RESTRICTED  
  
GPA/TN1994/3/Rev.6  
5 July 2004 
(24-2729) Page: 1/36 
Committee on Government Procurement  
Negotiations under Article XXIV:7 of the GPA 1994  
Comité des marchés publics  
Négociations au titre de l'article XXIV:7 de l'AMP 1994  
Comité de Contratación Pública  
Negociaciones en el marco del párrafo 7 del artículo XXIV  
del ACP 1994   
 
  
REVISION OF THE AGREEMENT  ON GOVERNMENT PROCUREMENT  
AS AT 25 JUNE  2004*,** 
CLEAN TEXT  
NOTE  BY THE SECRETARIAT  
Revision  
This note reflect s the state of the negotiations on the revision of the text of the Agreement on 
Government Procurement under Article  XXIV:7 as at the end of the meeting of the Informal Group 
of the Committee on Government Procurement of  21-25 June 2004. 
 
_______________  
 
 
 
  
 
* In English only . 
** Pursuant to the relevant Decision of the Committee on Government Procurement ( GPA/CD/5  
(16/11/2023)), this document (informal document symbol: negs 149) was derestricted on 8 November 2023.  GPA/TN1994/3/Rev.6  
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  Table of Contents  
 
Article  I Definitions  ................................ ................................ ................................ .........  3 
Article  II Scope and Coverage  ................................ ................................ ..........................  5 
Article  III General Principles  ................................ ................................ .............................  7 
Article  IV Publication of Procurement Information  ................................ ................................  8 
Article  V Publication of Notice of Intended Procurement  ................................ ........................  8 
Article  VI Time-Periods for Tendering  ................................ ................................ ...............  10 
Article  VII Information on Intended Procurements  ................................ ..............................  12 
Article  VIII Conditions for Participation  ................................ ................................ .............  14 
Article  IX Negotiation  ................................ ................................ ................................ .... 20 
Article  X Limited Tendering  ................................ ................................ .............................  20 
Article XI Treatment of Tenders and Contract Awards  ................................ .........................  22 
Article  XIbis Use of Electronic Means  ................................ ................................ ...............  23 
Article  XII Transparency of Contract Award Information  ................................ ......................  24 
Article  XIII Non-Disclosure of Information  ................................ ................................ .........  25 
Article  XIV Developing Countries  ................................ ................................ ......................  26 
Article  XV Exceptions to the Agreement  ................................ ................................ ............  28 
[Article  XVI Modifications and Rectifications to Coverage  ................................ .....................  28 
Article  XVII  Challenge Procedures  ................................ ................................ ....................  30 
Article  XVIII  Consultations and Dispute Settlement  ................................ .............................  32 
Article  XIX Institutions  ................................ ................................ ................................ ... 34 
Article XX  Final Provisions  ................................ ................................ ...............................  34 
 
 
Preamble  
 
Parties to this Agreement (hereinafter referred to as "Parties"),  
 
Recognizing  the need for an effective multilateral framework for government procurement, with a 
view to achieving greater liberalization and expansion of, and improving the framework for, the 
conduct of in ternational trade;  
 
Recognizing  that measures regarding government procurement should not be prepared, adopted or 
applied so as to afford protection to domestic suppliers, goods or services or discriminate among 
foreign suppliers, goods or services;  
 
Recog nizing  that the integrity and predictability of government procurement systems are integral to 
the efficient and effective management of public resources, the performance of the Parties' 
economies, and the functioning of the multilateral trading system;  
 
Recognizing  that the procedural commitments under this Agreement should be sufficiently flexible 
to accommodate the specific circumstances of each Party;  
 GPA/TN1994/3/Rev.6  
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  [Recognizing  the need to take into account the development, financial and trade needs of developing 
countries, in particular the least -developed countries;]1 [NB: To be revised in light of revision of 
relevant provisions related to developing countries.]  
 
Recognizing the desirabi lity of transparent measures regarding government procurement and the 
import ance of carrying out procurements in a transparent and impartial manner, avoiding conflict of 
interest and corrupt practices, in accordance with relevant international instruments.  
 
Recognizing the importance of using, and encouraging the use of , electroni c means for procurement 
covered by this Agreement;  
 
Desiring  to encourage acceptance of and accession to this Agreement by WTO Members not party 
to it; 
 
Having undertaken  further negotiations in pursuance of these objectives;  
 
Hereby agree  as follows:  
 
Article  I Definitions  
For purposes of this Agreement:  
 
1. [build -operate -transfer contract  and public works concession contract mean  any 
contractual arrangement the primary purpose of which is to provide for the construction or 
rehabilitation  of physical infrastructure, plant, buildings, facilities or other government -owned works 
and under which, as consideration for a supplier's execution of a contractual arrangement, a 
procuring entity grants to the supplier, for a specified period of time, temporary ownership or a right 
to control and operate, and demand payment for the use of such works for the duration of the 
contract;]US [Market Access Issue ] 
 
2. commercial goods and services  mean goods and services with characteristics similar to 
those of goods and services that are sold or offered for sale to, and customarily purchased by, 
non-governmental buyers for non -governmental purposes ; it includes goods and services with 
modifications customary in the commercial marketplace [as well as minor modi fications not 
customarily available in the commercial marketplace that do not significantly alter the 
non-governmental function or essential physical characteristics or change the purpose]US,CDA; 
 
3. construction services contract  means a contract that has  as its objective the realization by 
whatever means of civil or building works[, in the sense of Division 51 of the Provisional U.N . Central 
Product Classification (CPC)] ; [Bracketed Language - Market Access Issue ] 
 
4. country or countries  include any sepa rate customs territory that is a Party to this 
Agreement . In the case of a separate customs territory that is a Party to this Agreement, where an 
expression in this Agreement is qualified by the term "national", such expression shall be read as 
pertaining to that customs territory, unless otherwise specified;  
 
5. days means calendar days;  
 
6. [electronic auction  means  an iterative process involving [a computer networking 
environment]US [an electronic device]EC [hardware and software configured]EC for the presentation 
of new prices [or]US,EC revised [downwards,]EC or new values concerning certain elements of tenders, 
which [occurs ]EC,KOR [may occur]US after an initial [full]EC evaluation of the tenders, enabling them 
to be ranked using automatic evaluation methods;]EC,US ,KOR [NB: Canada and the United States 
question the need for the phrase "which occurs after an initial full evaluation of the 
tenders" and whether it is necessary to prejudge the sequence of the evaluation and 
 
1 Unattributed brackets [ ] indicates language that Parties are still considering.  GPA/TN1994/3/Rev.6  
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  auction . According to the EC, for an electronic auction to take place, without running the 
risk of discrimination, it is necessary that an initial full evaluation of the tenders has taken 
place prior to the launching of the electronic auction and the subsequent application of 
the mathe matical formula .] 
 
7. [electronic means  means using [a computer networking environment]US [electronic 
equipment]EC [hardware and software configured]EC for the [electronic]EC processing (including 
digital compression) and storage of data that is transmitte d, conveyed and received by Internet, by 
wire, by radio, by optical means or by other electromagnetic mean;]EC,US [NB: Canada, Japan and 
Israel reserve their position on this definition because of its links to other provisions.]  
 
8. in writing  or written  means any worded or numbered expression that can be read, 
reproduced and later communicated . It may include electronically transmitted and stored 
information;  
 
9. limited tendering  means a procurement method where the procuring entity contacts a 
supplier or  suppliers of its choice, only under the circumstances specified in Article  X; [NB: Japan  
and Canada propose to delete this definition.]  
 
10. measure  means any law, regulation, procedure, [or any act of a procuring entity relating to  
a covered procurement]EC,US,NOR [requirement applied in a particular procurement ,]HKC administrative 
guidance or practice;  
 
11. multi -use list  means a list of suppliers that a procuring entity has determined satisfy the 
conditions for participation in that list, and that the procuring entity intends to use more than once;  
 
12. notice of intended procurement  means a notice published by a procuring entity in 
accordance with Article  V inviting interested suppliers to submit tenders;  
 
13. offsets  in government p rocurement means any [measures,]CT conditions or undertakings that 
encourage local development or improve a Party's balance -of-payments accounts, such as the use 
of domestic content, domestic suppliers, the licensing of technology, technology transfer, 
investment, counter -trade and similar actions [unless such conditions or undertakings are necessary 
to enable the contracts to be performed]HKC; [NB: Hong Kong, China is concerned that the 
addition of "domestic suppliers" and, along with Korea and Israel, that "technology 
transfer" expands the scope of offsets.]  
 
14. open tendering  means a procurement method where all interested suppliers may submit a 
tender ; [NB: Japan and Canada propose to delete this definition.]  
 
15. person  means a natural perso n or a juridical person;  
 
16. [procurement  means the process by which a [government]US [procuring entity]JPN,CT obtains 
the use of or acquires goods or services, or any combination thereof, for governmental purposes 
and not with a view to commercial sale o r resale, or use in the production or supply of goods or 
services for commercial sale or resale;]JPN,US [Market Access Issue ] 
 
17. procuring entity  means an entity covered under Annexes 1, 2 and 3 of Appendix I of each 
Party;  
 
18. qualified supplier  means a supplier that a procuring entity recognizes as having satisfied 
the conditions for participation;  
 
19. [recurring contracts  mean contracts  [that are related to the regular purchase of the same 
goods or services and that are not subject to a framework purchasing system]EC; 
 GPA/TN1994/3/Rev.6  
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  20. selective tendering  means a procurement method where only suppliers satisfying the 
conditions for participation are invited by the procuring entity to submit a tender ; [NB: Japan and 
Canada propose to delete this definition.]  
 
21. services  includes construction services, unless otherwise specified;  
 
22. standard  means a document approved by a recognized body, that provides, for common and 
repeated use, rules, guidelines or characteristics for products or services o r related processes and 
production methods, with which compliance is not mandatory . It may also include or deal exclusively 
with terminology, symbols, packaging, marking or labelling requirements as they apply to a product, 
service, process or production m ethod;  
 
23. supplier  means a person or group of persons that provides or could provide goods or services;  
 
24. [technical regulation  means a document which lays down characteristics of a product or a 
service or their related processes and production method s, including the applicable administrative 
provisions, with which compliance is mandatory . It may also include or deal exclusively with 
terminology, symbols, packaging, marking or labelling requirements as they apply to a product, 
service, process or produ ction method;]JPN,EC 
 
25. technical specification  means a tendering requirement that:  
 
(a) lays down the characteristics of goods or services to be procured, including quality, 
performance, safety and dimensions, or the processes and methods for their prod uction 
or provision ; or 
 
(b) addresses terminology, symbols, packaging, marking or labelling requirements, as they 
apply to a good or service.  
 
