Preview

Government Procurement

Powerful Essays
Open Document
Open Document
114132 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Government Procurement
Government Procurement in India
Domestic Regulations & Trade Prospects

Government Procurement in India
Domestic Regulations & Trade Prospects

Government Procurement in India
Domestic Regulations & Trade Prospects
Published by

D-217, Bhaskar Marg, Bani Park
Jaipur 302016, India
Tel: +91.141.2282821, Fax: +91.141.2282485
Email: cuts@cuts.org
Web site: www.cuts-international.org
With the support of

© CUTS International, 2012

First published: October 2012

This document has been produced with the financial assistance of the
British High Commission, New Delhi under the Prosperity Fund of the Foreign & Commonwealth Office, United Kingdom and under a project entitled “Government Procurement – An emerging tool of global integration & good governance in India.”
The views expressed here are those of the authors and can therefore in no way be taken to reflect the positions of the British High
Commission, New Delhi.
ISBN: 978-81-8257-173-0
Printed in India by Jaipur Printers Private Limited, Jaipur
#1221

Contents
Abbreviations
Note on Contributors

i vii Acknowledgement

xi

Preface

xv

Executive Summary
1. Introduction

xix
1

Background and Context

2

Government Procurement: The Theoretical Basis

7

Innovation and Government Procurement

20

Methodology

23

Structure of the Study

24

2. The Government Procurement Scenario in India

29

Introduction

29

The Size of the Public Procurement Market in India

31

Legal Framework

37

Preference Policies in Public Procurement

46

3. The Choices before India

103

Choices before India and the Option Exercised

103

Comparison of the Public Procurement Bill,
2012 with the WTO GPA 2011

105

Machinery for Ensuring Transparency and Fair
Competition in Public Procurement: A Comparison of the Public Procurement Bill (PPB) with the WTO GPA

134

The Probity Aspects of the Public Procurement Bill

173



References: Pacific, Manila and Paris American Recovery and Reinvestment Act, 2009, available at http:/ Anderson, R. et al, (2012), ‘The Government Contractor Public Law and Legal Theory’, Paper No Arrowsmith, S. and R. Anderson (2011), ‘The WTO Regime on Government Procurement: Challenges’, Cambridge Press, New York, Arrrowsmith, S., S. Trumer, J. Fajo and L. Jiang (2010), ‘Public Procurement Regulation: An Introduction’, The EU Asia Inter Asian Development Bank, “The Strategic Importance of Public Procurement’, Manila, 2011, available at h ttp:// Baldwin, R. E. and J. D. Richardson, (1972), ‘Government Purchasing Policies, other NTBs, and the International Monetary Crisis’, In Government Procurement in India: Domestic Regulations & Trade Prospects Branco, F., (1994), “ Favoring domestic firms in procurement Petrochemicals OM No. 50013/1/2006-SO(PI-IV) available online at http://pib.nic.in/newsite/erelease.aspx?relid=19212, dated 27th July, 2006 Chakravorty and Dawar (2011) ‘The WTO regime on Government: Confederation of Indian Industry - Pricewaterhouse Coopers, (2010), ‘India Pharma Inc.: Capitalizing on India’s Growth Potential’, CVC (2001) “Trends/Features Noted in Cases related to Railways”, Central Vigilance Commission, available at cvc.gov.in/vscvc/ Based Competition Advocacy”, CUTS International, Delhi and Jaipur, 2011 Dalpé, R., (1994), “Effects of Government Procurement on Industrial Innovation”, Technology in Society, v 16, iss 1 Directive 2011/62/EU, European Parliament and of the Council, (2011), amending Directive 2001/83/EC on the Community code Official Journal of the European Union, L 174/74 Directorate General of Supplies and Disposals, Annual Report, 201011 Edler, J. and G. Luke, (2007), “Public procurement and innovation – Resurrecting the demand side”, Research Policy, pp 949-963 Men, 2009 European Commission, Trade and Investment Barriers Report, 2011, Brussels, Belgium European Commission, Trade and Investment Barriers Report, 2012, Fiches, B., (2011), ‘Public Procurement - Buy Chinese Policy’, h ttp://madb.europa.eu/madb_barriers/ barriers_details.htm, accessed on August 01, 2012 G

You May Also Find These Documents Helpful

  • Powerful Essays

    The United States government is the largest single purchaser of goods and services in the world. Even during times of economic hardship, the US continues to dump billions into the private sector. The federal procurement spending rate of growth has surpassed the rate of U.S. inflation every year, since 2000. With annual federal procurement budgets of more than $400 billion, it is no surprise that the competition for government contracts has increased tremendously. Consequently, more and more companies are trying to get a piece of the action. When these companies adhere to all of the required regulations and statutes, they expect their proposals to be evaluated and the contract awarded in a fair and unbiased manner (Nacke & Ralston 2011).…

    • 4029 Words
    • 17 Pages
    Powerful Essays
  • Good Essays

    Congress created the Armed Services Procurement Act of 1947 after World War II. The Act handled various organizations within the United States government such as departments of the military, non military departments, Federal Property, and lastly the Administrative Services Act of 1949. According to our Authors “these Acts, as amended, together with voluminous implementation regulations, comprise most of the procedures governing the Federal procumbent system”(Feldman and Keyes, 1). This law gave acquisition by agreement when circumstances were justified. President Truman used the Armed Services Procurement Act in year 1950, to allow him the authority to buy appropriate by agreement during a national emergency which was during the Korean…

