The new procurement law, which is expected to take effect on June 13, allows small and medium-sized enterprises (SMEs) to participate in government tender opportunities, and guarantees them 30% of the contract from national projects, an official has said.
In December 2015, HH the Emir Sheikh Tamim bin Hamad al-Thani issued Law No 24 of 2015, a law regulating tenders and auctions, according to Abdulaziz Zeid Rashid al-Taleb, director of government procurement regulations at the Ministry of Finance.
“As a government regulator, we will ensure that local suppliers must be included among the major players in their tenders.
“One of the major articles of the new procurement law states that 30% of the contract must be given to local suppliers,” said al-Taleb at the Qatar Development Bank (QDB) headquarters during a press conference announcing the staging of “Moushtarayat,” the 1st Government Procurement and Contracting Conference & Exhibition to be held in Doha from March 8 to 10.
Al-Taleb said the new law supports entities and national institutions, especially SMEs. It also underscores the country’s ambitious economic development plan and how Qatar has developed several roles to increase the job opportunities SMEs create in the local market.
“There a number of new policies to positively impact SMEs, including exemptions, in whole or in part, to providing temporary and final insurance and guarantee payments in coordination with QDB,” al-Taleb further said.
He also said the Ministry of Finance will launch on June 13 a consolidated website where bidders can apply tenders online. The new website will contain all government tenders from more than 120 government entities, he added.
QDB CEO Abdulaziz bin Nasser al-Khalifa said because of the new law also provides Qatari SMEs exemptions from prerequisites like bid bonds or performance bonds, allowing them to take part in major government infrastructure projects.
“All these requirements are a burden to many SMEs and they are also seen as impediments for them to enter into the tender. But the new law has allowed QDB to exempt SMEs from these requirements,” al-Khalifa said.
He said “Moushtarayat” aims to open new opportunities for interaction between local SMEs and stakeholders, in addition to strengthening co-operation between the private and public sector companies in Qatar.
“As we open local and global markets to SMEs through ‘Tasdeer,’ and with the help of the Ministry of Finance, we provide greater accessibility to government procurement by linking local SMEs to procurement of major buyers, through match-making activities and B2B meetings,” al-Khalifa said.
He also said QDB will launch a workshop for the buyers to support local SMEs’ access to local government, semi-government, and large private procurement businesses.
Al-Khalifa said QDB is nearing completion of a ratings system for SMEs to help them determine how far they can perform and to identify the necessary exemptions that will enable them to participate in government tender opportunities.