VOLUME 8
RESTRICTED
(ANNEX 20)
on approximately competitive terms. The expression "On competitive terms" includes considerations of price, delivery dates etc. In deciding whether or not terms are competitive, it is essential to compare "like with like". It must, therefore, be established when waiver is sought on grounds of cost, that the price quoted for the non-UK goods and services is not artificially reduced by the omission, either by accident or design, of necessary ancillary items which are included in the UK quotation. The only delivery date acceptable for comparison is that stated by the supplier in his quotation as the date on which the items will become available for shipment.
Authority for waiver of the rule is given by the Ministry of Overseas Development after consultation with other UK Government Departments. Waivers are not granted automatically, each case being considered on its merits. Such consideration can only be given when all the facts are known and it is essential therefore, that any request to permit expenditure on imports (including imports by contractors) from other than UK sources should be accompanied by full supporting details (as set out in para 12(f)).
Application for Specific Waivers
12.
(a) although specific waiver applications are dealt with as quickly as possible, because of the many factors which must be considered some delay is inevitable. It is therefore essential that all such applications are made simultaneously with the original request for the use of aid or with the C. D. & W. application or, if the need for non-UK procurement is not apparent at that stage, as soon as the need becomes known.
(b) Except in cases of emergency, the time taken in shipping supplies from the United Kingdom cannot normally be accepted as a strong enough reason for waiving the "Buy British" rule. It must be emphasised that schemes are approved on the basis that all imports will be obtained from the UK. It is not unreasonable, therefore, to expect that in phasing schemes, overseas Governments should have allowed time for the shipping of items from the UK.
(c)
(d)
Standardisation is not, in itself, an adequate reason for waiver of the "Buy British” rule.
The onus of proof of the non-availability or non-competitiveness of UK goods and services rests on applicants. Where the necessary information as to UK sources of supply is not readily available to the Government concerned the Crown Agents will supply details of comparable UK equipment on request. It is essential, however, that any such approach to the Crown Agents be made as early as possible in order that they might test the UK market at the outset.
(e)
UK manufacturers should always be given the opportunity to tender.
(f) Lengthy delays in approving waivers have occurred in the past because of the failure of territories to supply the information necessary to enable the request to be considered. The following information must be submitted with every waiver request and is required irrespective of whether the request is made when the grant application is submitted, at a later stage or by the Crown Agents (see para 13)
(i)
Full and detailed specifications of the equipment required. These specifications should be of the "Equipment needed for the job it is to do". A copy of the specifications of a piece of non-UK equipment (which can seldom be exactly matched) is not a satisfactory substitute.
October 1978
130
RESTRICTED
No comments yet.
Private notes are available after approval.