Article  II Scope and Coverage  
Application of Agreement  
 
1. This Agreement applies to any measure regarding cover ed procurement . 
 
2. For the purposes of this Chapter, covered procurement means a procurement of goods, 
services, or any combination thereof : 
 
(a) by any contractual means, including purchase ; lease; rental or hire purchase, with or 
without an option to buy [and build -operate -transfer contracts and concessions for 
public works contracts;]US [with or without utilization of the funds and the managerial 
or technical ability of the private sector]JPN; and [Bracketed Language – Market 
Access Issue ] 
 
(b) for which the value as estimated, in accordance with paragraph  6, equals or exceeds 
the relevant threshold specified in [Appendix  I], at the time of publication of a notice in 
accordance with Article  V; [Bracketed Language – Market Access Issue ] 
 
 [(c) [that i s conducted ]US by a procuring entity]US,EC[; and 
 
 (d) is not excluded from coverage by this Agreement.]US,EC,JPN 
 GPA/TN1994/3/Rev.6  
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  [2bis. Without prejudice to Article  [Exceptions], this Agreement applies to any procurement:  
 
(a) of central government entities where the va lue is estimated to equal or exceed:  
- [] SDR for contracts for supply of goods and services;  
- [] SDR for contracts for construction services;  
 
(b) of sub -central government entities where the value is estimated to equal or exceed:  
- [] SDR for contracts for supply of goods and services;  
- [] SDR for contracts for construction services;  
 
(c) of entities according to Appendix  I, Annex  3 where the value is estimated to equal 
or exceed:  
- [] SDR for contracts for supply of goods and services;  
- [] SDR for contracts for construction services.]EC 
 
[Market Access Issue ] [NB: Korea does not support the text (2 bis) proposed by the EC.]  
 
3. For each Party, Appendix  I shall be divided into five Annexes:  
 
(a) Annex  1 specifies the central government entities whose procurement is covered by this 
Agreement;  
 
(b) Annex  2 specifies the sub -central government entities whose procurement is covered 
by this Agreement;  
 
(c) Annex  3 specifies all other entities whose procurement is covered by this Agreement;  
 
(d) Annex  4 spec ifies the services covered by this Agreement ; and 
 
(e) Annex  5 specifies the construction services covered by this Agreement.  
 
Compliance  
 
4. Each Party shall [take such reasonable measures as may be available to it to]CDA,HKC ensure 
that the procuring entities listed in its Appendix  I comply with the provisions of [Articles  VII to X 
of]CDA this Agreement in conducting covered  procurement.  [NB: The EC, the US, Switzerland, 
Singapore, Japan , Norway  and Korea  have reservation on the bracketed language. ] 
 
5. Where a procuring entity, in the context of covered procurement, requires persons not listed 
in Appendix  I to procure in accordance with particular requirements, Article  III shall apply 
mutatis  mutandis  to such requirements.  
 
Valuation  
 
6. In estimating the value of a procurement for the purpose of ascertaining whether that 
procurement is covered by this Agreement, a procuring entity shall:  
 
(a) neither divide a procurement into separate procurements nor sel ect or use a particular 
valuation method for estimating the value of a procurement with the intention of totally 
or partially excluding it from the application of this Agreement;  
 
[(b) include the maximum total estimated value of the procurement over its e ntire duration [, whether awarded to one or 
more suppliers]EC, taking into account [all forms of remunerations, inc luding]EC premiums, fees, commissions, interest [and 
other revenue stream s that may be provided for in such contracts ][Market Access Issue ] and, where the procurement provides 
for the possibility of option clauses, the total maximum value [or total maximum estimated value] of the procurement, 
inclusive of optional purchases [, and any estimated residual value in the case of leases, rentals and  hire purchases ; 
and]CDA,US,HKC]CDA,US,HKC ,EC,JPN  
 GPA/TN1994/3/Rev.6  
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  [(c) deem the procurement [the estimated value of which cannot be provided]HKC to be 
covered if the scope of the work or the period of the contract is indefinite.]CDA,US,HKC  
 
[NB: C anada  is proposing that subparagraphs  6(b) and (c) also replace 
paragraphs  7 and 8. The EC considers  Canada's proposal to relate to market access as it 
would change coverage. ] 
 
[7. In the case of a recurring procurement, the calculation of the estimated value shall be based 
on the total of:  
 
(a) the actual aggregate value of recurring contracts with similar characteristics awarded 
during the preceding 12  months or fiscal year, adjusted where possible to take account 
of anticipated changes in quantity or value over the subsequent  12 months ; or 
[NB: Hong Kong, China considers that the scope of "recurring co ntracts with 
similar characteristics" should be clarified.]  
 
(b) the estimated aggregate value of recurring contracts to be awarded during the 
12 months subsequent to the initial  contract or during the procuring entity's fiscal year, 
whichever is greater.]EC,SWI.KOR 
 
[8. In the case of procurement by lease, rental or hire purchase of goods or services, or 
procurement for which a total price is not specified, the basis for valuatio n shall be, with respect to:  
 
(a) fixed-term contracts, where the term is 12  months or less, the total contract value for 
their duration, or, where the term exceeds 12  months, the total value including any 
estimated residual value ; or 
 
(b) contracts for an indefinite period, the monthly instalment multiplied by 48 . Where there 
is doubt as to whether the contract is to be a fixed -term contract, this basis for valuation 
shall be used. ]EC,JPN,NOR,US,KOR 
 
Article  III General Principles  
National Treatment and Non -Discrimination  
 
1. With respect to any measure and any covered procurement, each Party [, including its 
procuring entities]US [and each procuring entity, respectively, ]EC,NOR,SWI,JPN shall accord immediately 
and unconditionally to the good s and services of any other Party and to the suppliers of any [other ] 
Party offering the goods or services of any other Party, treatment no less favourable than the 
treatment the Party [or the procuring entity]US,EC,NOR ,JPN accords to:  
 
(a) domestic goods,  services and suppliers ; and 
 
(b) goods, services and suppliers of any other Party.  
 
2. With respect to any measure and any covered  procurement, neither a Party nor  a procuring 
entity shall:  
 
(a) treat a locally established supplier less favourably than an other locally established 
supplier on the basis of degree of foreign affiliation or ownership ; nor 
 
(b) discriminate against a locally established supplier on the basis that the goods or services 
offered by that supplier for a particular procurement are go ods or services of any other 
Party.  
 GPA/TN1994/3/Rev.6  
- 8 - 
  Procurement Methods  
 
3. A procuring entity shall conduct covered procurement in a manner that is consistent with this 
Agreement, and, except where specifically provided otherwise in this Agreement, in a transparent 
and impartial manner [, using methods such as open tendering, selective tendering and limited 
tendering ]. 
 
3bis. [A procuring entity  in Annex  1 shall ensure that the impartiality of its procurement process 
may not be affected by family ties, business links, cross representation or other reasons that may 
cause a conflict of interest, in accordance with the measures of the Party of the procuring 
entity .]JPN,KOR [A procuring entity shall ensure that the impartiality of the procurement proce ss is not 
affected by a procurement official's personal interests, such as family ties or business links .]NOR 
 
Rules of Origin  
 
4. For purposes of covered procurement, no Party may apply rules of origin to goods or services 
imported from or supplied by ano ther Party that are different from the rules of origin the Party 
applies  at the same time  in the normal course of trade to imports or supplies of the same goods or 
services from the same Party.  
 
Offsets  
 
5. With regard to covered procurement, a procuring e ntity shall not seek, take account of, impose 
or enforce offsets in the qualification and selection of suppliers, goods or services, in the evaluation 
of tenders  [and]HKC [or in] the award of contracts [, prior to or in the course of a procurement 
process ]. 
 
Measures Not Specific to Procurement  
 
6. The provisions of paragraphs  1 and 2 shall not apply to customs duties and charges of any 
kind imposed on, or in connection with, importation, the method of levying such duties and charges, 
other import regulation s or formalities, and measures affecting trade in services other than measures 
governing covered procurement.  
 
Article  IV Publication of Procurement Information  
Each Party shall:  
 
(a) promptly publish any law, regulation, judicial decision, administrative ruling of general 
application, standard contract clauses that are mandated by law or regulation and are 
incorporated by reference in notices and tender documentation and procedure rega rding 
covered procurement, and any modifications thereof, in officially designated electronic 
or paper media that are widely disseminated and remain readily accessible to the public 
and that are in the appropriate publications listed in Appendix  IV; and 
 
(b) provide an explanation thereof to any Party, on request.  
 
Article  V Publication of Notice of Intended Procurement  
1. For each covered  procurement, except in the circumstances described in Article  X, a procuring 
entity shall publish a notice of intended procurement . The notice shall be published in the appropriate 
publication listed in Appendix  II. The notices shall be in electronic or paper media that are widely 
disseminated and remain readily accessible to the public . [[For procuring entities i n Annex  1, the 
notices]JPN,KOR [In all cases, the notices ]EC,NOR,SWI [where electronic ]JPN,HKC [shall always ]EC,NOR be 
[electronically]EC,NOR accessible free of charge  through a single point of access].EC,NOR ,KOR,SW I,JPN 
[Procuring entities in Annexes  2 and 3 shall be encouraged to make such publications available free 
of charge through a single point of access. ]US,JPN] [Where electronic, the Party shall ensure the 
notices are accessible from one location.]CDA 
 GPA/TN1994/3/Rev.6  
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  2. Each notice of intended procurement shall include : 
 
(a) the name and address of the procuring entity and other information necessary to contact 
the procuring entity and obtain all relevant documents relating to the procurement, and 
their cost and terms of payment, if any;  
 
(b) a description of the procurement, including the nature and the quantity of the goods or 
services to be procured or, where the quantity is not known, the estimated quantity;  
 
- [whether the procuring entity is inviting offers for purchase, lease, rental or hi re 
purchase, or more than one of these methods;]EC 
 
- [any options for further procurement and, if possible, an estimate of when such 
options may be exercised;]EC 
 
- [for recurring contracts, if possible, an estimate of the timing of subsequent 
notices of intended procurement;]EC [NB: The US, Japan, CT , Singapore , Korea 
and Canada continue to believe that it is not necessary to require the inclusion of 
these three items of the notice.]  
 
