THE ECONOMY
focusing on meeting requirements for high-value and critical items by cost-effective and reliable means.
Hong Kong, China is a signatory to the World Trade Organisation Agreement on Government Procurement (WTO GPA). Government procurement is undertaken in accordance with the principles of openness, transparency, fairness and non- discrimination. Public tender procedures are widely used for general and common items. Restricted or single tender procedures are used where open competitive tendering would not be an effective means such as in cases involving compatibility with existing equipment, or patented/proprietary items, or unforeseen urgency. For complex and critical purchases, suppliers may be required to undergo a prequalification exercise before tendering to ensure that they are capable in terms of financial and technical standing and reliability in performance. To facilitate sourcing and market research, the department maintains and regularly updates the Supplier Lists which comprise local and overseas suppliers for different categories of commodities and services.
Invitations for public and prequalification tenders are published in the Government of the Hong Kong Special Administrative Region Gazette and local newspapers. Firms on the department's Supplier Lists and in the case of procurements covered by WTO GPA, consulates and overseas trade commissions, are also informed. To allow easy access by suppliers outside Hong Kong, the department also puts its tender invitations and related information on the Internet. The Electronic Tendering System, which was introduced in April 2000 and enabled subscribers to download tender documents and to submit tender offers by electronic means, has been running smoothly with the number of subscribers rising steadily.
In 2002, the department awarded contracts at a total value of $4.56 billion, purchasing items from 35 different territories. Major items of purchase included computer equipment and software, pharmaceuticals, office equipment, publications, water treatment chemicals, fire engines and fire fighting equipment, helicopters, arms and ammunition, fuel oil and hydrocarbon lubricants, and hospital and medical equipment.
Supplies of goods to meet general needs are held in the purpose-built Government Logistics Centre in Chai Wan which came into operation in 1996. The operations are assisted by a modern computerised system with international bar-coding functions that provides, among other services, online communication with customers. In 2002, the total values of stock items acquired and issued to customers were $264 million and $293 million, respectively.
The department also deploys supplies staff to other departments to ensure there is a professional approach to acquisition and maintenance of stores and equipment.
Home Pages
Financial Services and the Treasury Bureau: http://www.gov.hk/fstb Government Supplies Department: http://www.gov.hk/gsd
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