It is imperative that all public entities desist, with immediate effect, from using specific brand names when advertising bids for any procurement.
This Instruction Note was issued on 27 November 2025 by the Public Procurement Unit (PPU) in the finance ministry.
“Public entities should note that the use of brand names or particular specifications exclusively inherent to a specific brand of items in the procurement distorts competition, potentially leading to inflated pricing and a perception of unfair preference or corruption. It prevents potential bidders who offer equally suitable or superior products from participating in the bidding process,” reads the statement from the head of the PPU, Phineas Nsundano.
Addressed to all public entities and all accounting officers, Nsundano added: “We wish to remind all public entities of the provisions of clause 2.2.14 of the Public Procurement Guidelines that stipulate that the use of brand names is only acceptable in exceptional circumstances. In such exceptional circumstances, the specification should state that an ‘equivalent’ is also acceptable. Moreover, the claim of exceptional circumstances must be substantiated through detailed, evidence-based motivations to ensure accountability.”
The statement was issued after the PPU noted, with concern, a growing trend among public entities that include specific brand names in bid advertisements and specifications for the procurement of vehicles.
Nsundano explained that this practice of including brand-specific details in invitations to bid and bidding documentation undermines the core principles of public procurement in Namibia, namely, fair dealing, transparency, integrity and competitive supply.
“Therefore, all public entities are hereby instructed that specifications must be described in terms of performance, functional, or technical characteristics (e.g. procurement for vehicles should specify engine size, payload capacity, fuel efficiency, safety rating and other features), which should establish the necessary minimum or maximum requirements, as appropriate, to achieve the intended purpose of the vehicle, while ensuring fair and equal competition among suitable products in the market,” Nsundano stated.
The head of the PPU further stated that the Instruction Note should “be brought to the attention of all internal procurement structures and user departments within your respective public entities to review all bids immediately to ensure compliance with this instruction. Accounting Officers are further reminded that they are responsible for ensuring full compliance with this instruction by their respective entities in accordance with section 25(l)(b) of the Act.”
Reacting to the recent directive, a procurement manager in the private sector, who preferred anonymity, said the “corrective directive” was the right step to streamline operations in line with the core principles outlined in the Public Procurement Act.
“Your leadership in this area is commendable, and the steps taken to enhance procurement integrity are vital to the continued success of the unit’s objectives”, the manager stated. However, he called on the Public Procurement Unit to prioritise standardising the Vehicle Procurement Bidding Documents.
“It is crucial that we ensure full compliance and transparency in the procurement process, particularly regarding participation by unregistered entities, amongst others. These participants, while not officially registered as vehicle dealerships, carry no overhead costs such as Dealership Network, overhead costs, and staff salaries and benefits, continue to rake in tenders worth millions of dollars, unduly and influence the procurement landscape, at the expense of registered dealerships, especially in large state vehicle procurements,” the manager added.
He, therefore, reiterated the importance of physical visits to dealerships and of on-site product evaluation. This practice, he said, would enhance the thoroughness and accuracy of evaluations and protect the process from potential discrepancies or misrepresentations that might otherwise compromise its integrity.
Also weighing in on the recent directive, a public sector procurement manager, who preferred to remain anonymous, asked the PPU to remain cognisant of the overall cost to the company, specifically in relation to vehicle purchases.
“Factors such as reliability, maintenance, and fuel consumption should also be considered. This is why we would like to have the ability to justify specific brand names for specific purposes,” the procurement manager said. “Procurement is constantly evolving, and Namibia must move away from the sole purpose of procuring just for compliance. We need to always balance the process between compliance and cost to the company,” she said.
–ebrandt@nepc.com.na