[(c) any options;]CDA,NOR,US 
 
[(c)]EC[(d)]CDA,NOR,US the time -frame for delivery of goods or services or the duration of 
the contract;  
 
[(d)]EC[(e)]CDA,NOR,US the procurement method that will be used and whether it will involve 
negotiation [, electronic means ]EC [or electronic auction]CDA,US,NOR 
[and any intention tha t tenders be submitted by electronic 
means]CDA,US ,JPN,NOR; 
 
[(e)]EC[(f)]CDA,NOR,US the address and the time -limits for the submission of tenders and, 
where applicable, any time -limits for the submission of applications 
to qualify for participation in the p rocurement ; 
 
[(f)]EC[(g)]CDA,NOR,US the language or languages in which tenders or applications must be 
submitted, if other than an official language of the Party of the 
procuring entity;  
 
[(g)]EC[(h)]CDA,NOR,US a list and brief description of any conditions for participation of 
suppliers [ , including any specific documents or certifications 
required from suppliers in connection therewith]EC,CDA,ISR,US ,SWI,NOR[, 
unless such information is already included in the tender 
documentation, which is availa ble at the same time as the notice of 
intended procurement]JPN; 
 
[(h)]EC[(i)]CDA,NOR,US where, pursuant to Article  VIII, a procuring entity intends to select 
a limited number of qualified suppliers to be invited to tender, the 
criteria that will be used to  select them and, where applicable, any 
limitation on the number of suppliers that will be permitted to 
tender ; and 
 
[(i)]EC[(j)]CDA,NOR,US an indication that the procurement is covered by this Agreement.  
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  Summary Notice  
 
3. For each case of intended procu rement, where  the notice of intended procurement is not 
already published in one  of the  official language s of the WTO , a procuring entity shall publish  [in a 
summary notice]EC in one of the WTO languages  [at least the information in 
paragraph  2 (a), (b)[,]EC,SWI [and]CDA,US ,KOR (e/f) [and (g)]EC,SWI.]CDA,US,SWI,EC,NOR ,KOR [[in a paper 
media listed in Appendix  2]ISR. [In addition, t]ISR [T]he notice [may be published also in electronic 
media and contain]ISR [shall contain at least]JPN the following information:  
 
(a) the subject -matter of the procurement;  
 
(b) the time -limits set for the submission of tenders or, where applicable, of applications to 
be invited to tender or for inclusion on multi -use lists ; and 
 
(c) the addresses from which documents relating to the procurement may be 
requested.]JPN,ISR 
 
Notice of Planned Procurement  
 
4. Procuring entities are encouraged to publish as early as possible in each fiscal year a notice 
regarding each procuring entity's future procurement plans . The notice should include the 
subject -matter of the procurement and the planned date of the publication of the notice of intended 
procu rement . When the published information is in accordance with Article  VI:3 (a), a procuring 
entity may apply Article  VI:3 for the purpose of establishing shorter time -periods for tendering of a 
covered  procurement.  
 
5. A procuring entity in [Annex  2 and]US Annex  3 may use a notice of planned procurement as a 
notice of intended procurement provided that it includes as much of the information in paragraph  2 
as is available and a statement that  interested suppliers should express their interest in the 
procurement to the entity . 
 
Article  VI Time -Periods for Tendering  
General  
 
1. [A procuring entity shall ensure that any prescribed time -limit, including any extension of this 
time-limit, is common for all interested  or participating suppliers and is adequa te to allow suppliers 
of other Parties as well as domestic suppliers:  
 
(a) to prepare and submit tenders ; and 
 
(b) where a procuring entity requires suppliers to meet conditions of participation to 
participate in tendering, to submit applications requesting participation.  
 
In determining any such time -limit, a procuring entity shall, consistent with its own reasonable 
needs, take into account such factors as the complexity of the intended procurement, the extent of 
subcontracting antic ipated, and the normal time for transmitting tenders from foreign as well as 
domestic points. ]EC 
 
 [A procuring entity shall provide sufficient time for suppliers to prepare and submit tenders, 
taking into account the nature and complexity of the procureme nt. Such time -limits shall be common 
for suppliers of other Parties as well as domestic suppliers.]CDA,JPN 
 
 [A procuring entity shall provide [sufficient][adequate] time for suppliers to prepare and 
submit applications to participate in a covered procurem ent and responsive tenders[, including any 
extension of the time -periods], [consistent with its own reasonable needs]HKC taking into account 
[such factors as] the nature and complexity of the procurement[, the extent of subcontracting GPA/TN1994/3/Rev.6  
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  anticipated, and the normal time for transmitting tenders from foreign as well as domestic points] . 
Such time -periods shall be common for [all interested or participating] suppliers of other Parties as 
well as domestic suppliers.]US 
 
Deadlines  
 
2. Except as provided for in par agraphs  3 and 4, a procuring entity shall [establish that the final 
date for the submission of tenders shall not be]US,EC [provide  no] less than 40  days:  
 
(a) from the date on which the notice of intended procurement is published [and the tender 
documents are made available]CDA,EC,JPN [to the final date for the submission of tenders ]; 
or 
 
(b) where [the entity has used procedures provided for in Article  VIII:[...] [, whether or not 
it uses a multi -use list,] ] [suppliers are required to  meet conditions for participation in 
advance of the tendering process,]CDA [who meet conditions for participation are invited 
to submit a tender]JPN from the date on which the entity [initially]JPN notifies suppliers 
[that] they will be [permitted ] [invited]JPN to submit tenders [to the final date for the 
submission of tenders ]. 
 
3. Under the following circumstances, a procuring entity may establish a time -period for 
tendering that is less than 40  days [from publication of a notice of intended procurement or an 
invitation to submit tenders, provided that such time -period is sufficient to enable suppliers to 
prepare and submit responsive tenders ] and is in no case less than 10  days [prior to the fina l date 
for submission ]: [The same shall apply to the 25 -day requirement for submitting applications 
specified in Article  VIII:[8].]CT,EC,JPN 
 
(a) where [the procuring entity published]US,EC ,CDA [a separate notice, including]US,CDA,JPN a 
notice of planned p rocurement under Article  V:3 [has been published ]JPN at least 
40 days and not more than 12  months in advance [, [and such notice contains : a 
description of the procurement ; the approximate time-limits for the submission of 
tenders or, when appropriate, appl ications for qualification ; a statement that interested 
suppliers should express their interest in the procurement to the procuring entity ; and 
the address from which documents relating to the procurement may be obtained]US,JPN 
[together with as m uch information under Article  V:2 as is available]EC]; 
 
(b) [in the case of the second or subsequent publication of notices ] where a procuring entity 
publish es a second or subsequent notice based on an initial agreement or 
contract]HKC,EC,US 
 
[(c)]JPN,US [b]CDA,JPN [where the procuring entity procures commercial goods or 
services;]JPN,CDA,US 
 
[(d)] [(c)]CDA,JPN where a state of urgency duly substantiated by the procuring entity 
renders impracticable the periods specified in paragraph  2; or 
 
[(e) when the period for the submission of tenders referred to in paragraph  2, for 
procurements by a procuring entity in [Annex  [2 and] 3], has been fixed by mutual 
agreement between the procuring entity and the selected suppliers . In the absence of 
agreement, the procuring entity may fix periods which shall be sufficient to enable 
responsive tendering].EC 
 
4. A procuring entity may reduce the time -period of 40  days by [no more than]ISR [an increment 
of] five days for [each] [any]ISR one of the following circumstances:  
 
(a) the notice of intended procurement is published electronically ; [or]ISR 
 GPA/TN1994/3/Rev.6  
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  (b) the [complete]EC tender documentation is made available electronically from the date 
of the publication of the notice of intended procuremen t; [and] [or]ISR 
 
[(c) the tenders can be received electronically by the procuring entity ]. 
 
[The use of this provision, however, shall in no case result in the reduction of those time -periods to 
less than 10  days from the date on which the notice of inten ded procurement is published.]EC 
 
[5. Notwithstanding any other time -periods in this Article, where  a procuring entity is purchasing  
commercial goods [or]EC,US,SWI [and]CDA services [and the notice of intended procurement and the 
tender documents are published electronically, and the tenders may be received 
electronically ]EC,US,SWI [and all the circumstances listed in paragraph  4 are met]CDA, the entity may 
reduce the time -period to no less than [10]SWI,EC [5]US,KOR [three]CDA,HKC days[, provided such time 
is adequate to allow suppliers to submit responsive electronic tenders ]EC,US,SWI.]CDA,EC,US,SW I 
 
[6. Where a procuring entity in Annex  [2 or]US,CDA 3 has selected all or a limited number of 
qualified suppliers, the time -period for bidding may be fixed  by mutual agreement between the 
procuring entity and the selected suppliers . In the absence of agreement, the period shall not be 
less than 10  days.]CDA,US 
 
Article  VII Information on Intended Procurements  
Tender Documentation  
 
1. A procuring entity shall provide to suppliers tender documentation that includes all information 
necessary to permit suppliers to prepare and submit responsive tenders . Unless already provided in 
the notice of intended procurement, such documentation shall include a complete  description of:  
 
(a) the procurement, including the nature and the quantity of the goods or services to be 
procured or, where the quantity is not known, the estimated quantity and any 
requirements to be fulfilled, including any technical specifications, c onformity 
certification, plans, drawings or instructional materials;  
 
(b) any conditions for participation of suppliers including a list of information and documents 
that suppliers are required to submit in connection therewith;  
 
(c) all criteria, includin g any cost factors, to be considered in the awarding of the contract, 
and the relative importance of such criteria;  
 
(d) where there will be a public opening of tenders, the date, time and place for the opening 
and, where appropriate, the persons authorize d to be present ; and 
 
(e) any other terms or conditions, including terms of payment and any limitation on the 
means by which tenders may be submitted, e.g. paper or electronic means.  
 
2. In establishing any delivery date for the goods or services being pro cured, a procuring entity 
shall take into account such factors as the complexity of the procurement, the extent of 
subcontracting anticipated and the realistic time required for production, de -stocking and transport 
of goods from the points of supply or fo r supply of services.  
 
