… Ministry confirms it has cancelled the N$40m contract
The government has cancelled a N$40 million contract awarded to an American agricultural technology company to deploy an artificial intelligence and satellite system for monitoring crops across the country, after the Cabinet ordered the contract to be scrapped.
Cabinet’s decision, made this week, has raised questions about where it draws the line on possibly interfering in government tenders that politicians have over the years distanced themselves from.
The contract awarded to 6th Grain Cooperation in June was intended to use satellite imagery and artificial intelligence to monitor Namibia’s production of key staple crops, including maize, mahangu, millet, sorghum and wheat.
The Namibian understands that the Cabinet instructed the ministry of agriculture to terminate the contract.
Responding to questions from The Namibian yesterday, ministry spokesperson Romeo Muyunda confirmed the termination, saying the agreement did not meet the legal and procedural requirements applicable to contractual arrangements.
“The ministry wishes to inform the public that the government has formally terminated the Remote Sensing Agricultural Services Agreement entered into with 6th Grain Corporation for the implementation of an artificial intelligence (AI) and satellite imagery-driven crop monitoring system.
“The decision follows a comprehensive review of the agreement and the circumstances surrounding its conclusion.
The review established that the agreement did not meet the requisite legal and procedural requirements applicable to contractual arrangements entered into on behalf of the government,” he says.
Muyunda says a formal written notice of termination had been issued to 6th Grain.
He adds, “Government has invoked the applicable termination provisions of the agreement and has issued a formal written notice of termination to 6th Grain Corporation,” he says.
Muyunda said the decision is intended to safeguard the interests of the state and to ensure that all contractual arrangements entered into on behalf of the government comply with applicable laws.
The Namibian received reliable information from government officials on Tuesday that the Cabinet had instructed the ministry to cancel the contract.
Some of the concerns were that the Cabinet were not consulted, including allegations that Inge Zaamwani was not aware of the decision which was allegedly made by the executive director’s office.
Zaamwani has since responded to some of the concerned farmers on WhatsApp groups that she was unaware of the decision and that investigations are ongoing regarding the manner in which the contract was awarded.
Speaking to The Namibian this week, Independent Patriots for Change (IPC) spokesperson Imms Nashinge said Cabinet has made a good decision on the matter.
He says giving a tender of food to be monitored by a foreign entity raises concerns of national security.
“The whole project is not good for us as a sovereign state, it is good that the Cabinet has cancelled the tender because it is not good for our country.
Food related matters touch on national security and should not be given to foreign entities,” he says.
Nashinge says Namibians should be in charge of such tenders.
“That should be done by our own people. It was not safe for us to give the business to a foreign entity, let it be done by Namibians and it is good that they listened to our concerns.
The administration should be vigilant in terms of having decisions not approved by the Cabinet, especially such sensitive decisions which are mandated according to the law.
“This shows that the minister is taking responsibility
