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Sunday, January 11, 2015

Good governance requires good procurement everywhere: China

This is not a discussion of procurement by the People's Republic of China. It is simply a place to start if you've never considered the topic.

One summary (from 2010) is available from the US Library of Congress: Government Procurement Law and Policy: China

A useful narrative of the topic (from 2012) is available here: Navigating China’s Government Procurement Market.    Also, from the same source (in 2011), see: Domestic Innovation and Government Procurement Policies

More recently:

China standardizes procurement for more transparency (January 1, 2014)
The State Council, China's cabinet, announced on Wednesday new regulations under the Government Procurement Law to induce transparency and promote fair competition. Under the new regulations, procurement information will be made public. Procurement contracts should be published through the media, while information concerning the bidding results and transactions will also be made public.

Supervision and management of procurement will be improved through public scrutiny. Punishment for illegal practices, such as fraud and back-door operations, will be made more severe. The regulations tighten controls on every link of the procurement chain by setting up review committees.

The new regulations prioritize energy saving and environmental protection. They favor small companies, less developed regions and ethnic minorities.

A statement released after the meeting said that the regulations are important for law-based, clean government, and will have an important bearing on public trust. Rigid restrictive measures and management will streamline the procurement process, improve efficiency and promote frugality.
PLA launches website for military equipment procurement
The Chinese People's Liberation Army (PLA) has launched a website www.weain.mil.cn on Sunday for the procurement of military equipment, according to people.cn. The launch of this online platform will help accelerate the reform pace and break down the information barrier, an official said.

The website will mainly publish new demands for military equipment on the first working days in January and July.

The Chinese military has been pushing for reforms of military procurement as part of a larger government procurement reform effort. The PLA reforms aim to introduce competition among suppliers and improve the overall quality of the military's equipment, sources from the PLA General Armament Department said.

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