RESTRICTED
WORLD TRADE S/WPGR/W/11/Add.21
10September 1997
ORGANIZATION
(97-4009)
Working Party onGATS Rules Original: French
COMMUNICATION FROM TURKEY
Response totheQuestionnaire onGovernment Procurement ofServices
Addendum
Thefollowing communication iscirculated attherequest ofTurkey tomembers oftheWorking
Party onGATS Rules.
_______________
I. EXISTING PROCUREMENT REGIMES
Definition
1. What isthedefinition ofgovernment procurement employed incompleting this
questionnaire?
Government procurement means thepurchase/sale ofgoods andservices (including transport
andconstruction) byinstitutions financed fromthegeneral budget orhaving ajointbudget andbylocal
authorities. Government procurement isgoverned byLawNo.2886 onGovernment Procurement.
Administrative structure
2. Howaregovernmentprocurementactivitiesadministered?Towhatextentareprocurement
activities centralized? Please specify theidentity ofanycentral procurement agencies andtheir
respective responsibilities.
Ingeneral, government procurement activities aredecentralized. Each public service issues
aninvitation totender foritsownneeds inaccordance withtheLawonGovernment Procurement.
While there isacentralized procurement body, theState Supply Office (DMO), which has
itsownbudget, government entities arenotobliged tousethisagency fortheirownneeds.
Laws andregulations inforce
3.(a) Please specify thelaws, regulations, rules, guidelines, decrees, decisions andother measures
governing government procurement. What isthescope oftheirapplication? Inparticular, please
describe anyexemptions thatexist. Please provide abrief summary ofthecontent ofeachof
these measures.
- LawonGovernment Procurement: governs entities financed fromthegeneral budget
orhaving ajointbudget andlocalauthorities;S/WPGR/W/11/Add.21
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- Public enterprises, funds, entities withcirculating capital andinstitutions withtheir
ownbudget havetheirownregulations; however, these regulations haveprovisions
similar tothose oftheLawonGovernment Procurement;
- Government Procurement Circular: laysdown theprinciples thatapply inthisarea
anditispublished every yearbytheMinistry ofFinance;
- Acceptable value notice: laysdown theprinciples thatapply forconstruction, and
ispublished every yearbytheMinistry ofConstruction andHousing.
3.(b) Doestheprocurement regime distinguish between theprocurement ofgoods andservices?
Ifso,thenhowistheapplication ofrules determined incases ofjointprocurement involving both
goods andservices?
TheLawonGovernment Procurement does notdistinguish between goods andservices
procurement.
Procurement procedures applied
4.(a) What procedures arefollowed intheprocurement process?
Fiveprocurement procedures areapplied:
1. Selective tendering procedure;
2. limited opentendering procedure;
3. opentendering procedure;
4. negotiated procurement;
5. direct competition procedure.
4.(b) Under what circumstances aredifferent procedures used? Forinstance, ifthemethod
useddepends onthevalue oftheprocurement, thethresholds should begiven.
Selective tendering isthenormal procedure, butother procedures areusedaccording tothe
value oftheprocurement:
- Open tendering forcontracts notexceeding TL25billion;
- negotiated procurement procedure forcontracts notexceeding TL1.5billion.
4.(c) What arethetime-limits forsubmission ofbids?
Theminimumtime-limitforsubmissionistendaysfromfirstpublication.Insomecircumstances
where publication isnotrequired, thesubmission time-limit maybelengthened orshortened bythe
procuring entity.S/WPGR/W/11/Add.21
Page3
Publicity forinviting tenders
5.(a) How areintended procurements publicized? Areinvitations totender published? Ifso,
where, andinwhat languages?
Regardless oftheestimated value oftheintended procurement, itmustbeadvertised inalocal
newspaper.
- Procurement foranestimated value ofoverTL7billion must alsobepublicized in
thedailynewspapers ofmajor towns orcities withaminimum time-limit oftendays.
- Procurement foranestimated value ofmore thanTL21billion mustbepublished in
theOfficial Journal withaminimum time-limit oftendays. Ingeneral, these public
notices areinTurkish. (Thethresholds oftheestimated values inTLmayvaryfrom
yeartoyear.)
5.(b) Dotheextent andform ofpublicity differ according totendering procedures applied and/or
onthevalue ofprocurement?
Inthecaseofnegotiated procurement andlimited opentendering, publication isnotmandatory.
Incases where publication isrequired, thecontent andconditions ofpublication aresimilar.
5.(c) What details oftheintended procurement arenormally published? Isthere aminimum
setofinformation thatisrequired tobepublished? Ifso,please specify.
Thefollowing details oftheintended procurement arepublished:
- Object, value andplace ofintended procurement;
- conditions andplace forobtaining thebidding form anditsannexes;
- procedure, place anddateofaward;
- ifnecessary, estimated value andamount ofprovisional security;
- documents required from suppliers;
- date, time-limit andplace forsubmission ofbids.
