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HARGEISA, Somaliland—From early in the morning until midday, the streets of southern Hargeisa, Somaliland periodically shut down as hundreds of camels trundle along the narrow city streets. Taxi drivers give way, milling on the side of the road, wiping their cars clean of the dust and mud kicked up by the procession. Ultimately, the beasts file through the gates of the Hargeisa Camel Market.
No one really runs the market. It’s just one of dozens of sites across the country where nomads, locals, and traders converge daily to buy and sell thousands of live animals, some for the neighborhood butcher’s block, others for export. And to most folks in Hargeisa, it’s just a fact of life—a reflection that, despite the boom in the city’s population and the development of modern, multistory office buildings, Somaliland is still a largely pastoral economy.
But downtown, in the knot of government offices near the presidential palace, the ministers are eyeing this market with new ambitions. They have analyzed the country’s resources, crunched the numbers, and decided that these nomads may offer the safest and quickest passage for taking this fragile economy from relative poverty to a more thorough modernity.
Actually, it’s not as if Somaliland has many options. A self-declared but officially unrecognized nation, Somaliland is a little smaller than Idaho, with twice the population, but less than 5 percent of the annual budget. The de facto nation is rich in natural resources beyond livestock, but its infrastructure—potholed roads and no central electrical grid or water system to speak of—can’t get the goods to market. If that doesn’t deter intrepid investors, the place’s legacy of violence and piracy probably does.
With a paltry national budget—a finance ministry official estimated that it stands at $125 million—the government lacks the means to do much about it. What aid money they receive is mostly earmarked by donors for pet projects. There is no banking industry, and insurance companies are nonexistent. “There is no way on Earth a country can develop without financial institutions in place,” laments Sa’ad Ali Shire, the Minister of National Planning and Development . “You cannot have investment and you cannot move forward.”
The country may lack roads, cash, and skilled workers, but it does have one important source of manpower: nomads. It’s hard to say how many there are, as there’s been no census since the civil war in the early 1990s, but some estimate that up to 70 percent of Somaliland’s population is nomadic.
The modern nomad isn’t the lone ranger he once was, says Shire. “A hundred years ago, the nomad was self-sufficient. He was disconnected from the urban center. That has totally changed. The rural household more or less consumes what the urban household consumes.”
The nomads have created trade routes and depots across terrain that cars can’t easily navigate, but camels can. The Hargeisa Camel Market is just one point in a nation-wide network of markets. Wandering among the flocks dotted across the sale grounds, I see a line of rams, roped together neck-to-neck, purchased at roughly $80 a head. (Camels can sell for anywhere from $300 to $1,000 per head, depending on their size.) An agent, a robust man in a cowboy hat who’s been culling the choicest animals from the nomads’ small herds for butchery or export, will come by later to haul them away.
But before the agent leaves, he must pass a dozy government official sitting by the gate. He will pay around $1 in tax per sheep or goat, and up to $5 per camel. If he takes the animals to the port of Berbera for export, he’ll pay another tax as well. It’s a minuscule fee compared to what he paid for the animals—and the profits he stands to make as the middle-man—but for a small government strapped for cash, it’s a good chunk of income. And the government, after running the numbers for its new National Development Plan, believes the nomads could become a much larger, more lucrative market.
“[Livestock] is a sector none of the other countries in the region have a focus on,” says Jamal Hassan, former CEO of Citi Bank in Tanzania, and the current presidential candidate for the Somaliland Justice and Welfare Party. “I think in the future … that’s a sector that can create a competitive advantage for Somaliland, that can create jobs that center on export.”
The export markets Hassan has in mind are the Persian Gulf cities like Dubai, Doha, and Abu Dhabi. But the potential for livestock goes beyond acting as the Red Sea’s Texas ranchland. There’s a growing, universal market for camels, the favored herd animal of Somaliland’s nomads.
Somalia houses more than 6 million camels, the largest population in the world. (Somalis have some 46 words for camels; nomads have composed and handed down hundreds of poems that extol the animal’s role in Somali culture.) Mainly beasts of burden, vehicles for war, and sources of milk, they also served until very recently as the only acceptable unit of payment for blood money in clan disputes. Yet Somalis typically do not raise more camels (or other livestock) than they need. The size of herds has rarely exceeded demand.