SOME public entities are bypassing the National Standard Price List (NSPL) through poorly justified exemptions, a Cabinet minister said this week, warning that the practice undermines efforts to curb inflated procurement costs.
The NSPL was introduced as part of broader procurement reforms aimed at improving transparency, reducing excessive pricing and strengthening accountability in public procurement.
The framework provides benchmark prices for commonly procured goods and services, helping procuring entities assess whether quotations received from suppliers are reasonable and aligned with prevailing market conditions.
However, while officially opening the 5th Procurement Regulatory Authority of Zimbabwe (Praz) Symposium in Bulawayo on Thursday, Industry and Commerce minister Nqobizitha Ndhlovu said some procuring entities were avoiding the application of the price list.
“The National Standard Price List is a transformative reform in our public procurement system. When applied consistently and effectively, it serves as a powerful tool for promoting value for money, eliminating inflated quotations, and disrupting collusive bidding practices that undermine public confidence and waste scarce national resources,” he said.
“However, I am aware that some procuring entities continue to circumvent its application by invoking vague or inadequately justified ‘special circumstances’. This practice must come to an end,” he added.
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The minister said any departure from the price list would now require approval from accounting officers and must be supported by a detailed written economic justification demonstrating why the deviation was necessary and in the public interest.
“Accountability for these decisions must be clear, documented, and subject to scrutiny,” he said.
Ndhlovu said the government’s objective was to ensure procurement decisions reflected prudent management of public funds, adding that savings achieved through better pricing controls could be redirected towards key sectors.
“Our objective is straightforward. We want procurement outcomes that demonstrate prudent stewardship of public funds. Every procurement dollar saved through transparent and disciplined pricing controls is a dollar that can be redirected towards essential public services, infrastructure development, and economic growth,” he said.
The minister also called on Praz and procuring entities to prioritise local suppliers and manufacturers through a “Local Manufacturing First” approach.
He said public procurement should be used as a tool to support industrial development, job creation and economic transformation.
“Wherever Zimbabwean industry possesses the capacity, quality standards, and reasonable cost competitiveness to supply goods and services, preference should be accorded to local producers and manufacturers, even where they may not be the absolute lowest-cost option,” Ndhlovu said.
He said the approach was not aimed at restricting competition but rather promoting strategic procurement that strengthens domestic production.
“This is not a call for protectionism. Rather, it is a call for strategic developmental procurement, the deliberate use of public procurement as a catalyst for industrial growth, employment creation, innovation, and economic transformation,” he said.
Ndhlovu said every dollar spent through government procurement should contribute towards building local productive capacity, supporting businesses and expanding opportunities for Zimbabwean workers.
Public procurement accounts for a significant portion of government expenditure, making pricing controls critical in ensuring that state funds are used efficiently and directed towards national development priorities.
Zimbabwe’s renewed focus on pricing discipline comes at a time when governments across Southern Africa are strengthening procurement oversight amid growing fiscal pressures and concerns over wasteful expenditure.
Several countries in the region have introduced reforms aimed at improving transparency, reducing corruption risks and ensuring value for money in public spending.
South Africa, Botswana, Zambia and Namibia have increasingly embraced digital procurement platforms, tighter auditing standards and enhanced disclosure requirements to curb procurement abuses.
A growing trend across the region is the use of public procurement as an industrial policy tool. Governments are increasingly leveraging state purchasing power to support local industries, create jobs and deepen domestic value chains. Local content requirements, preferential treatment for domestic suppliers and targeted procurement programmes have become central features of economic development strategies.
However, procurement authorities continue to face challenges, including bid-rigging, price inflation, limited supplier competition and weak enforcement of regulations.
Rising import costs, exchange-rate volatility and supply chain disruptions have also complicated efforts to establish reliable pricing benchmarks.
Analysts say balancing transparency, competition and industrial development remains one of the biggest policy challenges facing procurement regulators across Southern Africa as governments seek to maximise the developmental impact of public spending.