Saturday, 13, July, 2024

From July 1, 2026, preference given to local manufacturers in government procurement, as well as for local manufacturers of house appliances, will be partially abolished in Uzbekistan. This is provided for by the same June 3 presidential decree.

We are talking about the abolition of benefits and preferences provided to domestic producers during procurement by corporate customers (NMMC, AMMC, Uzbekneftegaz and other large state-owned companies) and regulated by the Public Procurement Law, including preferences in relation to locally manufactured goods in an amount not exceeding 15% DDP of the price of imported goods.

It is also planned to abolish price preferences of up to 20% in relation to locally produced electrical and household products.

However, as per the planned changes, these benefits and preferences will be scrapped only for government procurement by corporate customers for the resale of goods for commercial purposes or their use for these purposes in production.

From January 1, 2025, in order to “ensure a healthy competition” in public procurement, payments under contracts concluded by budget-financed organizations, including at the expense of extra-budgetary funds, will take place after registration in the departments of the treasury authority.

In government procurement, the heads of government bodies and business associations that are government customers shall bear personal liability for strict compliance with the law, as well as ensuring openness and transparency of government procurement.

In the absence of approved project documentation (detailed design, working documentation, design estimates) or in the parallel development of design documentation and construction and installation works, it will be prohibited to finance expenses and perform work at the expense of consolidated budget funds and other centralized sources, as well as state banks and enterprises with state participation.

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2024-07-12