Public Food Procurement to Be Carried Out in Centralized Way

Azerbaijani Parliament at the plenary meeting on 4 March introduced an addition to the Law of Azerbaijan Republic On Public Procurement, providing for the implementation of public procurement of food products in a centralized way.

According to the innovation, the purchase will be carried out in accordance with the established relevant executive authority order.

This requirement applies to public enterprises and organizations, as well as those companies whose capital is present and above 30 per cent of the equity participation of the state. The requirement applies not only to direct public funds, but also to loans received by the state and under the state guarantees.

Liquidated at the end of last year, the State Procurement Agency published the summary data on certain types of goods purchased in 2008. In 2008, the public funds bought food worth a total of 236.6 million manats (according to the then exchange rate - about $ 284 million), including butter -. 30.7 million manats, vegetables - 30.1 million manats, meat and canned meat - 53.8 million manats, fish and canned fish - 9.7 million manats, milk and dairy products - 10.3 million manats, bread, flour and flour products -. 35.5 million manats, cereals - 35.7 million manats, etc.

The Chairman of the Economic Policy, Industry and Enterprise Development Committee of the Parliament Ziyad Samedzadeh believes that this decision will improve the position of local producers on the market.   ----08D