N$126m border fence frontrunner fell behind on NamWater project

A joint venture previously reported to have been behind schedule on a N$91 million NamWater project is poised to receive a N$126.3 million contract to construct 185 kilometres of veterinary fencing along Namibia’s southern border within four months.

China Jiangxi International (Namibia) (Pty) Ltd JV Homefin Properties CC was named the preferred bidder after a margin of preference reduced its evaluated price to approximately N$120 million, placing it ahead of 10 other financially responsive bidders.

However, its actual contract price is N$126.3 million, including value-added tax.

The award is not yet final, with the process still subject to a standstill period.

The selection has put government’s decision to package the entire 185 kilometres into one contract under scrutiny, with a local contractor arguing that dividing the work into smaller sections would have widened participation among Namibian companies.

Questions have also arisen over whether the joint venture can complete the fence within the stipulated four months after a Central Procurement Board of Namibia (CPBN) monitoring report recorded delays on its earlier NamWater contract.

The concerns come as government races to protect Namibia’s foot-and-mouth disease-free (FMD) status and preserve access to lucrative beef-export markets amid outbreaks in neighbouring countries.

The new project covers 155 kilometres along the Orange River and another 30 kilometres between the Klein Menasse and Mata-Mata border posts in the ||Kharas region.

Award not final

CPBN issued a notice of selection for the procurement award on 18 August, identifying the China Jiangxi-Homefin joint venture as the successful bidder, but the process remains subject to a statutory standstill period and the contract has not yet been awarded.

CPBN spokesperson Johanna Kambala confirmed that the tender closed on 14 July and that the evaluation had been completed.

Unsuccessful bidders have until 31 August to apply for reconsideration if they are dissatisfied with the outcome.

A bid evaluation committee report, dated 18 August and seen by Namibian Sun, shows that the joint venture’s amended offer of approximately N$126 million was evaluated at about N$120 million after the application of a margin of preference.

Puanchu International Construction Engineering (Pty) Ltd JV Southern Africa Projects ranked second, with an evaluated price of N$122 million, while Landmark Projects (Pty) Ltd JV Transact Investments CC ranked third after its amended N$131 million offer was evaluated at N$125 million.

The evaluation report states that the contracts will be awarded to the lowest evaluated substantially responsive bid.

The agriculture ministry issued the tender on 22 June and received 23 bids by closing date, of which 11 were considered responsive and advanced to the financial evaluation phase.

Delay on NamWater project

China Jiangxi International operates through a Namibian-registered company and has partnered with Homefin Properties CC.

CPBN classified an earlier partnership between the two entities as a “Namibian JV Foreign Entity” in its 2023/24 annual report.

The same companies were awarded a N$91 million NamWater contract in February 2024 to replace the Ondangwa-Omutsegwonime water pipeline and associated works.

Construction began in May 2024 and was set to be completed in May 2025.

A CPBN monitoring report dated 30 June 2025 recorded physical progress of 60% after 112% of the original contract period had elapsed.

“The contractor is about two months behind schedule,” the CPBN monitoring report stated.

The report does not indicate whether the project was subsequently completed, whether NamWater granted an extension, or whether the delay was entirely attributable to the contractor.

If the JV gets the fencing tender, it will have to complete an average of more than 46 kilometres of fencing each month to deliver the full 185 kilometres within four months.

Contractor challenges packaging

A local contractor, who asked not to be named, suggests that government should have divided the fence into smaller packages that more Namibian companies could undertake.

The contractor questioned why a Chinese-linked company should be considered for what he described as a simple construction project.

“Namibians have built fences on farms, around our houses and everywhere else,” the contractor said.

The contractor proposed dividing the work among 10 companies to broaden participation, distribute employment and reduce the concentration of the contract in one joint venture.

“The 150 kilometres should at least be divided among 10 Namibian companies so that we have more Namibians working along the border,” he argued.

The fence forms part of government’s N$1.5 billion strategy for the ||Kharas region to strengthen Namibia’s defences against FMD.

Agriculture minister Inge Zaamwani said the programme was intended to establish stronger buffer zones and protect Namibia’s beef-export industry.

“These and previously implemented control measures have enabled the country to maintain its FMD-free zone status,” Zaamwani said.