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Economy 25/02/2011 Small businesses of Uzbekistan to receive access to state procurement
Small businesses of Uzbekistan to receive access to state procurement
Tashkent, Uzbekistan (UzDaily.com) -- The President of Uzbekistan Islam Karimov signed a resolution “On optimization of the system on state procurement and expansion of attracting small businesses to them” on 7 February 2011. The document is directed at expanding access to loans, raw materials and state procurement system for small and private businesses.

The press services of the Finance Ministry of Uzbekistan said that the document determines concrete mechanism, which allows to simplify access to state procurement due to setting special quotas to small businesses.

The resolution also envisages stage-by-stage introduction of transparent electronic system on placement of the state orders for purchase of goods, works and services among small enterprises. Implementation of the resolution will help to raise efficient use of resources of the state and local budgets, as well as develop fair competition in goods markets.

The document also sets some preferences to small businesses along with providing access to state procurements. From 1 April, the government set order in line with which preferences will be given to small business at organization of tenders on state procurement at equal terms.

At the same time, only small businesses will participate in tenders on selection of organization for construction and reconstruction works with the cost less than 500 million soums, which are financed due to state budget and other centralized resources.

The Governmental Commission on state procurement under the Cabinet of Ministers will be created to implement set tasks. Treasury under the Finance Ministry will be working body.

The commission will carry out control over targeted and rational use of resources of the centralized resources, directed at state procurement, execution of legislation in this direction. The commission will create favourable conditions for attraction of small businesses to state procurement process. The commission will improve skills of all objects, which are participating in tender and exchange trades, introduce international standards and norms.

The resolution also includes measures on supporting production activity of small businesses. The Center for promotion of small businesses’ products will be created under the Uzbek Commodity Exchange (UzEX).

The UzEX and Educational Center under Finance Ministry will organize courses on improving skills of small and private businesses’ representatives, which will help them to familiarize with tender procedures.

In line with the resolution, all organizations, conducting state procurement due to specialized sources, will have to place announcement on upcoming procurements at the special portal at least 30 days prior supply date of necessary goods, services and works. The portal will be created under the Center on promotion of products.

The state procurements on separate products (services and works), list of which will be determined by the Governmental commission on the state procurement, with cost between US$300-US$1000 will be procured through electronic trades, organized by the UzEX, excluding cases indicated in the legislation. It is planned to create trade fields and broker offices in places to ensure access of small businesses and budget organizations.

The Department on control over holding tenders on state procurements will be created under the Main Control-Revision Division of the Finance Ministry. The department will reveal tenders with signs of falsification, collusion and corruption, as well as fake tenders.

At the same time, the heads of the state bodies and business entities, participating at centralized procurements for the divisions, will be personally responsible for organization and efficiency of the state procurements, as well as execution of corresponding laws.

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