Business

Ntsima issues challenge

Seeking impact: Ntsima PIC PHATSIMO KAPENG
 
Seeking impact: Ntsima PIC PHATSIMO KAPENG

Speaking at the Made in BW Sold to the World Expo held in Palapye last week, the minister said government’s preferential procurement programme known as the Economic Diversification Drive needs to reflect meaningful impact on local enterprises. First introduced in 2010 through a presidential directive, the EDD requires all arms of government to purchase goods and services locally where they are “available, cost-effective and meet tender specifications”.

The programme was revised and tightened in 2021, but local enterprises continue to complain that they are overlooked by government entities or forced to compromise on pricing and terms in their contracts. Ntsima said with schools, hospitals, public infrastructure and other requirements by government, the question of whether a local supplier exists should be extended to what the enterprise needs to provide the goods or services. He said more needs to be done to identify what investment, technology, standards support, or supplier development would make it possible for a citizen enterprise to supply what government requires.

The minister, however, cautioned that buying local must never mean accepting poor quality or accepting unreliable supply. He stressed that government purchasing should be accompanied by clear specifications, fair competition, timely payment, and firm performance expectations. Ntsima added that producers must use the opportunity to improve quality, increase productivity, and become competitive without relying permanently on preference.