The Namibian Competition Commission (NaCC) has entered a new phase of regulatory assertiveness. Once regarded as a relatively restrained regulator, the NaCC is now actively making use of its powers under the Namibian Competition Act, 2003 (the Act). Its recent decisions show a sharper focus on interrogating the public interest impact of merger transactions and pursuing prohibited practices across multiple sectors.
A new era for merger control
Merger control has become the clearest expression of the NaCC’s shift in approach. Beyond analysing the impact of a merger on the market structure, the Commission has embraced (similar to the South African competition authorities) its powers under the Act to consider public interest as an important focal point for merger assessment. Some noteworthy decisions by the NaCC in the past few years where public interest conditions were imposed include:
- RWCO / Schwenk Namibia (2023)1: Although the NaCC found no substantive competition harm, it imposed conditions designed to enhance local ownership. Notably, the merged entity was barred for one year from purchasing newly available shares in Ohorongo Cement, a subsidiary of Shwenk Namibia, allowing Namibian entities first right of acquisition.
- Sinomine / Dundee Precious Metals Tsumeb (2024)2: Approval was subject to sweeping conditions, including a three-year moratorium on retrenchments, a requirement for 92% of the workforce to be local citizens; a requirement that management must comprise of 70% local citizens and 30% foreigners; procurement preferences for Namibian-owned undertakings, and environmental undertakings. Sinomine’s subsequent voluntary separation programme – initiated without notifying the NaCC as required by the conditions – has triggered an investigation that could in terms of the Act lead to fines of up to 10% of global turnover and even revocation of approval.
- Pepkor / Big Daddy Stores (2025)3: Conditions included Small and Medium Enterprise (SME) support, supplier-fairness obligations and a three-year moratorium on merger-specific retrenchments.
The NaCC has also shown that it is prepared to block deals outright. The prohibition of West China Cement’s proposed acquisition of Schwenk Namibia in July 20244 demonstrates the NaCC’s willingness to intervene where it sees excessive concentration, risks of coordination, or adverse public interest impacts on employment and local government participation.
Enforcement beyond mergers
The NaCC’s approach to increased enforcement is not limited to merger control. It is also prosecuting restrictive practices with greater frequency:
- Rent-A-Drum5: In May 2025, Ren-A-Drum, inter alia, admitted to engaging in exclusionary conduct through entering into an exclusive distribution arrangement with Molok Oy in which Rent-A-Drum was given sole distribution rights of Molok related waste products in Namibia. Rent-A-Drum entered into a consent agreement with the NaCC which included a NAD250,000 penalty and costs, pending High Court confirmation.
- PAN6: In July 2025, PAN admitted to contravening the Act by coordinating interchange fees with major banks. PAN entered into a consent agreement with the NaCC which included a penalty of NAD319,650.
- Namib Mills and Namib Poultry Industries7: In February 2025, the NaCC announced its intention to launch an investigation against Namib Mills and Namib Poultry Industries for refusal to supply certain poultry products to SMEs.
Strategic takeaways for business
Businesses operating in Namibia should be alert to several clear trends:
- Heightened scrutiny of mergers – particularly on public interest grounds such as employment, local ownership, and SME participation.
- Real consequences for non-compliance – breaches of merger conditions can trigger investigations, fines, and possibly even revocation of approvals.
- Closer examination of procurement arrangements, with a readiness to challenge restrictions that limit supplier or customer choice.
- Increased willingness to act against dominant firms, especially where conduct impacts SMEs or consumer welfare.
Final word
The competition law environment in Namibia is changing rapidly. Merger transactions and notifications to the NaCC now demand careful forward-planning, particularly around employment, local ownership, and participation of local businesses. At the same time, businesses must be increasingly cognisant of how their everyday commercial arrangements with customers and suppliers may give rise to competition concerns.
This article was written jointly by DLA Piper and DLA Piper Africa, Namibia (Ellis Shilengudwa Incorporated). DLA Piper authors include Werner Rysbergen, Dharshini Naidoo and Zanele Mkatshwa, together with DLA Piper Africa, Namibia authors – Peter Johns and Dr Meyer van Den Berg.