Uzbekistan plans to further tighten restrictions on foreign items in government procurement and provide more waivers to local companies. This is provided for in the minutes of the meeting of the government commission chaired by the Deputy PM Zhamshid Khojaev on December 25.
In January 2021, the government banned the participation of over 520 foreign items in government procurement. These include food items, furniture, building materials, household appliances, cars, textile products and others.
The Ministry of Justice explained the ban by the goal of supporting domestic producers, to boost production and to create jobs. The ban and restrictions apply only to government procurement, while businesses can purchase any goods and services for their needs.
The MoM plans to recognize the general contractor, contractor and subcontractor (regardless of the form of ownership), hired as part of government procurement to supply products (provide services), including on a turnkey basis, as a full-fledged bidder in government procurement.
The Ministry of Economy and Finance has been instructed to develop a relevant government project within a month.
During the same timeline, the MoM instructed to submit a bill to the Cabinet of Ministers, according to which if one domestic manufacturer (currently at least three) takes part in government procurement of goods (works, services) along with foreign suppliers, then it will be granted a price preference (no more than 15 % of the CIP price to Uzbekistan for imported goods).
While, it is planned to increase the use of local home appliance in projects implemented financed by international financial institutions and foreign financial organizations within the framework of the state budget or state programs, as well as in projects implemented under public-private partnership terms.
To do this, when announcing a competition (tender) for these projects, “lots” will be presented based on localized home appliances, equipment, products and services. A mechanism will be introduced to ease qualification requirements for local manufacturers.
