1. 9th Public Procurement Exchange Platform
Agencija za javne nabavke/nabave Агенција за јавне набавке Public Procurement Agency Bosna i Hercegovina Босна и Херцеговина Bosnia and Herzegovina
9th Public Procurement Exchange Platform
Efficient Implementation of Procurement- Experiences of Centralized Purchasing in Bosnia and Herzegovina
Skopje, May, 2013

2. Experiences of Centralized Purchasing in Bosnia and Herzegovina
Instruction on Implementation of Public Procurement Law of Bosnia and Herzegovina regulates joint purchasing by a number of contracting authorities that may choose to jointly conduct a procedure for one or more purchases in a certain period of time.
In case of joint purchasing these conditions must be met:
Each of the contracting authorities participating must be listed in tender documents;
Each of the contracting authorities concludes a separate contract with the selected bidder.
Copyright © 2013 | Public Procurement Agency of Bosnia and Herzegovina

3. Experiences of Centralized Purchasing in Bosnia and Herzegovina
One of the contracting authorities can be chosen to conduct the public procurement procedure/s, award contracts/framework agreements on behalf of all of the contracting authorities included;
Council of Ministers of Bosnia and Herzegovina or local level governments can decide to organize centralized purchasing for certain types of goods, services or construction works;
In such case the Council of Ministers of Bosnia and Herzegovina or local level government decide which authority will be responsable for conducting centralized purchasing.
Copyright © 2013 | Public Procurement Agency of Bosnia and Herzegovina

4. Experiences of Centralized Purchasing in Bosnia and Herzegovina
In 2008 the Council of Ministers of BiH adopted the Decision on conducting joint public procurement procedures of goods and services for the institutions of Bosnia and Hercegovina;
Decision covers following goods and services:
Stationery;
Toners and catridges;
Fuel oil and fuel transport;
Computers and computer equipment;
Photocopiers, fax machines and other office supplies;
Plane tickets and travel organizing services;
Computer and computer equipment repair services;
Photocopiers, fax machines and other office supplies repair services.
Copyright © 2013 | Public Procurement Agency of Bosnia and Herzegovina

5. Experiences of Centralized Purchasing in Bosnia and Herzegovina
Commission for joint public procurement of at least five members from different ministries and institutions of Bosnia and Herzegovina, secretary of the commission (to provide technical assistance);
Possibility to hire experts from the specific area of procurement;
Implemantation of the Decision started in january 2009;
Commission‘s mandate ended after successfully concluding contracts/framework agreements for computers and computer equipment, computer and computer equipment repair services, plane tickets, photocopiers, fax machines and other office supplies and photocopiers, fax machines and other office supplies repair services.
Copyright © 2013 | Public Procurement Agency of Bosnia and Herzegovina

6. Experiences of Centralized Purchasing in Bosnia and Herzegovina
Contracts are concluded partially for stationery and toners and catridges;
Contracts not concluded for fuel due to cancelation of the procedure;
This „pilot project“ has shown advantages and disadvantages of centralized purchasing in BiH market;
Advantages:
Minimizing costs of conducting the procedure (cost of publication of tender, fees, etc) ;
Better terms/price of purchase due to larger quantity;
Standardization of materials and services;
Copyright © 2012 | Public Procurement Agency of Bosnia and Herzegovina

7. Experiences of Centralized Purchasing in Bosnia and Herzegovina
Disadvantages:
High interest of bidders for such large procurement causing extensive use of legal remedies (even when not reasonable) thus delaying the procedures;
Lack of efficiency –specialization needed;
Copyright © 2012 | Public Procurement Agency of Bosnia and Herzegovina

8. Experiences of Centralized Purchasing in Bosnia and Herzegovina
Currently in force new Decision on conducting joint public procurement procedures of goods and services for the institutions of Bosnia and Hercegovina (adopted by Council of Ministers of BiH in november 2010)
Implemantation of the Decision has not yet been started;
Commission for joint public procurement yet to be named.
Copyright © 2013 | Public Procurement Agency of Bosnia and Herzegovina

9. Based on past experiences
Establishing a department to deal with joint procurements (possibly at all government levels!) would be useful;
Staff employed in the Department should be more knowledgeable about the procurement subject;
A Technical Specification Expert should be included;
Making a division into lots whenever possible.
Copyright © 2012 | Public Procurement Agency of Bosnia and Herzegovina

10. Copyright © 2012 | Public Procurement Agency of Bosnia and Herzegovina
Conclusions
Problem of organization of contracting parties;
Method of selection of the best approach to joint procurement;
The BiH market is still underdeveloped.
Copyright © 2012 | Public Procurement Agency of Bosnia and Herzegovina

11. Copyright © 2012 | Public Procurement Agency of Bosnia and Herzegovina
Thank you for your attention!!!!
Public Procurement Agency BiH
Copyright © 2012 | Public Procurement Agency of Bosnia and Herzegovina