3. A procuring entity shall promptly:  
 
(a) provide, on request, the tender documentation to any supplier participating in the 
procurement ; and 
 
(b) reply to any reasonable request for relevant information by a supplier participating in 
the procurement, provided that such information does not give that supplier an 
advantage over its competitors in the procurement.  GPA/TN1994/3/Rev.6  
- 13 - 
   
Technical Specifications  
 
4. A procuring entity shall not prepare, adopt or apply any technical specificatio n or prescribe 
any conformity assessment procedure with the purpose or the effect of creating unnecessary 
obstacles to international trade.  
 
5. In prescribing the technical specifications for the goods or services being procured, a procuring 
entity shall, where appropriate:  
 
(a) specify the technical specification, in terms of performance and functional requirements, 
rather than design or descriptive characteristics ; and [NB: The EC would prefer using 
"or" instead of "and" at the end of this sentence.]  
 
(b) base the technical specification on international standards, where such exist otherwise, 
on [national technical regulations,]CDA,EC recognized national standards or building 
codes[, provided that the notice of intended procurement or the tender documents shall 
state that equivalent solutions shall be considered].EC,SW I 
 
[5bis. Procuring entities [shall] [may]  consider tenders which do not comply with the design or 
descriptive characteristics of the technical specification but do demonstrably meet the requirements 
thereof and are fit for the purposes intended . In this case, t he reference to the technical 
specifications in the tender documents must include words such as "or equivalent".]EC,KOR 
 
6. A procuring entity shall not prescribe technical specific ations that require or refer to a 
particular trademark or trade name, patent, copyright , design or type, specific origin, producer or 
supplier, unless there is no other sufficiently precise or intelligible way of describing the procurement 
requirements and  provided that, in such cases, words such as "or equivalent" are included in the 
tender documentation.  
 
1.  7. A procuring entity shall not seek or accept, in a manner that would have the effect of 
precluding competition, advice that may be used in the prepara tion or adoption of any technical 
specification for a specific procurement from a person that may have a commercial interest in the 
procurement.  
[8. For greater certainty, this Article is not intended to preclude a Party from preparing, adopting, 
or applyi ng technical specifications to promote the conservation of natural resources or protect the 
environment [provided that such technical specifications are consistent with 
paragraphs  4 through  7].JPN,EC]JP,EC,US,SWI ,NOR [NB: Chinese Taipei reserves its positi on on the 
last bracket.]  
 
[8bis. Requirements and evaluation criteria which require subjective assessment or professional 
judgment should be kept to a minimum and should only be used where justified.]HKC 
 
Modifications  
 
[9. Where, [during the course of a procurement]US [prior to the award of a contract]HKC,CDA, a 
procuring entity modifies the criteria or technical requirements set out in a notice or tender 
documentation provided to participating suppliers, [or]US amends or reissues a notice  or tender 
docum entation , it shall transmit all such modifications or amended or re -issued notice [in writing ]CDA 
or tender documentation : 
 
(a) to all the suppliers that are participating at the time the information is amended, if 
known, and in all other cases, in the sam e manner as the original information ; and 
 
(b) in adequate time to allow such suppliers to modify and re -submit amended tenders, as 
appropriate.]CDA,US 
 GPA/TN1994/3/Rev.6  
- 14 - 
  [10.]US [[If, after publication of a notice of intended procurement, but before the time set for 
the opening or receipt of tenders as specified in the notices or the tender documentation, a procuring 
entity amends or re -issues the notice, the entity shall circulate the amendment or the re -issued 
notice in the same manner as the original documents upon whi ch the amendment or re -issued notice 
is based. ]EC [A procuring entity shall provide]US,EC [A]JPN[a]US,ECny significant [additional]EC 
information to [all suppliers at the same time]US,EC [one supplier with respect to a particular intended 
procurement shall  be given simultaneously to all other suppliers concerned]JPN in adequate time to 
permit the suppliers to consider such information and to respond to it].EC,JPN,US,HKC,CDA  
 
Article  VIII [Conditions for Participation]JPN [Qualification of Suppliers]EC,US 
[NB: Parties are still reviewing the structure of this revision . The EC suggests the following 
structure : conditions for participation ; selective tendering ; multi-use lists ; and 
information on procuring entities' decisions . The United States and Canada  suggest the 
following structure : conditions for participation ; multi-use lists ; notice inviting 
applications ; selective tendering ; information on procuring entities' decisions .]  
 
[General Requirements]JPN [Conditions for Participation]EC,US,CDA 
 
1. A pro curing entity shall limit any conditions for participation in a procurement to those that 
are essential to ensure that a supplier has the legal, commercial, technical and financial abilities to 
undertake the relevant procurement.  
 
2. In assessing whether a  supplier satisfies the conditions for participation, a procuring entity 
shall:  
 
(a) evaluate the financial, commercial and technical abilities of a supplier on the basis of 
that supplier's business activities both inside and outside the territory of the P arty of 
the procuring entity[ . Procuring entities shall ensure that conditions for participation 
shall not be less favourable to suppliers of other Parties than to domestic suppliers and 
shall not discriminate among suppliers of other Parties.]HKC[, and ma y not impose the 
condition that, in order for a supplier to participate in a procurement, the supplier has 
previously been awarded one or more contracts by a procuring entity of a given Party 
or that the supplier has prior work experience in the territory of a given 
Party]US,EC,CDA,KOR,NOR,JPN,SWI; and [NB: Hong Kong, China proposes deletion of this 
bracket and suggests a new paragraph 2 bis.] 
 
(b) base its determination on the conditions that the procuring entity has specified in 
advance in notices or tender documentation.  
 
[2bis. If essential for the satisfactory performance of the contracts, the procuring entities may 
specify that the suppliers have prior and relevant working experience in the territory provided that 
this is not used to discriminate a gainst suppliers of any other Parties.]HKC 
 
3. A procuring entity may exclude a supplier on grounds such as bankruptcy, false declarations 
[, significant deficiencies in performance of any substantive requirement or obligation under a prior 
contract]CDA,US ,KOR, convictions for criminal offences, [professional misconduct]EC,NOR or failure to pay 
taxes.  
  GPA/TN1994/3/Rev.6  
- 15 - 
  Multi-Use Lists  
 
1. Where a procuring entity maintains a multi -use list of suppliers [that have satisfied the 
conditions for participation]EC,CDA[, and the list can be used by such suppliers to prove that they meet 
some or all of the conditions for participation in respect of more than one procurement,]EC,SWI,NOR the 
entity shall annually publish [or otherwise make available continuously in electronic for m]US,CDA,KOR,JPN 
a notice [inviting interested suppliers to apply for inclusion on the list]CDA,US,JPN in [one o f the]EC [the 
appropriate]CDA,JPN,US publication[s]EC listed in Appendix  III. The notice shall include:  
 
(a) a description of the goods and serv ices, or categories thereof, for which the list may be 
used;  
 
(b) the conditions for participation to be satisfied by suppliers and the methods that the 
procuring entity will use to verify a supplier's satisfaction of the conditions;  
 
(c) the name and addr ess of the procuring entity and other information necessary to contact 
the entity and obtain all relevant documents relating to the list;  
 
(d) the period of validity of the list and the means for its renewal or termination[, or where 
the period of validity  is indefinite, an indication of the method by which notice will be 
given of the termination of use of the list]CDA,US,JPN; and 
 
(e) an indication that, for procurement covered by this Agreement, the list may be used.  
 
[2. The notice  referred to in paragraph 1 may be published only once, at the beginning of the 
validity of the list, provided that:  
 
(a) the period of validity is three years or less and is stated in the notice ; [and]US 
 
(b) the notice states that further notices will no t be published[.]US; and 
 
(c) this provision is not be used to circumvent the provisions of this Agreement. ]EC,US,NOR,SW I 
[NB: Canada, Singapore and Japan  question the extent to which this paragraph 
is compatible with paragraph  5, which foresees an annual publication.]  
 
3. A procuring entity shall allow suppliers to apply at any time for inclusion on a multi -use list 
and shall include on the list all suppli ers that satisfy the conditions for participation within a 
reasonably short time.  
 
[4. Notwithstanding the use of a multi -use list, procuring entities in Annexes 1 and 2 shall publish 
a notice of intended procurement in respect of each procurement and shal l comply with, inter alia, 
the provisions of paragraphs 1 through 5 of [Selective Tendering] in respect of each procurement.]EC 
 GPA/TN1994/3/Rev.6  
- 16 - 
  [Qualification and Registration Procedures]US,KOR 
 
[5. Each Party shall ensure that:  
 
(a) each procuring entity and its constituent parts follow a single qualification procedure, 
except in cases of duly substantiated need for a different procedure ; and 
 
(b) efforts be made to minimize differences in qualification [and registration]KOR procedures 
between procuring entities.]SWI,EC,NOR,KOR 
 
[Annex [2 and]US,CDA 3 Entities]CDA,EC,US  
 
6. A procuring entity listed in Annexes  [2]US or [3]SWI,US,CDA,NOR,EC may use a notice inviting 
suppliers to apply for inclusion on a multi -use list as a notice of intended procurement, provided 
that: 
 
(a) the notice sets out, in addition to the information required in paragraph  1 of [Multi -use 
Lists], as much of the information required in Article  V:2 as is available and contains a 
statement that it constitutes a notice of intended procurement [or that only the suppliers 
on the multi -use list will receive further notice of procurements that are covered by the 
multi-use list]US,CDA; 
 
(b) the entity promptly provides to suppliers that have expressed an interest to the entity 
in a given procurement, su fficient information to permit them to have a meaningful 
opportunity to assess their interest in the procurement, including all remaining 
information required in Article  V:2, to the extent such information is available ; and 
 
[(c) a supplier having applied for inclusion on a multi -use list in accordance with 
paragraph  [5 of [Selective Tendering]]SWI[3 of [Multi -use Lists]]EC shall be entitled to 
tender in a given procurement, if there is sufficient time to examine whether it satisfies 
the conditions for part icipation].EC,SWI 
  GPA/TN1994/3/Rev.6  
- 17 - 
  [Notice Inviting Applications  
 
 A procuring entity that issues a separate notice inviting applications from suppliers to meet 
conditions for participation shall publish the notice in the appropriate publication listed in 
Appendix  III. Such notice shall include the information in Article V:2(a), (b), (g) and (h).]CDA,US,JP N 
[NB: It only incorporates agreed text in V:2 . Canada and the United States believe that 
consideration should be given to incorporating this paragraph in to [Selective Tendering].]  
  GPA/TN1994/3/Rev.6  
- 18 - 
  [Selective Tendering]EC,US [Notice Inviting Applications]JPN 
 
