05 Feb 2014

The top five products which attracted the highest allocations from tenders allocated by the Ministry of Local Government and Rural Development’s for 2011/12 were Tsabana, Sugar beans, Stewed steak with gravy, Malutu and UHT milk.

Responding to a parliamentary question on February 4, the Minister of Local Government and Rural Development, Mr Peter Siele said those products were awarded to Foods Botswana, Botswana Agricultural Marketing Board (BAMB), Botswana Meat Commission (BMC), Foods Botswana and Delta Dairies respectively.

Mr Siele said for the 2012/13 financial year, the awarded products were Tsabana (Foods Botswana), Stewed Steak (BMC), Malutu (Foods Botswana), Beans (Bread and Butter (Pty) Ltd) and Rabit Group. Some of the suppliers awarded the contracts; he said included BAMB and Foods Botswana which have a district and village presence.

The minister admitted that centralised purchasing goes against the spirit of Local Economic Development and Economic Diversification Drive, adding that his ministry has addressed the issue by identifying some food items that have now been decentralised. These items, he said included sorghum grain, samp and beans.

He said the only products whose procurement would remain centralised to take advantage of economies of scale and avoid food safety risks are vegetable oil, milk, stewed steak, Tsabana and Malutu.

These products, he said have to be prepared according to stringent requirements set by the Ministry of Health and require constant testing inspection of the production process, inputs and end product.

Member of Parliament for Shoshong,  Mr Phillip Makgalemele had asked the minister to state the top five products or services which attracted the highest allocations from tenders allocated by the Food Relief Services Unit and names of companies which were awarded such tenders during the 2011/2012/2013 financial years.

Mr Makgalemele also wanted to know the extent to which companies with a district or village presence benefited from such tenders given that the procurement is centralised.

The minister was also to state whether such centralised procurement is not against the spirit of the Local Economic Development and Economic Diversification Drive initiative. Ends