Government procurement refers to purchases of goods or services, including consultancies and professional services, construction, maintenance and material supply contracts, facilities contracts, capital equipment and property and leasing arrangements, undertaken by governments for their own consumption.
Government procurement accounts for a significant part of the economy of many countries. Although a government procurement agreement did not form part of the core WTO agreement, a number of WTO member governments signed a plurilateral agreement on government procurement. However, this was optional and did not go far enough for private sector and governments vying for new opportunities for profit and control through the liberalization of this important area. Government procurement provisions in free trade agreements stipulate that governments (national and sub-national) must treat overseas tenders no less favourably than local ones. Many bilateral agreements include provisions which already commit governments to open up this lucrative market to transnational corporations. This issue has been a contentious sticking point for Malaysia in its negotiations with Washington on an FTA and India in its negotiations with the EU. Malaysia’s procurement policy has kept foreign companies from bidding for state contracts, which US negotiators object to.
last update: May 2012
Obama’s TPP: Taking neo-liberalism to a new level | 1-Aug-2014
STOP-APE : un appel aux organisations de la société civile et aux élus, en Europe et en Afrique | 1-Aug-2014
Declaración de la 16° Cumbre Social del Mercado Común del Sur (Mercosur) “Articulando luchas, cultivando resistencias” | 30-Jul-2014
Solicitan a Cancilleres del Mercosur suspender TLC con el estado de Israel ante crímenes de lesa humanidad | 25-Jul-2014
Des organisations togolaises dénoncent l’accord de libre échange entre l’UE et la CEDEAO | 25-Jul-2014
PANG warns against Fiji’s ratification of IEPA | 22-Jul-2014
The secret deal that threatens NHS | 19-Jul-2014
Les négociations TAFTA et CETA utilisées pour affaiblir la législation climatique européenne | 17-Jul-2014
Malta: Anti-TTIP front launched | 15-Jul-2014
EJN condemns EPA | 13-Jul-2014
EFF: We join dozens of organizations and businesses to protest TPP copyright proposals | 11-Jul-2014