- 20.
$110 million saved in government purchases
The Government Supplies Department has achieved savings of over $110 million last year through negotiations with suppliers of finished products.
The department also obtained nearly $58 million in sales of confiscated goods. surplus government property and unclaimed parcels. The amount is over 40 per cent above the figure for the previous year.
The achievement was highlighted by the department's director, Mr Nigel Shipman at a press conference today (Thursday).
In his briefing on government purchasing statistics for 1995, Mr Shipman noted that Government purchases of finished products last year exceeded $4.5 billion, an increase of 5.25 per cent compared with the figure for 1994.
He pointed out that in 1995, computer equipment and software constituted the largest category, with purchases exceeding $869 million.
"We also spent $848 million on pharmaceuticals, $452 million on hospital and medical equipment. $387 million on equipment for the new airport at Chek Lap Kok and $224 million on waterworks items.
"Total purchases of equipment for Chek Lap Kok airport have so far amounted to $928 million," Mr Shipman said.
He said that this programme was now nearing completion, with only some $200 million of planned purchases remaining.
"The Government Supplies Department has thus made a major contribution to ensuring that the new airport will be ready for opening in April 1998." Mr Shipman said.
He said his department supplied all Government departments and many non- government organisations, including the Hospital Authority, for whom the department arranged contracts worth $1,559 million and supplied common-user items worth $81 million.
Regarding larger contracts valued at $50,000 and above, Mr Shipman said over $1.5 billion was spent on products from the United States, accounting for over 34 per cent of total purchases.