1. [Except where a notice of a multi -use list or a separate notice inviting applications to meet 
conditions for participation has been [published or]JPN readily acce ssible in electronic form for a 
reasonable period of time, a]CDA,US,JPN [[A]EC procuring entity that intends to limit the submission of 
tenders to all qualified suppliers or to a limited number of qualified suppliers selected by the 
procuring entity in adv ance of the deadline for submitting tenders shall publish the time limit for 
submitting applications in the notice [of intended procurement]EC.]EC,CDA,US  
 
[2. Where the tender documents are not made publicly available from the date of publication of 
the notice of intended procurement, the procuring entity shall ensure that those documents are 
made available at the same time to all qualified or to a limited number of qualified suppliers.]EC,SWI  
 
[3. A procuring entity shall provide a suf ficient period of time for suppliers to prepare and submit 
applications.]US [Such time -limit shall be as a rule, at least 25  days from the date of publication of 
the notice of intended procurement, except in the circumstances foreseen under 
Article  VI:3, 4 and 5 [where it does not use a multi -use list]JPN,KOR.]EC,SWI,JPN,KOR 
 
4. A procuring entity shall allow all domestic suppliers and suppliers of other Parties that satisfy 
the conditions for participation in a particular procurement to submit a tender, un less[, consistent 
with the efficient operation of the procurement system, ]EC the entity intends to [set a time -limit for 
submitting applications to recognize suppliers as having satisfied the conditions for participation in 
a procurement or]KOR [select a limited number of qualified suppliers]EC,US,CDA,SWI,NOR. In such case[s], 
the entity shall[:  
 
(a)] [state]US [indicate]EC in the notice of intended procurement or, where publicly available, 
in the tender documentation,  any limitation on the numb er of suppliers that will be 
permitted to tender and the [objective and non -discriminatory]EC,SWI,NOR criteria for such 
limitation[ ; and]EC,SWI[.]US,CDA 
 
[(b) comply with the provisions of paragraphs 1 through 3 of [Selective Tendering].]EC,SWI 
 
5. [Where a supplier submits an application for recognition that it has satisfied the conditions for 
participation, and all other requested documents relating thereto, within the time -limit [referred to 
in paragraph 3 of [Selective Tendering]]EC,SWI, a procuring ent ity shall examine it and may not 
exclude the supplier from consideration in respect of the procurement on the grounds that the 
procuring entity has insufficient time to examine the application[, unless due to the complexity of 
the procurement the entity is  not able to complete the examination of the application]HKC,US [within 
the time -period allowed for tendering]US [before commencement of tendering]HKC. [The process of, 
and time required for, verifying if such suppliers satisfy the conditions for participa tion shall not be 
used to exclude such suppliers from being considered for the procurement.]EC,SWI,KOR] 
 
6. [The time -period provided for in paragraph [8] may be reduced to [10] days where:  
 
(a) the conditions for participation for a procurement are the same as or a sub -set of the 
conditions for participation for a multi -use list;  
 
(b) the procurement is for commercial goods or services ; and 
 
(c) the procuring entity has published a notice establishing that multi -use list for at least 
[25] days and that n otice has remained readily accessible in electronic form since its 
initial date of publication.]US 
  GPA/TN1994/3/Rev.6  
- 19 - 
  Information on Procuring Entities' Decisions  
 
[1. [Where a procuring entity has required suppliers to apply for recognition that they have 
satisfied the conditions for participation in accordance with paragraphs  [], the]CDA,US [A procuring]EC 
entity shall  promptly inform all such suppliers of its decision and, on request from a supplier, 
promptly provide it with a written explanation of the r easons for the procuring entity's decision [to:  
 
(i) accept or reject the supplier's application[.]CDA for recognition of satisfaction of 
conditions for participation, or for inclusion on a multi -use list ; or 
 
[(ii) cease to recognize a supplier as satisfy ing the conditions for participation for a 
procurement or for inclusion on a multi -use list.]EC,SWI] 
  GPA/TN1994/3/Rev.6  
- 20 - 
  [Article  IX Negotiation  
1. A Party may provide for its procuring entities to conduct negotiations:  
 
(a) in the context of procurements in which they have  indicated such intent in the notice of 
intended procurement in paragraph  2 of Article  V; or 
 
(b) where it appears from the evaluation that no one tender is obviously the most 
advantageous in terms of the specific evaluation criteria set forth in the notices or tender 
documentation.  
 
2. A procuring entity [shall treat tenders in confidence . In particular, it]EC,ISR,SW I [shall not provide 
information intended to assist particular participants to bring their tenders up to the level of other 
participants. ]EC,ISR,SW I,CT [NB: Canada , the US  and Korea believe that this issue is already 
addressed by Article s XI:2 and XIII:3, and suggest to delete this paragraph.]  
 
3. A procuring entity shall ensure that any elimination of tenderers in negotiations is carried out 
in accordance with the criteria set out in the notices or tender documentation.  
 
4. A procuring entity shall transmit, in writing, any modifications to the criteria made in the 
course of negotiations to tenderers whose tenders have not yet been  eliminated according to the 
criteria set out in the notices or tender documentation, and when negotiations are concluded will 
provide a common deadline for the remaining tenderers to submit any new or revised tenders. ] 
[NB: The US and Canada suggest delet ing the entire Article  as its substance is covered 
elsewhere . Hong Kong, China ; EC; Switzerland ; and Korea disagree as they consider that 
this Article is important on the substance and not all its elements are found elsewhere. ] 
 
Article  X Limited Tendering  
1. Provided that it does not use this provision for the purpose of avoiding competition among 
suppliers or in a manner that discriminates against suppliers of the other Parties, or that protects 
domestic suppliers, a procuring entity may [contact a suppli er or suppliers of its choice]CDA,JPN [use 
a limited tendering procedure]EC,US,NOR,SWI and may choose not to apply Articles  [...] in the following 
circumstances : [NB: Canada , Japan and the US propose mat ching the Articles in the current 
Agreement . The EC is still considering if all Articles mentioned in the current Agreement 
are relevant. ] 
 
(a) provided that the requirements of the tender documentation are not substantially 
modified:  
 
(i) where no tenders were submitted or no suppliers applied to meet the conditions 
for participation;  
 
(ii) where no tenders that conform to the essential requirements of the tender 
documentation were submitted;  
 
(iii) where no suppliers satisfied the conditions for participation ; or 
 
(iv) where the tenders submitted have been collusive;  
 
(b) where the goods or services can be supplied only by a particular supplier and no 
reasonable alternative or substitute goods or services exist for the following reasons:  
 
(i) the requirement is for a work of art;  GPA/TN1994/3/Rev.6  
- 21 - 
   
(ii) the protection of  patents, copyrights or other exclusive rights[, or proprietary 
information]US,CDA,JPN; or [NB: The EC is wondering what is the extent or 
definition of proprietary information.]  
 
(iii) due to an absence of competition for technical reasons;  
 
(c) for additi onal deliveries of goods or services by the original supplier that are intended 
either as replacement parts, extensions, or continuing services for existing equipment, 
software, services or installations, where a change of supplier would compel the entity 
to procure goods or services [ [either]EC not meeting requirements of interchangeability 
with [or not operable with]EC existing equipment, software, services, or 
installations]JPN,KOR,EC [that would : [NB: Switzerland notes that the relationship 
between (c)  and (g) needs further scrutiny.]  
 
(i) alter the operation or use of the existing goods or services ; or 
 
(ii) due to the change of goods or services, require existing equipment or services to 
be altered;]CDA,US 
 
(d) in so far as is strictly necessary where, for reasons of extreme urgency brought about 
by events unforeseeable by the procuring entity, the goods or services could not be 
obtained in time under tendering procedures consistent with Articles  []; 
 
(e) for goods purchased on a commodity market ; or 
 
(f) where a procuring entity procures a prototype or a first good or service that is developed 
at its request in the course of, and for, a particular contract for research, experiment, 
study or original development . Original developme nt of a first good or service may 
include limited production or supply in order to incorporate the results of field testing 
and to demonstrate that the good or service is suitable for production or supply in 
quantity to acceptable quality standards , but does not include  quantity production or 
supply to establish commercial viability or to recover research and development costs;  
 
(g) where additional [construction]JPN,CDA,US ,KOR services which were not included in the 
initial procurement but which were withi n the objectives of the original tender 
documentation have, through unforeseeable circumstances, become necessary to 
complete the services described therein, and the entity needs to award contracts for 
the additional services to the contractor carrying out  the services concerned since the 
separation of the additional services from the initial procurement would be difficult for 
technical or economic reasons and cause significant inconvenience to the procuring 
entity . However, the total value of contracts awa rded for the additional services may 
not exceed 50  per cent  of the amount of the main procurement ; [NB: Switzerland, 
Norway and the EC question why this should be limited to construction .] 
 
(h) for new [construction]JPN,CDA,US ,KOR services consisting of th e repetition of similar services 
which conform to a basic project for which an initial contract was awarded following an 
open or selective procurement method and for which the procuring entity has indicated 
in the notice of intended procurement concerning the initial service, that a limited 
procurement method might be used in awarding contracts for such new services;  
 
(i) for purchases made under exceptionally advantageous conditions which only arise in 
the very short term in the case of unusual disposals s uch as arising from liquidation, 
receivership or bankruptcy and not for routine purchases from regular suppliers ; and 
 GPA/TN1994/3/Rev.6  
- 22 - 
  (j) in the case of a contract awarded to a winner of a design contest provided that:  
 
(i) the contest has been organized in a manner that is consistent with the principles 
of this Agreement, notably as regards the publication of a notice of intended 
procurement ; and 
 
(ii) the participants are judged by an independent jury with a view to a design 
contract being awarded to [a] winner. 
 
2. A procuring entity shall prepare a report in writing on each contract awarded under 
paragraph  1. Each such report shall include the name of the procuring entity, the value and kind of 
goods or services procured and a statement indicating the circum stances and conditions described 
in paragraph  1 that justified the use of such procedures.  
 
Article  XI Treatment of Tenders and Contract Awards  
Receipt and Opening of Tenders  
 
1. A procuring entity shall receive and open all tenders under procedures that guarantee the 
fairness and impartiality of the procurement process.  
 