5.(d) Arethere anycharges forobtaining thefullsetoftender documents? Ifso,please specify
anddescribe howthese charges areset?
Payment ofafeeforobtaining thetender documents andtheamount involved areamatter
decided bytheprocuring entity concerned.
5.(e) Areelectronic means usedtoadvertise procurement opportunities? What isthenature
ofsystems thatareinplace? Aredifferent tendering provisions applied tocontracts advertised
inthismanner? Ifso,please describe.
Electronic means arenotnormally usedtoadvertise procurement opportunities.S/WPGR/W/11/Add.21
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Requirements laiddown forpossible suppliers
6.(a) Arethere registration, residence orother requirements forpotential suppliers?
Potential suppliers must have:
- Legal residence inTurkey;
- anotification address inTurkey.
6.(b) What isthenature ofanyconditions forparticipation required from suppliers -suchas
financial guarantees, commercial standing andtechnical qualifications? Dotheconditions of
participation varyaccording tothenature ofthetender process and/or thevalue oftheintended
procurement?
Inthecaseoftendering intheconstruction area, potential suppliers arerequested toprovide
information ontheirfinancial situation andreferences onwork previously performed.
6.(c) Dothere exist listsofapproved suppliers? Ifso,what aretheprocedures forchecking
thecapability offirms applying forinclusion ontenderers 'mailing lists? Arelistsofapproved
suppliers, ifany,regularly reviewed/updated?
Intheconstruction area, potential suppliers mustprequalify interms oftheircapability with
respect tothetender concerned. Thecriteria applied todetermine suchcapability arepublished each
yearinanotice. Institutions usethese criteria toselect potential suppliers fordifferent tenders.
Alistofapproved suppliers doesnotexist.
Criteria forassessing bidsandawarding contracts
7.(a) What criteria aretaken intoaccount intheaward oftenders? Arecriteria foraward
ofcontracts made available inadvance topotential suppliers?
Ingeneral, thecriterion followed intheaward oftenders isthatofthemostattractive bidin
terms ofprice. Inthecaseofconstruction, themostattractive bidinterms ofpriceistheleastexpensive
price.
7.(b) Isprocurement subject toanyoffset provisions, suchaslocalcontent, technology transfer
orcountertrade requirements?
Ingeneral, tender invitations donotcontain conditions ofthiskind.
7.(c) Ispreference given toanyparticular enterprises orgroup ofenterprises? Ifso,please
specify.
Preference cannot begiven toparticular enterprises orgroups ofenterprises.
7.(d) Dotheprocurement criteria differ according tosector orregion oftheeconomy?
Inthecaseofmajor public works ofaparticular nature, theprocurement criteria maydiffer.S/WPGR/W/11/Add.21
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7.(e) What isthemargin ofchoice ordiscretion allowed tothepurchasing authority? What
doestheextent, ifany,ofdiscretion allowed depend upon?
Thepurchasing authority hasnomargin ofchoice ordiscretion infavour ofcertain potential
suppliers.
Disclosure ofbidsreceived andcontracts awarded
8.(a) How aretenders received, registered andopened?
Ingeneral, tenders arereceived unopened. Inthecaseofnegotiated procurement, tenders
maybereceived registered orbydeclaration.
8.(b) Areentities required topublish details ofthecontracts awarded and/or notify unsuccessful
tenderers?
Thesuccessful tenderers aremade known onlyinthecaseoftenders forconstruction work
ofavalue exceeding TL500billion. Unsuccessful tenderers arenotmade known.
8.(c) Areentities required topublish, orprovide tounsuccessful bidders, pertinent reasons
whytheir bidwasrejected?
During themeeting oftheAward Commission unsuccessful tenderers aretoldthereasons why
theirbidwasrejected. Likewise, ifunsuccessful tenderers sorequest inwriting, theyarealsogiven
thereasons whytheywere notselected.
Treatment granted todomestic andforeign services and/or suppliers
9. What laws, regulations, procedures orpractices accord domestic services and/or suppliers
treatment more favourable than thataccorded toforeign services and/or suppliers, oraccord
services and/or suppliers ofaMember more favourable treatment thanthose ofanother Member?
Please specify how,ifatall,more favourable treatment isaccorded. Please alsospecify theworking
definition of"domestic" inrelation todomestic services andsuppliers.
TheLawonGovernmentProcurementdoesnotestablishalegaldefinitionof"domesticsupplier".
Nevertheless, adecision oftheCouncil ofMinisters isrequired foragovernment authority tobeable
togivepreference toadomestic supplier.
Procedures forhearing andreviewing complaints/appeals
10. What, ifany,aretheprocedures available forparties, domestic andforeign, tolodge
complaints against theaward ofacontract? Please provide details.
Parties maylodge complaints andappeals against theaward ofacontract initially withthe
government authority thatissued theinvitation totender. Where thelatterdoesnotaccept thecomplaint
orappeal, anaction maybebrought against it.