    • 323 Words
    • 2 Pages
    Good Essays
  • Good Essays

    This paper will explore how Sealed Bidding and Competitive proposals compare against each other. In order to compare them one must understand how, when and why each topic is used. The primary source of federal procurement information and guidance is the Federal Acquisition Regulation, which consists of Parts 1-53 of Title 48 of the Code of Federal Regulations (CFR). FAR parts 14 and 15 explains in full detail Sealed Bidding and Competitive Proposals. This paper like the federal government will rely heavily on the FAR as a source document to help explain the details of this topic.…

    • 928 Words
    • 4 Pages
    Good Essays
  • Better Essays

    This paper includes a description of the procurement planning process. The most valuable output of the plan procurement process will be identified. Furthermore, the various contract types will be explained. A source criterion that would be applicable to any project will be described and three criteria that would apply to most projects will be identified. An analysis of the ethical concerns that should be considered when identifying source selection criteria is also included. Finally, the role of risk management in the procurement planning process is explained.…

    • 1319 Words
    • 4 Pages
    Better Essays
  • Good Essays

    As governments downsize, they often contract with private companies to perform what was once considered to be the traditional work of government. What are the advantages and disadvantages of privatizing jails, public schools, military plane maintenance, and state welfare agencies, and state employment agencies?…

    • 467 Words
    • 2 Pages
    Good Essays
  • Better Essays

    Federal Contracting

    • 1473 Words
    • 6 Pages

    In 2012 Booz Allen, for short, acquired a major government contract on 22 October, 2012 to provide IT and Telecom-Other IT and…

    • 1473 Words
    • 6 Pages
    Better Essays
  • Satisfactory Essays

    When a company makes a contract with a government for supplying goods or services without competing against bidders, there is a real risk of corruption and overpricing. The company may feel that it can charge what it wants without worrying about the competition, weakening the incentive to be efficient and provide a good deal.…

    • 773 Words
    • 3 Pages
    Satisfactory Essays
  • Better Essays

    The factors the government used to design and build this website are global accessibility, ease of usage, and availability. Due to the need for the government to ensure that the world or every person accesses information in this website, the government made the opportunity accessible in the world wide website (instead of intranet). Through this effort by the government, it is possible for all people all over the world to catch up on what the federal government is doing in terms of procurement opportunities. In addition, the government wanted to ensure that the website is easy to use. Because the government had in mind that all people (minority and majority groups) will be using this website, the website was designed with the…

    • 978 Words
    • 4 Pages
    Better Essays
  • Powerful Essays

    Public E Procurement

    • 19840 Words
    • 80 Pages

    Hilde Van EYLEN, Unisys Senior consultant, is active in various e-Government areas (project management and consulting). She directed the Unisys team in building a Belgian Federal eProcurement project and delivered the present study in interaction with a pan-European Member State representative group.…

    • 19840 Words
    • 80 Pages
    Powerful Essays
  • Powerful Essays

    Procurement Strategy

    • 7146 Words
    • 29 Pages

    1. OVERVIEW OF THE COMPANY • Company Background Philippine Polypropylene Inc (PPI) started operation in 1995 originally under the name of PetroCorp (Petrochemical Corporation of Asia Pacific). The company is engaged in the petrochemical business particularly in the production of polypropylene resin until 2004 when the company…

    • 7146 Words
    • 29 Pages
    Powerful Essays
  • Powerful Essays

    The report entitled “BIDDING AND FINANCIAL ANALYASIS OF N.T.P.C. ” is about the purchase practices followed at NTPC. These practices are followed during all procurement by NTPC. The purchase procedure starts at Indenting by the department that requires the material and goes to the cost department and finance department for required approval. In between various activities like Liquidated Damages calculation, Spare Parts procurement terms, Guarantee in Liability Defect period etc are undertaken. Once all the terms and conditions are formulated and approved, the tender document preparation starts. The tender documents are issued to the prospective bidder for a cost that starts from Rs 200 to Rs 3000. The content of the tender document is prepared in such a manner that the prospective bidder comes to know about all the important details about the contract. The issuance of tender document is followed by the receipt of Bids from various vendors in the specified format. Once all the bids are received, they are opened in presence of some nominated…

    • 16309 Words
    • 66 Pages
    Powerful Essays
  • Powerful Essays

    Risk management in procurement is about ensuring potential risks associated with the purchase of goods or services are identified, assessed and managed to ensure unexpected or undesirable outcomes are minimised while achieving maximum benefit from the procurement.…

    • 1631 Words
    • 7 Pages
    Powerful Essays
  • Good Essays

    During the progression of works, the Contractor may encounter certain unforeseen difficulties and request for a needed time extension to revise the Completion Date for the works. The JCT Standard Building Contract With Quantities 2005 Edition (JCT SBC05) Revision 2 2009 will be used to determine the criteria for time extension and the various information…

    • 1825 Words
    • 8 Pages
    Good Essays
  • Good Essays

    Procurement process is the term used by businesses to describe the buying process, and can refer to the purchase of supplies or services. Many businesses use automated tools such as an Enterprise Resource Planning (ERP) system and Electronic Data Interchange (EDI) to assist procurement specialists or buyer with the buying activities. Regardless of whether an automated system is used, the goal of the procurement process is to buy the exact product or service when needed for the most favorable price.…

    • 653 Words
    • 3 Pages
    Good Essays
  • Satisfactory Essays

    Research Projects by Students

    • 11652 Words
    • 114 Pages

    Factors Affecting Efficiency in Proper Tendering Processes of the National Hospital Insurance Fund. A Study on the Impact of E-Procurement in Institutions of Higher Learning (Kenya Methodist University) Project Report Project Report Project Report Project Report Bsc Project Report Project Report Project Report Project Report Bsc Project Report Project Report Bsc…

    • 11652 Words
    • 114 Pages
    Satisfactory Essays