2. A procuring entity shall treat tenders in confidence at least until the award of the contract.  
 
3. A procuring entity shall not penalize any supplier whose tender is re ceived after the time 
specified for receiving tenders if the delay is due solely to mishandling on the part of the procuring 
entity.  
 
4. When a procuring entity provides suppliers with opportunities to correct unintentional errors 
of form between the openi ng of tenders and the awarding of the contract, the procuring entity shall 
provide the same opportunities to all participating suppliers.  
 
Awarding of Contracts  
 
5. To be considered for award, a tender must be in writing and must, at the time of opening, 
comply with the essential requirements of the notices and tender documentation and be from a 
supplier that satisfies any conditions for participation.  
 
6. A procuring entity shall not use option clauses in a manner that circumvents the provisions of 
this Ag reement.  
 
7. Unless a procuring entity determines that it is not in the public interest to award a contract, 
it shall award the contract to the supplier that the entity has determined to be fully capable of 
undertaking the contract and whose tender is eith er the lowest price or the tender that the entity 
has determined to be the most advantageous solely on the basis of the requirements and evaluation 
criteria specified in the notices or tender documentation.  
 
2.  8. Where a procuring entity receives a tender wi th a price that is abnormally lower than the 
prices in other tenders submitted, it may verify with the tenderer that it can comply with the 
conditions of participation and be capable of fulfilling the terms of the contract.  
[9. A procuring entity shall not  cancel a procurement or modify awarded contracts in a manner 
that circumvents the obligations of this Agreement.]US,EC,NOR,JPN,SWI 
 GPA/TN1994/3/Rev.6  
- 23 - 
  [Article  XIbis Use of Electronic Means ] 
[NB: Switzerland supports this new Article and is reviewing the text in detail . Israel is still 
considering this proposed Article . Canada is questioning whether  2 (b), 2 (d) and 3 (d) 
are necessary.]  
 
1. [Procurement covered by this Agreement conducted, exclusively or not, by electronic means 
shall be subject to the provisions  of this Agreement.]EC,SGP,KOR,JPN,SWI 
 
2. Where a procuring entity intends to conduct a procurement using electronic means, either 
wholly or partially, it shall:  
 
[(a) indicate in the notice of intended procurement its intention to require that tenders be  
submitted by electronic means ;]EC 
 
(b) ensure that any means and tools used for communicating electronically including 
authentication, integrity of data and encryption are [non -discriminatory] [.]JPN, 
[generally available and interoperable with the information and communication 
technology products in general use and will not impose an unreasonable burden on 
other Parties' suppliers access to the tendering procedure] ; [NB: Canada and the US 
have reservations on th is subparagraph .] 
 
(c) ensure that all  information necessary to permit potential suppliers to meet the 
specifications for using the necessary electronic means and tools is available to 
interested parties and is included by the procuring entity in the tender documentation ; 
and [NB: Canada and t he US wonder whether this should be a paragraph  2 in 
Article  VII.]  
 
(d) use mechanisms which clearly and unambiguously guarantee that, pending the expiry 
of the deadlines set, the integrity of data is preserved, access to tenders and request 
to participate  is prohibited and the timing of receipt of tenders and request to participate 
is accurately established.  
 
3. [A procuring entity that intends  to hold an electronic auction in a ] [A]US covered procurement 
[may be conducted by electronic auction, provided that the procuring entity]US shall: [NB: Japan 
and Israel are wondering whether the requirements of confidentiality allow for the use of 
electronic auction . The EC believes that there is no contradiction between the running of 
an electronic auctio n and requirements of confidentiality. ] 
 
[(a) state their intention to use electronic auctions in the notice of intended procurement; ] 
[NB: Canada wonders whether this is not already addressed by Article  V:2.]  
 
(b) indicate in the tender documents the features on which the electronic auction will be 
run, provided that such features are quantifiable and can be expressed in figures or 
percentages, and the conditions and rules under which the auction will be carried out ; 
[NB: Canada and the US believe this  should be located in Article  VII relating to 
evaluation criteria.]  
 
(c) provide participants, before starting the electronic auction, with the evaluation factors 
that will be used, including [any]US [the]EC mathematical formula determining the 
automatic r anking during the electronic auction when the contract is to be awarded on 
the basis of the most economically advantageous tender ; [NB: Canada believes this 
should be located in Article  VII relating to evaluation criteria.]  
 
[(d) ensure that electronic auctions operate in full accordance with the general principles of 
this Agreement, in particular, equal treatment, non -discrimination and transparency. ]EC 
 GPA/TN1994/3/Rev.6  
- 24 - 
  [4. A procuring entit y shall ensure [that all stages of the procurement procedure] [ full traceability 
of the [conduct of a procurement]SWI,US [award procedures ]] conducted by electronic 
[auction]US,SWI ,SGP [means  remain fully traceable for a period of at least three years from the award 
of the contract ]EC.]EC,US ,KOR [NB: Japan , the US , Korea and the EC suggest to include some 
time-limit for traceability . Canada, the US and Singapore wonder whether this is not 
addressed in Article  XII:4.] 
 
Article  XII Transparency of Contract Award Information  
Information Provided to Suppliers  
 
1. A procu ring entity shall promptly inform [participating]EC,NOR suppliers [that have submitted 
tenders]CDA,JPN,US ,HKC,KOR of the entity's contract award decisions [ and, on request, in writing] .EC,SW I,NOR 
Subject to Article  XIII, a procuring entity shall, on request, provide an unsuccessful supplier with an 
explanation of the reasons that the entity did not select its tender and the relative advantages of 
the successful supplier's tender.  
 
Publication of Award Information  
 
2. Not later than 72  days after the a ward of each contract covered by this Agreement, a procuring 
entity shall publish a notice in an officially designated publication listed in Appendix  II that may be 
in an electronic or paper medium . Where only an electronic medium is used, the information shall 
remain readily accessible for a reasonable period of time . The notice shall include at least the 
following information:  
 
(a) a description of the goods or services procured;  
 
(b) the name and address of the procuring entity;  
 
(c) the name and address of the successful supplier;  
 
(d) the value of the successful tender or the highest and lowest offers taken into account 
in the award of the contract;  
 
(e) the date of award ; and 
 
(f) type of procurement method used, and in cases where limited tende ring was used 
pursuant to Article  [X (Limited Tendering) ], a description of the circumstances justifying 
the use of such procedure.  
 
Provision of [Award ] Information to Parties  
 
3. On request of any other Party, [and subject to Article  XIII:[2]  [1]EC]EC without prejudice to 
the provision under Article  XVIII [Dispute Settlement ], a Party shall provide promptly such 
information on the [procurement and]EC award of a contract, including information on the 
characteristics and relative advantages of the successfu l tender and on the contract price, as may 
be necessary to determine whether the procurement was conducted fairly, impartially and in 
accordance with this Agreement.  [In cases where release of this information would prejudice 
competition in future tenders,  t]EC,SWI [T]he Party that receives t hat information shall not disclose  it 
to any supplier, except after consultation with, and agreement of, the Party that provided the 
information . 
 
Maintenance of Documentation and Reports  
 
4. Each procuring entity shall maintain documentation and reports of tendering procedures and 
contract awards relating to covered procurement, including the reports provided for in Article  [X GPA/TN1994/3/Rev.6  
- 25 - 
  (Limited Tendering) ], and shall retain such documentation and repor ts for a period of at least 
three  years from the award of the contract.  
 
Collection and Report of Statistics  
 
5. Each Party shall collect and report to the Committee statistics on its contracts covered by this 
Agreement . Each report shall cover one  year an d be submitted within two  years of the end of the 
reporting period, and shall contain:  
 
(a) For Annex  1 procuring entities:  
 
(i) the number and total value, for all such entities, of contracts covered by this 
Agreement;  
 
(ii) the number and total value of all contracts covered by this Agreement awarded 
by such entities, broken down by [categories of] goods and services [according 
to a[n internationally recognized]CDA,US uniform classification system] ; and [NB: 
Switzerland suggests the deletion of " by categories of goods and services 
according to an internationally recognized uniform classification 
system" ; this should be left optional to Members depending on the use 
they may have from these statistics.]  
 
(iii) the number and total value of contracts  covered by this Agreement awarded by 
each such entity under limited tendering ; 
 
[(iv) the total value of contracts awarded under derogations to the Agreement 
contained in the relevant Annexes.]CDA 
 
(b) For Annex  2 and 3 procuring entities , the number and total value of contracts covered 
by this Agreement awarded by all such entities, broken down by Annex . 
 
(c) Where data to be provided under subparagraph  [(a) and]EC,US,JPN (b) is not available, 
estimates shall be provided.  
 
6. Where a Party publishes its s tatistics on an official website, the Party may substitute a 
notification of the website address for the submission of the data, with any instructions necessary 
to access and use such statistics.  
 
7. Where a Party requires notices concerning awarded contracts, pursuant to Article  XII:2, to be 
published electronically and where such notices are accessible to the pub lic through a single database 
in a form permitting [automatic ] analysis  of the covered contract s, the Party may substitute a 
notification o f the website address for the submission of the data, with any instructions necessary 
to access and use such data.  
 
Article  XIII Non-Disclosure of Information  
1. Notwithstanding any other provision of the Agreement, a Party or a procuring entity may not 
provide information to a particular supplier that might prejudice fair competition between suppliers.  
 
2. Nothing in this Agreement shall be construed to require a Party or procuring entity [or an 
authority or review body under Article  XVII [or XVIII]EC]EC,US to release [confidential]CDA,JPN 
information under this Agreement where release:  
 
(a) would impede law enforcement;  
 
(b) might prejudice fair competition between suppliers;  
 GPA/TN1994/3/Rev.6  
- 26 - 
  (c) would prejudice the legitimate commercial interests[, including the protection of 
intellectual property,]CDA,US,JPN of particular persons ; or 
 
(d) would otherwise be contrary to the public interest.  
 
