Sostenus Wilherm
The High Court has set aside a decision by the Namibia Medicines Regulatory Council (NMRC) to reject Econo Investments (Pty) Ltd’s application to supply 140 000 vials of an injectable antibiotic to the ministry of health and social services’ Central Medical Stores (CMS).
The order, issued by Judge Orben Sibeya on 15 October 2026, follows a settlement between Econo Investments and the respondents, bringing an urgent legal dispute over the supply of Ceftriaxone Sodium for Injection BP 1g to an end.
The court order states that the NMRC’s decision of 15 September 2026, rejecting Econo Investments’ application for authorisation to supply the medicine under Tender G/DP/1313MS-37/2024 and Purchase Order No. 235388, “is hereby reviewed and set aside”.
The settlement agreement, dated 13 October 2026, was made an order of the court.
The court also condoned Econo Investments’ non-compliance with procedural requirements, allowing the matter to be heard as urgent, and made no order as to costs.
The dispute centered on the regulator’s refusal to authorise the supply of 140 000 vials of Ceftriaxone, an injectable antibiotic used to treat serious bacterial infections.
In its urgent application, Econo Investments sought to have the rejection declared unlawful and overturned, arguing that the NMRC was required to comply with an earlier decision by its appeal committee concerning the same application.
The company also asked the court to direct the regulator to reconsider its application in line with the committee’s findings or, alternatively, grant the authorisation itself.
The application followed a decision communicated to Econo Investments through a letter from the Registrar of Medicines dated 30 September 2026 and received on 1 October.
According to the founding affidavit by managing director Rodgers Kauta, the company had applied for permission to supply the medicine on 2 April 2025.
The application concerned a product manufactured by China-based NCPC Hebei Huamin Pharmaceutical Co. Ltd.
Kauta argued that the company had previously received permission to supply the same medicine from the same manufacturer, including authorisations for 658 752 vials in July 2023 and 350 000 vials in October 2024.
He also pointed out that the NMRC had granted permission in December 2024 for another antibiotic manufactured at the same facility.
The company’s application was initially rejected in November 2025 over concerns about proof of good manufacturing practice (GMP) compliance. Econo Investments subsequently appealed the decision.
According to the founding affidavit, the appeal committee upheld their decision on 6 May 2026 and directed the council to reconsider the application within 90 days, specifically addressing the GMP certification and its authenticity.
However, Econo Investments challenged the council’s subsequent rejection, prompting the urgent High Court proceedings.
The dispute also raised concerns about the potential consequences for the supply of medicines to public health facilities.
In his affidavit, Kauta said the refusal had resulted in the cancellation of the 140 000-vial purchase order and contributed to an existing stock shortage.
He further warned that the company faced difficulties meeting other supply obligations to CMS.
A separate purchase order issued in August 2026 included 341 505 vials of Ceftriaxone for delivery on 21 October 2026, according to the affidavit.
Kauta also referred to correspondence from a CMS pharmacist dated 20 September 2026, which highlighted the urgency of supplying antibiotic items affected by shortages.
The pharmacist wrote, “Given the current stock-out situation for the antibiotic items under this CPBN contract, we would appreciate the expedited submission of the necessary applications to the NMRC to facilitate the supply of these urgently needed items as soon as possible.”
The court order does not expressly state that the NMRC has granted Econo Investments authorisation to supply the 140 000 vials.
It sets aside the rejection and makes the settlement agreement a binding court order. The matter was removed from the roll and regarded as finalised.
