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CRITICAL BUT STABLE: The ministry of health says while the cancellation of a medical supplies bid has presented challenges, it is weathering the storm.
CRITICAL BUT STABLE: The ministry of health says while the cancellation of a medical supplies bid has presented challenges, it is weathering the storm.

Health ministry grapples with procurement freeze

Long-term tenders necessary
The health ministry has defended the bid despite the intense public backlash, saying it was the best way to guarantee the ministry had a steady supply of medical supplies.
Ogone Tlhage
The executive director in the ministry of health, Ben Nangombe, says the slow pace at which the Central Procurement Board of Namibia (CPBN) is moving to resolve the impasse regarding a highly-contentious medical supply bid worth billions has presented the ministry with challenges in fulfilling its mandate.

Speaking to Namibian Sun, Nangombe said the ministry was working with the CPBN and Procurement Policy Unit (PPU) to fast-track the procurement of pharmaceutical and medical supplies, despite the temporary suspension of the bid.

The CPBN pulled the rug out following a significant public outcry over the awarding of the bid, part of which was awarded to a three-year-old company owned by businessman Shapwa Kanyama’s Amnics Trading, which only employed three people on a permanent basis.

The N$650 million tender includes the supply of surgical gloves for N$400 million, condoms for N$111 million, and other medical supplies. This contract was part of the N$2.8 billion batch of health tenders awarded by CPBN.

"It is a challenge when we don’t have a long-term tender, but in the absence of that, we have to procure what we need. We have worked closely with the Central Procurement Board of Namibia, and we have worked closely with the Procurement Policy Unit to fast-track and enhance the procurement activities to ensure that the country has what it needs in terms of pharmaceuticals and medical supplies," Nangombe said.

Bid ensures supply security

Nangombe defended the bid despite the widespread controversy it generated, saying it was the best way to ensure a reliable supply of medical supplies for the ministry.

"As we have said before, it is the best way we can ensure security of supply, whether it is of pharmaceuticals or clinical supplies, if you have a long-term tender in place, because without a long-term tender in place, you will be compelled to procure either by emergency procurement or what is called as buy-outs," he explained.

According to Nangombe, the absence of a bid meant the ministry would not be able to procure medical supplies when it needed to.

"The best way that we can ensure security of supply, and the preferable way to do so, is through long-term tenders. Each time that we do not have a long-term tender in place, it will have a negative impact on how we can make sure that these items are available," he said.

In February, the CPBN announced the cancellation of the bid on the grounds that "the aggregate total cost of the bid in question exceeds the total cost estimate provided by the public entity".

The decision was based on Section 54(1)(b) of the Public Procurement Act.

Pulling the rug from under the CPBN, panel chairperson Kenandai Tjivikua said the decision to cancel the lucrative bid was illegal.

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Namibian Sun 2024-11-22

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