Govt fails on buy local directive

NGHINOMENWA ERASTUS and LAZARUS AMUKESHE

THE Agro-Marketing Trade Agency has challenged the government and its agencies to lead by example in implementing its directive to procure locally produced goods, especially agricultural produce piling up at their hubs.

The agency made this call when updating The Namibian on progress in harvesting by local farmers and the uptake by the local market, including the government.

“The uptake is quite slow. The main buyers are members of the public and vendors but due to stage 2 of the lockdown exit plan, business is slower for the vendors than before,” said the agency's operations manager Alfues Siyamba.

He said that during the two lockdown phases, the agency took up 150 tonnes of various fresh produce from local farmers through its three hubs at Ongwediva, Rundu, and in Windhoek.

While more than 180 tonnes of fresh produce is expected this week as the harvest continues, there is still about 500 tonnes to be harvested up to the end of next month.

Siyamba said so far no government institution except the Ministry of Defence's August 26 has taken up any produce, and retailers have also not taken up anything, with only vendors and the informal market coming to Amta's rescue.

This is despite a directive for all government agencies and offices to procure locally produced goods.

“It should also be noted that vendors trade mostly in specific fresh produce such as tomatoes, onions and potatoes and fruits, but at the moment Amta has received a lot of butternuts, carrots, pumpkins, and cabbages,” the manager said.

Siyamba said the agency is, however, engaging the government to consider taking up the fresh produce from local farmers for programmes such as Covid-19 quarantine centres, feeding programmes, police barracks, correctional services institutions, and for hospitals.

Apart from August 26, the police are in the process of procuring some produce for the Patrick Iyambo training college.

Last May, former finance minister Calle Schlettwein announced that all government institutions “north of the cordon fence/red line” would immediately be required to procure fresh produce and meat from local suppliers in their respective regions.

Additionally, suppliers in a specific region would be given preference in that region.

Not only does the directive prioritise local small to medium suppliers, but also stipulates that goods, materials, and services supplied should comprise at least 65% local content, while labour should be 100% local.

Asked why the directive is not being implemented especially now that the country is producing its own fresh produce,

Schletwein who is now agriculture minister, said the directive is still in force but why it is not being implemented fully lies with finance and the public procurement unit.

“That procurement directive should be strengthened and fully implemented, despite arrangements that public entities might have,” he said.

Agriculture was declared essential during the lockdown, which Schlettwein said was to mitigate the farmers' losses by making sure they are ready to supply the government and its agencies.

“That was the intention. The exemption that was made is to mitigate the negative impact and losses to our people, including the farmers,” he said.

Schlettwein said the buck stops with the executive directors and accounting officers of line ministries and agencies who plan the procurement needs.

The agriculture ministry has also urged the private sector to support local farmers, saying they also have the responsibility to ensure economic growth through acquiring local fresh produce.

Finance spokesperson Tonateni Shidhudhu said the directive still stands and public entities are urged to adhere to it.

“Finance will continue to monitor the implementation, but cannot be everywhere. We urge the public to report the non-compliance with the directive,” Shidhudhu said.

He also said the directive was not meant to kill other businesses but to complement them, and for public entities to strike a balance in their procurement processes.

Email: bottomline@namibian.com.na