Namib Mills pours N$130m into Ondangwa distribution hub

Namib Mills is investing N$130 million in a distribution hub in Ondangwa, bringing its warehousing and distribution operations closer to businesses and consumers in northern Namibia, where demand for its products continues to grow.

The facility, expected to be completed by July 2027, will bring dry goods warehousing, poultry cold storage, and bread storage and distribution together at one site, a development that could change how the company supplies its products to the northern market.

For retailers and other businesses in Ondangwa and surrounding areas, the development represents an opportunity to access a distribution network that has largely been based in Windhoek. By moving these operations closer to the northern market, Namib Mills aims to improve the movement of products and strengthen its ability to meet growing demand.

Stephanus Ackerman, General Manager of Namib Mills, said the investment was driven by the company’s growth and the need for facilities that can accommodate increasing product volumes.

“We have experienced considerable growth in our product volumes and consumer base over the past few years. Our existing warehousing and distribution facilities are no longer sufficient to accommodate our current operational requirements and anticipate future growth. This investment will enable us to consolidate our operations and increase our capacity to serve the northern market,” Ackerman said.

The company currently uses rented facilities in Windhoek to store and distribute dry goods, including pots, corn, pasta, rice, tea and sugar. Poultry and bread are handled through separate storage and distribution facilities.

The new centre will bring these operations together, addressing capacity constraints while creating room for future growth. It will also place the company’s distribution infrastructure closer to its northern customer base.

For Ondangwa, the investment adds a major commercial development to a town that serves as an important trading centre for surrounding communities. Improved distribution capacity could benefit retailers by making it easier for them to obtain supplies, although the extent of these benefits will depend on how the new facility’s operations are structured.

Ackerman said northern Namibia remained a strategic market for the company, with an expanding consumer base and increasing demand supporting its decision to invest in the region.

“Our decision to invest in Ondangwa demonstrates our confidence in the economic potential of northern Namibia. We see the region as a strategic market that will play an important role in our future growth, and this facility will strengthen our ability to distribute essential food products efficiently,” he said.

However, the project will require adequate supporting infrastructure to operate effectively, particularly roads, electricity and water services.

In a letter dated 21 September 2026, Namib Mills invited Ondangwa Town Council and Roads Authority representatives to visit the construction site on 27 October 2026 to discuss the development and its infrastructure requirements.

The company anticipates a substantial increase in heavy vehicle traffic once the facility becomes operational, making road capacity, traffic safety and the sustainability of supporting infrastructure important considerations.

Ackerman said cooperation with the relevant authorities would be important to the project’s success.

“While we are prepared to invest in the infrastructure required within our premises, the successful implementation of this project will also depend on adequate municipal infrastructure. We believe that working closely with the Town Council, the Roads Authority and other relevant stakeholders will help us address these requirements and ensure the long-term success of the development,” he said.

With completion expected in July 2027, the N$130 million investment is intended to strengthen Namib Mills’ distribution network while bringing its operations closer to the northern market it seeks to serve.

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