Justicia Shipena
Maize meal producer Goal Maize CC will pay a fine of N$300 000 after the Namibian Competition Commission (NaCC) found that it has engaged in anti-competitive conduct through an exclusive distribution deal that blocked other traders in northern parts of the country.
The Namibian Competition Commission resolved on 14 March 2022 to initiate an investigation against Goal Maize CC and Ondangwa Farmers Market CC.
The commission’s investigation, registered under case number 2020FEB0003COMP, found that Goal Maize signed a sole distributorship agreement with Ondangwa Farmers Market CC.
The deal gave the company full control to supply maize meal in Kavango East and West, Kunene, Omusati, Oshana, Ohangwena, Oshikoto, and Zambezi.
This arrangement meant other business owners were not allowed to buy maize meal directly from Goal Maize’s factory in Tsumeb.
According to government gazette No. 8639, dated 2 May 2025, this agreement violated the Competition Act.
The Commission said Goal Maize limited market access, gave different conditions for similar transactions, and abused its dominance.
Kaoko Feeds & Licks CC, a business based in Opuwo, filed the complaint.
It said it was denied the chance to buy maize meal directly from the factory, even though it was capable of doing so.
The company instead had to buy through the Ondangwa distributor, paying more due to transport and retail markups. It said it had already made transactions worth N$79 000 this way.
Although Goal Maize did not accept the commission’s interpretation of the law or admit guilt, it agreed to settle the matter.
The settlement includes a N$200 000 fine and N$100 000 to cover the Commission’s investigation costs.
The company also agreed to end its exclusive distribution practices, introduce a competitive compliance program within 60 days, review internal policies, train staff, and adopt a zero-tolerance approach to anti-competitive conduct.
The Commission intends to present the consent agreement as a court order to the High Court for the matter to be considered fully settled.
Goal Maize will also be expected to comply with competition rules moving forward.
Legal practitioner Johannes Shangadi said exclusive agreements must be handled with care.
“When they result in effective market closure, especially where the supplier is dominant, they raise serious concerns. The moment qualified traders are excluded from direct supply, such arrangements move from strategic to unlawful,” he said.
He pointed out that this case shows the Commission’s strong position against agreements that limit market participation and highlights the need for following rules, ensuring access, and maintaining fair competition in supply chains.