[except to the extent that it may be required to be disclosed in the context of proceedings under 
Articles  XVII or XVIII.]EC 
 
Article  XIV Developing Countries  
1. In negotiations on accession to, and in the implementation and administration of, the 
Agreement, the Parties shall take special consideration of developing countries' and least -developed 
countries' ( collectively referred to hereafter as "developing countri es") development, financial and 
trade needs and circumstances, recognizing that these may differ significantly from country to 
country . In this context, the Parties shall give due consideration to requests by a developing country 
for transitional measures with regard to its market access commitments under paragraph  3, as well 
as its implementation of the procedural obligations of the Agreement under paragraph  5. As provided 
for in this Article, t he Parties [: 
 
(a)]US,JPN shall accord special and differential  treatment  to[: (a)]EC,NOR,SWI least-developed 
countries [and [other ] developing countries]SWI,ISR,KOR[.]ISR,KOR[; and 
 
(b) [may accord such treatment  to]US any other developing country [, where and to the 
extent that [the Parties determine that]US [this]EC,NOR special and differential treatment  
[is necessary for that country's]US [meets  its]EC,NOR [responds to its]JPN development 
needs .]EC,US,SWI ,JPN,NOR ,ISR 
 
[bearing in mind the importance attached to the concept of development, in particular as it refers 
to small and medium enterprises from developing countries, the Parties shall give due consideration 
to a request by a developing country to invoke the use of "offsets" as defined in Article I and under 
the conditions stated below.]ISR 
 
2. [Subject to the coverage that a developed country Party has negotiated with an acceding 
developing country, the]SWI,US ,JPN [Each]EC,NOR developed country Party shall provide immediately to 
the goods, services and suppliers of the acceding developing  country the most favourable treatment 
offered by that developed country Party under Appendix  I upon accession of the developing country.  
[However, with respect to a developing country other than a least -developed country, where the 
Parties have agreed to  [the partial or total exclusion of a specific sector or entit ies]EC,US,JPN 
[transitional measures,]SWI provided for in paragraph  3 for such country, in order to maintain 
appropriate reciprocal [trade] opportunities under the Agreement, any Party may agree with the 
acceding country to limit the scope of coverage that the Party provides to that country during the 
agreed transition period . Any such limitations shall be clearly identified in the Committee's accession 
decision and in each Party's Annexes or Note s to Appendix  I. 
 
3. Based on its development needs, and with the agreement of the Parties, a  developing country 
may [adopt or]EC,US retain  [transitional] measures with a phase -out schedule set out in an Annex to 
its Appendix  I upon its accession to the Agreement  during an agreed -upon transition period . Such 
measures may include:  
 
(a) price preference programmes, provided that the price preference programme:  
 
(i) provides a preference only for the part of the tender incorporating goods or 
services originating in the Party applying the preference or goods or services 
originating in other developing countries that have preferential agreements with 
the Party applying the preference ; and 
 
(ii) is transparent, and its application is clearly stated in not ices of intended 
procurement and notices inviting suppliers to apply for participation in 
procurement covered by the Agreement ; [and]EC 
 
(b) offsets, provided that:  GPA/TN1994/3/Rev.6  
- 27 - 
   
(i) any requirement for, or consideration of, the imposition of offsets is clearly stated 
in notices of intended procurement and notices inviting suppliers to apply for 
participation in procurement covered by the Agreement ; and 
 
(ii) the offsets are applied in a non -discriminatory [and fair]JPN manner ; [or]SWI 
 
[(c) higher thresholds ; and]US,CDA 
 
(d) [limitations on its coverage such as ]SWI [in exceptional cases [and when duly justified 
by the acceding developing country]EC,]EC,US ,CDA the partial or total exclusion of a specific 
sector or entities.  
 
[4. The agreed -upon transition period shall not exceed 10 years for developing countries and 
20 years for least -developed countries. ]EC 
 
5. In order for a developing country [Party] to bring its measures into conformity with [Articles 
[..] of]CDA the Agreement, it may, w ith the agreement of the Parties, apply a specified 
implementation period, which shall be:  
 
(a) for a least -developed country [Party], [three] years from the entry into force of the 
Agreement for that Party ; and 
 
(b) for any other developing country [Party], the period necessary to adopt measures 
relating to [specific provisions of]US,CDA,JPN the Agreement,  
 
provided that the developing country [ Party] complies with Article  III [[national treatment and ]EC 
non-discrimination ]. [NB: Canada suggests to delete this last part of the paragraph.]  
 
6. At the end of the transition period, provided for in paragraph  3, and the implementation 
period, provided for in paragraph  5, the developing country Party shall fully com ply with the 
Agreement.  
 
7. Any developing country [Party] that has been permitted to apply an implementation period 
under paragraph  5 shall list in an Annex to its Appendix  I the implementation period[, and where 
applicable, specific procedural obligation s and any interim measures that it will take with regard to 
those obligations]SWI,US ,CDA,EC. 
 
8. After the Agreement has entered into force for a developing country Party, the Committee, on 
request of the developing country Party [, and with a three -fourths  majority vote, ]EC,SWI ,KOR may: 
(a) extend the transitional period for measures permitted under paragraphs  3 or 5 where a 
developing country Party demonstrates a need for an extension of the transitional 
measure ; or 
 
(b) approve the application of a new tr ansitional measure in special circumstances 
unforeseen during the accession process, provided that the measure is consistent with 
paragraph  3. [NB: Hong Kong, China suggests to review this subparagraph in 
the light of the final version of paragraph 3.]  
 
9. A Party benefiting from a transitional measure provided for under paragraphs  3 or 5 shall take 
such steps as may be necessary to ensure the fulfilment of all of its obligations at the end of any 
transitional period . The Party shall notify the Committee of  such steps, including any special technical 
cooperation needs.  
 
10. During a developing country 's accession process or after the entry into force of this Agreement 
for that country, the Parties shall give due consideration to any request by such country f or technical 
cooperation in relation to that country 's implementation of this Agreement.  
 
[11. Each [developed]JPN Party shall establish a  contact point to respond to reasonable requests 
from a developing country Party for information related to the Party' s efforts to fully benefit from its GPA/TN1994/3/Rev.6  
- 28 - 
  participation in the Agreement . Such information may include information relating to procurements 
plans, procedures or requirements with respect to covered procurement. ]US,SWI ,JPN,KOR 
 
12. The GPA Committee  shall review the operation and effectiveness of this Article every 
five years.  
 
Article  XV Exceptions to the Agreement  
1. Nothing in this Agreement shall be construed to prevent any Party from taking any action or 
not disclosing any information that it co nsiders necessary for the protection of its essential security 
interests relating to the procurement of arms, ammunition or war materials, or to procurement 
indispensable for national security or for national defence purposes.  
 
2. Subject to the requiremen t that such measures are not applied in a manner that would 
constitute a means of arbitrary or unjustifiable discrimination between Parties where the same 
conditions prevail or a disguised restriction on international trade, nothing in this Agreement shall  
be construed to prevent any Party from imposing or enforcing measures:  
 
(a) necessary to protect public morals, order or safety;  
 
(b) necessary to protect human, animal or plant life or health;  
 
(c) necessary to protect intellectual property ; or 
 
(d) relating to goods or services of handicapped persons, of philanthropic institutions or of 
prison labour.  
 
[3. The Parties understand that paragraph  2(b) includes environmental measures necessary to 
protect human, animal or plant life or health]CDA,US [or natural resources].CT]US,CDA,C T [NB: Hong 
Kong, China ; Korea; the EC ; and Japan considered this paragraph not necessary, given 
paragraph  2(b).]  
 
[4. [Having regard to general policy considerations relating to tied aid, including the objective of 
developing countries with respect to untying of such aid, this Agreement does not apply to 
procurement made in furtherance of tied aid to developing countries so long as it is practised by 
Parties.]SWI,JPN,KOR [NB: Location needs to be reconsidered . Norway propose s to delete this 
paragraph. ] [Market Access Issue ] 
 
[Article  XVI Modifications and Rectifications to Coverage  
[NB: Parties are still reviewing this compromise language proposed by the United States.]  
 
Notification of Proposed Modification  
 
1. A Part y shall notify the Committee [of]US any rectification, transfer of an entity from one Annex 
to another, withdrawal [of an entity]US, or other modification (referred to generally in this Article as 
"modification") of Appendices I through IV . The Committee s hall circulate the notification to the 
Parties to the Agreement . The Party proposing the modification ("modifying Party") shall include in 
the notification:  
 
(a) for proposed [withdrawals of an entity from]US [modifications, of]EC Appendix I 
[in exercise o f its rights]JPN [in the exercise of a Party's right]EC on the grounds that 
government control or influence [over it]US has been effectively eliminated[, including 
by virtue of liberalisation]EC, evidence that such government control or influence has 
been effectively eliminated, including information that addresses, as appropriate, the 
indicative criteria developed by the Committee in accordance with paragraph [10] ; or 
 
(b) for other proposed modifications, information as to the likely consequences of the 
change for the mutually agreed coverage provided in this Agreement[, as 
appropriate]JPN. 
 GPA/TN1994/3/Rev.6  
- 29 - 
  Objection to Notification  
 
2. Where a Party whose rights under this Agreement may be affected (referred to in this Article 
as an "affected Party") by a proposed modification notified under paragraph 1 submits to the 
Committee an objection in writing to the proposed modification within [45]US,CDA[30]KOR days, the 
Committee shall circulate the objection, and the modifying Party and the affected Party 
[shall ]US,KOR,JPN [may]EC seek to resolve the objection through consultations . In such consultations, 
the Parties concerned shall consider the proposed modification and, in the case of a notification 
under paragraph 1(b), any claim for compensatory adjustments[,  as appropriate]JPN, with a view to 
maintaining a balance of rights and obligations and a comparable level of mutually agreed coverage 
provided in this Agreement prior to such notification.2 
 
3. If no Party submits to the Committee an objection in writing  to the proposed modification 
within [45]US,CDA[30]KOR days, the proposed modification shall become effective[.]EC [[30] days after 
the end of the [45]US,CDA[30]KOR-day period.]US 
 
Arbitration  
 
4. If the [modifying Party and those]EC Parties [who have obje cted]EC [participating in 
consultations under paragraph 2]US are [not]US [un]ECable to reach agreement within [120] days 
from the date of circulation of the [first]EC objection  [or at any earlier date agreed by the Parties]KOR, 
[any objecting ]EC [the modif ying]US Party may refer the matter to arbitration[, by notifying the 
Chairman of the GPA Committee]EC. [If no objecting party refers the matter to arbitration within 120 
days from the date of circulation of the first objection, the proposed modification shall become 
effective.]EC Where a proposed modification has been referred to arbitration, any affected Party 
[which has submitted an objection and]EC that wishes to enforce a right [to compensation]EC that it 
may have must participate in the arbitration . If the Parties participating in the arbitration cannot 
agree on an arbitrator within 10 days after referring the matter to arbitration, the Director -General 
shall appoint the arbitrator within 10 days, after consulting the Parties.3 
 
