The delivery and distribution of fertiliser for the 2023/2024 farming season may suffer yet another debilitating scandal as plans have emerged to single source the supply, delivery and distribution of Compound D fertiliser to a newly established company that has no track record and may therefore fail to deliver.
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This will leave many companies with expertise and network in the lurch, and plunge the country into further crisis.
The Daily Nation has learnt that there will be no public tender for the supply, delivery and distribution of D-Compound Fertiliser under the Farmer Input Support Programme (FISP) for the next farming season.
A unilateral award is expected to be made tomorrow, to the consternation of fertiliser companies that expected to compete in an open tender.
Highly placed sources within the Ministry of Agriculture have revealed that vested stakeholders have influenced the irregular award contrary to laid down procedures.
Stake holders are dismayed that even the state-owned Nitrogen Chemicals of Zambia (NCZ) which has capacity will be excluded from the award.
The decision to single source has raised eyebrows and serious concern among Ministry of Agriculture officials who have been preparing for a public tender for the procurement, supply, delivery and distribution of fertiliser for the season.
The sources are wondering why Government had decided to empower a foreign-owned fertiliser company instead of the NCZ.
“The delivery and distribution of fertiliser for the 2023/2024 farming season is likely to end up as yet another scandal as high-ranking government officials have decided to single source a newly established fertiliser-producing company to supply D-Compound.”
“This has raised eyebrows and serious concern in the Ministry of Agriculture amongst long-serving civil servants because the not-so-well-known company not having the track record, nor the capacity to see out the essential provision of these vital inputs.”
The question being asked is why single source the newly established company despite having NCZ, a parastatal?
Why have the vested stakeholders chosen to empower a foreign entity without a track record nor the necessary capacity to perform a task of significant value? the sources wondered.
The sources said public procurement processes dictate that the tender for the supply and delivery of fertiliser should be conducted under the Open National Bidding procurement method but are wondering why Government had decided to use the limited bid method.
“The participation of foreign companies in an Open National Bidding is contrary to the Public Procurement Act of 2020, Section 39(2). The new procurement Act was extensively amended to respond to Zambians who have called for citizen-owned companies to benefit from government procurements.”
“The new Act gives preference to citizen-owned and local companies whenever large-scale government purchases, contracts and works are being procured. It is thus deeply concerning and worrying that preferential treatment has been given to these suitcase business men,” the sources said.
Single sourcing was against the spirit of the new Public Procurement Act that encourages all large-scale procurements by government be given to Zambians or citizen-owned firms or companies with legal proof of joint venture or participation of citizens.
“When did the ZPPA give consent for the process to be done under Limited Bidding? When was the evaluation done? Most significantly, this seems to rule out local-owned entities. Thus depriving the process from being competitive both in terms of pricing and delivery,” the sources said.
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