copper exports (Poteete, 1999). Another major drawback of reliance on the mineral sector is that this sector is capital intensive, and thus generates low levels of employment. Further, diamonds are sold in a cartel setting, the price diamonds fetch are held artificially higher than they otherwise would be in a perfectly competitive market setting where there is a complete liberalization of the market arena.