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Where did the government procurement decision arrive ?!
Sami Al Riyami
reyami@emaratalyoum.comsamialreyami
07 March 2021
Government procurement annually reaches more than two billion dirhams, and there is a federal decision issued by the Council of Ministers to allocate 10% of these purchases to be the share of small and medium enterprises, and this percentage represents in numbers 200 million dirhams annually, which is a good number, and it can raise many Small and medium enterprises, and improve their status, and make them grow and grow in the market in an excellent manner.
Although the decision was issued almost ten years ago, and it was confirmed more than once, which indicates the government's interest in supporting the owners of these projects from among citizens wishing to establish their own small businesses, and to benefit from the huge UAE market, and from huge government purchases, Its impact is still unclear on the growth of these projects, and the extent to which they truly benefit from it!
With the passage of this long period of time, yet we do not have, until now, any real figures from the concerned authorities of the value of the procurement sums allocated by government agencies to small and medium enterprises. No one has announced this, and we do not know if they have reached the desired goal set by the Council. Ministers, or is it still modest ?!
We do not know this, just as the owners of small and medium enterprises do not know the mechanism for implementing the procurement plan, and therefore they struggle to obtain their share determined by the law, and they suffer greatly from the difficulty of entering the government procurement market, with the intensification of competition in the interest of large foreign and non-foreign companies!
Entrepreneurs who own small and medium enterprises see that there are several obstacles facing their entry into the government procurement market, the most important of which is competition from large companies, and the lack of confidence in their products from purchasing managers. They also see that there are impossible conditions that they cannot meet to take a share of these purchases, in addition to the absence Flexibility in dealing with them as they deserve a little support, and here it is necessary to emphasize the need to give them the opportunity to participate and enter with large companies in the government procurement market, even if it is in a small percentage and small quantities, there is no doubt that this little will help them develop their business in the future.
Therefore, in order to activate the decision to allocate 10% of government procurement to small and medium enterprises, annual data must be published that shows the percentages of purchases, the types of purchases, the government agencies most supportive of the decision, and then the lowest government agencies implementing the decision, while shedding light on these small and medium-sized companies. And introducing it, and thus we have contributed to support it, and achieve an acceptable growth rate for its business that supports it to remain in the market, instead of closing its doors and leaving it!
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reyami@emaratalyoum.com