World Trade Organization Agreement on Government Procurement (Gpa)

Any enterprise from a signatory country wishing to sell goods or services covered by the GPA to a procuring entity from another signatory country listed in Annex I to the GPA may benefit from this Agreement. The World Trade Organization estimates that the value of the government procurement opportunities covered by the agreement amounts to hundreds of billions of dollars per year. The following WTO members are parties to the 1994 Agreement:[3] The fundamental objective of the GPA is the mutual opening of government procurement between its parties. Following several rounds of negotiations, the GPA parties have opened procurement activities worth an estimated $1.7 trillion each year to international competition (i.e., to suppliers of GPA parties offering goods, services or construction services). Yes. If you are having difficulty selling goods or services to a signatory government`s procurement entities because that government has not complied with this agreement, contact the U.S. Department of Commerce`s Trade Agreement Negotiations and Compliance Hotline. The Center can help you understand your rights under this Agreement and may notify the appropriate U.S. government officials to help you resolve your issue. The U.S. government may, if necessary, discuss the particular facts of your situation with the government of the other country concerned and ask officials of that government to look into the matter. As a last resort, the U.S.

government can rely on the WTO dispute settlement procedure. The agreement was originally established in 1979 as the Tokyo Round Code on Government Procurement[1], which entered into force in 1981 under the auspices of the General Agreement on Tariffs and Trade. [2] It was then renegotiated in parallel with the Uruguay Round in 1994, and this version entered into force on 1 January 1996. The agreement was subsequently revised on 30 March 2012. The revised GPA entered into force on 6 July 2014. [2] Accession to the GPA is limited to WTO Members that have explicitly signed or subsequently acceded to the GPA. WTO members are not required to join the GPA, but the United States strongly encourages all WTO members to participate in this important agreement. Several countries, including China, Russia and the Kyrgyz Republic, are currently negotiating their accession to the GPA. The Annexes also set out the thresholds above which individual public procurement is subject to GPA disciplines.

More information on the structure of Annex I to the Agreement is available here. In order to ensure an open, fair and transparent playing field in government procurement, several WTO Members have negotiated the Agreement on Government Procurement (GPA). In accordance with Article V of the revised GPA, special and differential treatment for developing countries may be negotiated in the form of transitional measures such as offsets, preferential price programmes, initially higher thresholds and the gradual introduction of facilities by a developing country in the accession process, subject to the agreement of the other Parties and the development needs of the acceding Member. The World Trade Organization (WTO) Agreement on Government Procurement, commonly known as the GPA, establishes a framework of government procurement rights and obligations among WTO Members that have signed it. The signatories agreed that suppliers of goods and services in other signatory States will not be treated less favourably than domestic suppliers in government procurement covered by the agreement and that their laws, regulations and procedures relating to government procurement will be transparent and fair. The agreement was revised in March 2012 and also expands the supply it covers. It entered into force on 6 April 2014 after the acceptance threshold for two-thirds of the parties was reached on 7 March 2014. It has no expiration date. The GPA is a plurilateral agreement within the WTO, which means that not all WTO members are parties to the agreement. Currently, the Agreement has 20 parties comprising 48 WTO Members.

36 WTO members/observers participate as observers in the GPA Committee. Of these, 12 members are in the process of acceding to the agreement. The Agreement on Government Procurement (GPA) is a plurilateral agreement under the auspices of the World Trade Organization (WTO) that regulates the purchase of goods and services by the authorities of the Parties to the Agreement on the basis of the principles of openness, transparency and non-discrimination. To be covered by the GPA, public procurement must meet minimum value thresholds. These vary according to the type of contracting entity and the contract. The current thresholds can be found in the table of thresholds published by the WTO (external link). (2) This restriction does not apply to the purchase of supplies by the Ministry of Defence from a country with which it has entered into a reciprocal agreement, as provided for in the regulations of the Ministry. For the full text of the revised GPA and the new annexes setting out the procurements covered by all GPA Parties, see GPA-113. International intergovernmental organizations are granted observer status in the GPA Committee The GPA applies to procurement by all contractual means, including purchase, leasing or rental with or without a purchase option.

It applies to companies listed by each signatory country in Annex I (external link) to the agreement. Annex 1 of Appendix I lists the central government agencies covered, Annex 2 lists the agencies of the sub-central government and Annex 3 lists the other agencies. The GPA is a plurilateral agreement, which means that it is binding only on WTO Members that are parties and have therefore agreed to be bound by it. It currently has 20 contracting parties, which together have 48 WTO members. These include five new Parties whose respective accessions entered into force after the entry into force of the revised GPA. If a signatory Government considers that its rights under this Agreement are nullified or affected by another Signatory, it may request the opening of WTO dispute settlement proceedings to resolve the matter. The WTO dispute settlement procedure is described in the Exporter`s Guide to the WTO Dispute Settlement Agreement. The GPA is a plurilateral agreement and applies only to WTO Members that have agreed to be bound by it. Under the Agreement, each signatory (usually referred to as the «Party») sets out in a «Coverage Plan» the procurement activities governed by the Agreement. A Contracting Party is required to treat the goods, services and suppliers of other Contracting Parties only in a non-discriminatory manner, but not of non-Contracting Parties.

The WTO Agreement on Government Procurement (GPA) is the pre-eminent international instrument for regulating the conduct of international trade in government procurement. The aim is to ensure a levelling playing field for the purchase of goods, services and construction services by public bodies covered by the Agreement. It also serves to promote good governance, efficient and effective management of public resources and value for money in national procurement systems. The revised GPA, which was published on 6. April 2014 is attracting more and more attention around the world, but the liberalisation of public procurement is not a completely new idea. Within the framework of the OECD, efforts have been made at an early stage to place government procurement within the framework of internationally agreed trade rules. The issue was then incorporated into the trade negotiations of the GATT Tokyo Round in 1976. The GPA contains a number of provisions to ensure that tendering procedures for public procurement in signatory countries are transparent, efficient and fair. The Signatories have agreed that: If a supplier believes that there has been a violation of this Agreement, it will be asked to enter into consultations with the procuring entity in order to resolve the problem. If such consultations do not lead to a satisfactory outcome, any signatory Government is required to provide non-discriminatory, timely, transparent and effective procedures that would enable suppliers to challenge alleged violations of the Convention. Suppliers may be required to initiate a challenge procedure within a specified period of time (at least 10 days) from the date on which the basis of the complaint was known. Challenges must be heard by an impartial independent court or oversight body that has no interest in the outcome of the contract.

Challenge procedures must be completed «promptly». Signatories to the GPA are required to publish summary notices on procurement opportunities for contracts covered by the agreement. Each member has identified publications in which these opportunities are published. .