Government imposes restriction on public procurement from China, other neighbours – Times of India: NEW DELHI: Amid the border row with China, the federal government on Thursday imposed restrictions on public procurement from China and different international locations with widespread border.

Government imposes restriction on public procurement from China, other neighbours – Times of India

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The federal government of India amended the Basic Monetary Guidelines 2017 to allow imposition of restrictions on bidders from international locations which share a land border with India on grounds of defence of India, or issues straight or not directly associated thereto together with nationwide safety, an official assertion mentioned.
The division of expenditure has, below the mentioned Guidelines, issued an in depth order on public procurement to strengthen the defence of India and nationwide safety, it mentioned.
As per the order, it mentioned, any bidder from such international locations sharing a land border with India shall be eligible to bid in any procurement whether or not of products, companies (together with consultancy companies and non-consultancy companies) or works (together with turnkey tasks) provided that the bidder is registered with the Competent Authority.
“The Competent Authority for registration would be the Registration Committee constituted by the Division for Promotion of Business and Inside Commerce (DPIIT). Political and safety clearance from the ministries of exterior and residential affairs respectively shall be necessary,” it mentioned.
The order takes into its ambit public sector banks and monetary establishments, autonomous our bodies, Central Public Sector Enterprises (CPSEs) and public personal partnership tasks receiving monetary assist from the federal government or its undertakings, it added.
Observing that state governments additionally play a significant position in nationwide safety and defence of India, it mentioned, “the Authorities of India has written to the Chief Secretaries of the State Governments invoking the provisions of Article 257(1) of the Structure of India for the implementation of this Order in procurement by State Governments and state undertakings and many others.”
For state authorities procurement, it mentioned, the Competent Authority shall be constituted by the states, however political and safety clearance will stay obligatory.
Rest has been supplied in sure restricted circumstances, together with for procurement of medical provides for containment of COVID-19 world pandemic until December 31, 2020.
By a separate order, international locations to which the federal government of India extends traces of credit score or gives growth help have been exempted from the requirement of prior registration, it mentioned.
“The brand new provisions will apply to all new tenders. In respect of tenders already invited, if the primary stage of analysis of {qualifications} has not been accomplished, bidders who should not registered below the brand new Order shall be handled as not certified,” it mentioned.
If this stage has been crossed, ordinarily the tenders shall be cancelled and the method began de novo, it mentioned, including that the order may even apply to different types of public procurement.
It doesn’t apply to procurement by the personal sector.



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