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May 11, 2021

STAFF REPORTER

3 min read

Stones accused of selling wool illegally

Stones accused of selling wool illegally

The Managing Director of Maseru Dawning Stone Shi

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CHINESE businessman operating the Thaba Bosiu Wool and Mohair Centre, Stone Shi is alleged to be exporting wool and mohair to foreign countries in spite of the fact that his trading licenses have been suspended by the Ministry of Agriculture and Food Security.

This was announced in the National Assembly by a Member of Parliament, Kimetso Mathaha on Monday.

He had asked the Acting Minister of Agriculture and Food Security, Likopo Mahase if he was aware that the controversial businessman was still trading outside the country, notwithstanding that his licenses had been revoked.

Mr Mathaha wanted the acting minister to explain why Shi was still in operation and was also keen to know the measures that were being taken to put an end to his illegal activities.

In response, Mr Mahase agreed that Shi was not supposed to be operating his wool business, adding that his licenses had been suspended in 2020.

The same licenses, he showed had also expired in December 2020 and have since not been renewed.

“He has no right to be operating or exporting the wool and mohair, as one must have valid licenses in order to work,” Mr Mahase said, promising to work hand in hand with police to get to the bottom of the matter.

Shi is at the centre of the scuffle between government and the wool farmers.

After his company bought wool and mohair from the farmers to sell them to the international market on their behalf, it failed to pay them, triggering a chain of disputes and mass actions that also landed in court.

When the company could no longer pay the farmers as promised, the government finally came to the rescue and settled the unpaid balances on his behalf.

Shi claims that he approached the Chinese embassy in Lesotho after the Lesotho National Wool and Mohair Growers Association (LNWMGA) refused to supply wool and mohair to the Lesotho Wool Centre in Thaba Bosiu following a fall out with the government.

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In February 2012, the LNWMGA invited a delegation from Stone’s company to Lesotho to build cooperation in the wool and mohair industry.

In July that year, a delegation from Lesotho that included cabinet ministers, officials from the Lesotho National Development Corporation (LNDC) and officials from the Lesotho’s embassy in Beijing visited Shi’s company in China.

The delegation is said to have requested the company to invest in Lesotho’s wool and mohair industry.

In October 2014, the Ministry of Agriculture started helping Shi to find a site to build the wool and he finally settled in Thaba Bosiu.

A memorandum was signed to form the Lesotho Wool Centre Joint Venture in which Shi’s company Maseru Dawning owned 25 percent with LNWMGA holding 75 percent.


 

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