The Designers Institute says will introduce a new category around flag design in their National Best Design Awards.

The Institute’s chief executive Cathy Veninga says they will use their own judging panel to select any of the entries considered excellent and start to bank those flag designs for any potential in the future.

She said it's understandable that a disparate group of representatives with no formal design education would struggle with the complex and politically charged task of selecting a new flag design.

Cathy Veninga said they did advise the Flag Consideration Panel on considering designs that were not included in the final 40.

"Our representative was very disappointed and our community has definitely reflected that disappointment."

The Institute has come up with its own answer to what the country's new flag design should be. Veninga said the Institute will introduce a category around flag design in their national best design awards.

"We will use our own judging panels to select any of the entries considered excellent and we will start to bank those flag designs for any potential in the future."