Public supply, start-up venture product to be in active purchase
[ Kwon Dae Gyung kwon213@ ] | 2017-12-12 12:24:20
The Deputy Prime Minister, Kim Dong-yeon `Support plan for innovative growth`
The public procurement system is expected to be completely reorganized so that SMEs and venture companies can actively participate in the public procurement business, which amounts to KRW 117 trillion a year (as of 2016), creating a `growth ladder`.
Therefore, a concentrated purchase system will be introduced to abolish the performance limitation system of small-scale public procurement projects of less than 210 million won and to encourage start-up and venture small and medium-sized enterprises to purchase products first. The ratio of duty-paying purchases of SMEs by public institutions also increases from 50% to 70%.
Kim Dong-yeon, the deputy prime minister of economy and planning and finance, announced on 11th that he will hold an enlargement ministerial meeting on economic affairs and public procurement reform measures to support innovation growth.
According to the Public Procurement Plan, the company will eliminate the performance limit for small contracts of less than 210 million won, and abolish the lowest price bidding system applied to contracts. In order to reduce the bidding cost of small businesses, the procurement system is also changed so that documents such as proposal submission and performance issuance can be made online.
Meanwhile, public institutions will intensively purchase products from these companies in order to support start-up and start-up of venture companies. Basically, the government or public institutions will raise the ratio of duty-free purchases of SMEs from 50% to 70%.
It also introduced new bidding systems that are suitable for innovative technologies and product purchases that are not in the market. The new winning system is competitive. It is a competitive dialogue process in which `Purpose of procurement agency and presentation of major functions - Proposal of implementation method of private company - Complementing proposal of consulting between ordering agency and companies - Evaluation of proposal - Successful bidder`. Furthermore, for new technologies and new products based on R & D, the requirements for veterinary contracts will be relaxed, and social economic enterprises will be given the opportunity to award bids.
A representative of the Ministry of Information and Communication stated, "We will strengthen the examination of social responsibility during the bidding so that public procurement can lead to realization of corporate social value." For this purpose, we separate social responsibility from other items in preliminary screening and qualification examination. I plan to examine it."
Besides, the system to adjust the contract amount when the labor cost rises, and the restriction on the qualification to the companies that violate the minimum wage or repay the wages regularly.
The Ministry will submit the amendment to the National Contract Law to the National Assembly next March, and prior to this, the provisions below the enforcement decree will be enforced from next year after the legislative notice is announced this month.
Sejong City= By Kwon Dae Gyung kwon213@
[ copyright ¨Ï The Digitaltimes ]

The public procurement system is expected to be completely reorganized so that SMEs and venture companies can actively participate in the public procurement business, which amounts to KRW 117 trillion a year (as of 2016), creating a `growth ladder`.
Therefore, a concentrated purchase system will be introduced to abolish the performance limitation system of small-scale public procurement projects of less than 210 million won and to encourage start-up and venture small and medium-sized enterprises to purchase products first. The ratio of duty-paying purchases of SMEs by public institutions also increases from 50% to 70%.
Kim Dong-yeon, the deputy prime minister of economy and planning and finance, announced on 11th that he will hold an enlargement ministerial meeting on economic affairs and public procurement reform measures to support innovation growth.
According to the Public Procurement Plan, the company will eliminate the performance limit for small contracts of less than 210 million won, and abolish the lowest price bidding system applied to contracts. In order to reduce the bidding cost of small businesses, the procurement system is also changed so that documents such as proposal submission and performance issuance can be made online.
Meanwhile, public institutions will intensively purchase products from these companies in order to support start-up and start-up of venture companies. Basically, the government or public institutions will raise the ratio of duty-free purchases of SMEs from 50% to 70%.
It also introduced new bidding systems that are suitable for innovative technologies and product purchases that are not in the market. The new winning system is competitive. It is a competitive dialogue process in which `Purpose of procurement agency and presentation of major functions - Proposal of implementation method of private company - Complementing proposal of consulting between ordering agency and companies - Evaluation of proposal - Successful bidder`. Furthermore, for new technologies and new products based on R & D, the requirements for veterinary contracts will be relaxed, and social economic enterprises will be given the opportunity to award bids.
A representative of the Ministry of Information and Communication stated, "We will strengthen the examination of social responsibility during the bidding so that public procurement can lead to realization of corporate social value." For this purpose, we separate social responsibility from other items in preliminary screening and qualification examination. I plan to examine it."
Besides, the system to adjust the contract amount when the labor cost rises, and the restriction on the qualification to the companies that violate the minimum wage or repay the wages regularly.
The Ministry will submit the amendment to the National Contract Law to the National Assembly next March, and prior to this, the provisions below the enforcement decree will be enforced from next year after the legislative notice is announced this month.
Sejong City= By Kwon Dae Gyung kwon213@
