ENG-2003 — Page 105

THE ECONOMY

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 2003, the department awarded contracts at a total value of $7.35 billion, purchasing items from 35 different territories. Major items of purchase included computer equipment and software, pharmaceuticals, telecommunications equipment and spares, medical consumables, books and marine equipment and spares.

Supplies of common-user goods and essential and emergency items are purchased in bulk and 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 2003, the total values of stock items acquired and issued to customers were $223 million and 236 million, respectively. The department has progressively transferred the common-user items to allocated term contracts for direct delivery from the contractors to user departments on an as and when required basis with a view to avoiding stocking and double handling.

The department also deploys supplies staff to other departments to ensure there is a professional approach to procurement and maintenance of stores and equipment.

Home Pages

Economic Analysis and Business Facilitation Unit, Financial Secretary's Office: http://www.gov.hk/fso/eabfu/eng/

Financial Services and the Treasury Bureau: http://www.gov.hk/fstb

Government Logistics Department: http://www.gld.gov.hk

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