[4bis. Arbitration pursuant to this Article shall be the exclusive means to resolve any dispute arising 
with respect to the conformity of a proposed modification with this Article, the level of compensatory 
adjustment necessary to maintain the balance of rights an d obligations and a comparable mutually 
agreed coverage provided in this Agreement consequent upon a modification made pursuant to this 
Article, or the withdrawal of substantially equivalent benefits pursuant to paragraph [9].]EC,KOR 
 
5. In the case of a p roposed [withdrawal]US [modification]EC under paragraph 1(a), the arbitrator 
shall determine whether government control or influence [over the entity proposed to be 
withdrawn]US has been effectively eliminated.  [The modifying Party shall have the burden of  making 
a prima facie  case demonstrating that government control or influence over the entity has been 
effectively eliminated.]US,NO R [If the arbitrator determines that government control or influence has 
been effectively eliminated, the modifying party ma y implement the proposed modification without 
providing any compensatory adjustment . If the arbitrator determines that government control or 
influence has not been effectively eliminated, the modifying party may implement the proposed 
modification by offer ing adequate compensatory adjustment . The modifying party may request 
arbitration to determine the level of compensatory adjustment to be offered . The arbitrator's 
determination shall be issued within 60 days from the request for arbitration.]EC 
 
6. In the  case of any other proposed modification, the arbitrator shall determine the level of 
compensatory adjustments necessary to maintain the balance of rights and obligations and a 
comparable level of mutually agreed coverage provided in the Agreement [also de termine whether 
the proposed modification is of a purely formal or minor nature]JPN. [Each Party participating in the 
arbitration shall bear the burden of proving what it believes to be the appropriate level of 
compensatory adjustments.]US 
 
7. The arbitrat or [normally]US shall issue [its]US [a reasoned]EC determination [and a report of 
the reasons therefore]US to the Parties to the arbitration and to the Committee within [90] days of 
 
2 [Negotiator's note:  The Parties may need to consider how implementation would proceed in the event 
that the modifying Party and the objecting Party are able to resolve the dispute through consultations.]  
3 The expression "arbitrator" shall be interpreted as referring either to an individual or a group.  
[Arbitrators shall be drawn from the same body of persons eligible to serve as panellists under the GPA.]EC GPA/TN1994/3/Rev.6  
- 30 - 
  the appointment of the arbitrator . The Committee shall promptly circulate the determination to the 
Parties to the Agreement.  
 
[7bis. Any party to the arbitration may appeal issues of law or legal interpretation developed by the 
arbitrator within 30 days of the circulation of the determination to the Parties to the Agreement . The 
provisions of the DSU on appeal shall apply mutatis mutandis  to an appeal brought under this 
provision . The arbitrator's report, as modified by the Appellate Body, shall be promptly circulated to 
the Parties to the Agreement.]EC 
 
8. Where an  affected Party has [referred the matter to arbitration]EC [objected to the proposed 
modification and the Parties concerned have not resolved the objection through consultations]US, 
the modifying Party may implement its proposed modification only after the  [arbitrator issues its 
determination and only in a manner that is consistent with the findings of the arbitration]US 
[arbitration is complete]EC. 
 
9. If the modifying Party implements its proposed modification before the [arbitrator issues its 
determinati on]US [arbitration is complete]EC or implements such modification in a manner that is 
inconsistent with the findings of the arbitration [and otherwise fails to offer adequate compensatory 
adjustment]EC, any affected Party that participated in the arbitrati on may [modify or withdraw 
substantially equivalent benefits]EC [adjust its coverage in order to restore the balance of rights and 
obligations and a comparable level of coverage]US.4 [Notwithstanding Article [III], t]EC[T]UShe 
affected Party shall impleme nt the modification solely with respect to the modifying Party and shall 
promptly notify the Committee of the modification.  
 
[9bis. The modifying Party may request arbitration to determine the level of substantially equivalent 
benefits to be withdrawn pursuant to paragraph [9] . Any modification or withdrawal of benefits shall 
be consistent with the arbitrators' determination . Any such determination shall be issued within 60 
days from the request for arbitration.]EC 
 
Committee Responsibilities  
 
[10. The Committee shall develop [working procedures for arbitrations under this Article]US,EC[,]EC 
[and]US criteria that indicate the effective elimination of government control or influence over an 
entity[, and criteria that indicate how to determine th e level of compensatory adjustment to be 
offered for modifications made pursuant to this provision]EC.]US,EC,CDA 
 
Article  XVII  Challenge Procedures  
[Consultations between the Procuring Entity and Supplier  
 
1. In the event of a complaint by a supplier that there has been a breach of [another Party's 
measures implementing]US this Agreement arising in the context of a covered procurement in which 
the supplier has, or has had, an interest, each Party shall encourag e the procuring entity and supplier 
to seek resolution of the complaint through consultations . The procuring entity shall accord impartial 
and timely consideration to any such complaint in a manner that is not prejudicial to [the supplier's 
participation i n ongoing or future procurement]US,CDA ,JPN,KOR the supplier's rights to seek corrective 
measures under the challenge system.  
 
Challenge  
 
2. Each Party shall provide timely, effective, transparent and non -discriminatory means for a 
supplier to challenge an alleged breach of this Agreement arising in the context of a covered 
procurement, in which it has, or has had, an interest[, without prejudice to the supplier's 
participation in ongoing or future procurements].US,CD A The procedural rules for all  challenges  shall 
be in writing and made generally available.  
 
 
4 [Negotiator's note:  The Parties may wish to clarify what recourse the modifying Party has if it objects 
to the adjustment of the affected Party.]  GPA/TN1994/3/Rev.6  
- 31 - 
  3. Each supplier shall be allowed a sufficient period of time to prepare and submit a challenge, 
which in no case shall be less than 10  days from the time when the basis of the complaint became 
known or r easonably should have become known to the supplier.  [NB: Hong Kong , China believes 
that the time -period allowed for submitting a bid challenge should be specified.]  
 
4. Each Party shall establish or designate at least one impartial administrative or judici al 
authority that is independent of its procuring entities to receive and review complaints of suppliers 
arising in the context of a procurement covered by this Agreement.  
 
5. Where a body other than an authority referred to in paragraph  4 initially reviews a complaint, 
the Party shall ensure that the supplier may appeal the initial decision to an impartial administrative 
or judicial authority that is independent of the procuring entity that is the subject of a challenge.  
 
6. A review body t hat is not a court shall either be subject to judicial review or shall have 
procedures which provide that:  
 
(a) the procuring entity shall respond in writing to the complaint and disclose all relevant 
documents to the review body;  
 
(b) the participants to the proceedings shall have the right to be heard prior to a decision 
of the review body being made  on the complaint;  
 
(c) the participants to the proceedings shall have the right to be represented and 
accompanied;  
 
(d) the participants to the proceedings s hall have access to all proceedings[, subject to 
Article  XIII (Non-Disclosure of Information)]US; 
 
(e) the participants to the proceedings shall have the right to request that the proceedings 
take place in public[, subject to Article  XIII (Non-Disclosure of Information),]US,JPN and 
that witnesses may be presented ; and 
 
(f) [decisions  or]EC,US [findings and]CDA recommendations relating to supplier [challenges]EC 
[complaints]US shall be provided, in a timely fashion, in writing, with an explanatio n of 
the[ir]CDA basis[.]CDA [for each decision or recommendation ]. 
 
7. Each Party shall adopt or maintain procedures that provide for:  
 
(a) rapid interim measures[, pending the resolution of a complaint,]US,CDA [to correct 
breaches of the Agreement and ]JPN,EC to preserve the supplier's opportunity to 
participate in the procurement . Such interim measures may result in suspension of the 
procurement process [.]EC,SGP,JPN [, including contract award or the performance of a 
contract that has already been awarded. ]US,CD A However, procedures may provide that 
overriding adverse consequences for the interests concerned, including the public 
interest, may be taken into account when deciding whether such measures should be 
applied . In such circumstances, just cause for not acting shall be provided in writing ; 
[NB: The United States proposes deletion of "to correct breaches of the 
Agreement a nd" since such actions would be taken only in the final action of 
the Court.]  
 
(b) correction of the breach of the Agreement or compensation for the loss or damages 
suffered, which may be limited to costs for the preparation of the tender or [complaint]US 
[challenge]EC [; and 
 
(c) protection of the confidentiality of information subject to Article  XIII:1]EC 
 GPA/TN1994/3/Rev.6  
- 32 - 
  Article  XVIII  Consultations and Dispute Settlement  
1. [The provisions of the Understanding on Rules and Procedures Governing the Settlement of 
Disputes under the WTO Agreement (hereinafter referred to as the "Dispute Settlement 
Understanding") [shall be applicable ] [apply]CDA except as otherwise provided below.]CDA,EC,JPN ,NOR,ISR 
[The provisions of Article  XXII and XXIII of GATT[, except Article  XXIII:1 [(b) and]NOR(c),]US,NOR as 
elaborated and applied by the Understanding on Rules and Procedures Governing the Settlement of 
Disputes under the WTO Agreement (Dispute Settlement Understanding) [shall] apply to 
consultations and the settlement of disputes under this Agreement, exce pt as otherwise specifically 
provided herein.]US,SW I 
 
[2. Where any Party considers that any benefit accruing to it, directly or indirectly, under this 
Agreement is being nullified or impaired, or that the attainment of any objective of this Agreement 
is being impeded as the result of the failure of another Party or Parties to carry out its [or their]CT 
obligations under this Agreement, [or the application by another Party or Parties of any measure, 
whether or not it conflicts with the provisions of this Ag reement,]CDA,KOR,JPN it may with a view to 
reaching a mutually satisfactory resolution of the matter, [request consultations.]EC,CDA [make 
written representations or proposals to the other Party or Parties which it considers to be concerned . 
Such action [must]CDA [shall] be promptly notified to the Dispute Settlement Body established under 
the Dispute Settlement Understanding (hereinafter referred to as "DSB"), as specified below . Any 
Party thus approached shall give sympathetic consideration to the represe ntations or proposals made 
to it.]KOR,CDA,JP N [Whenever a Party to this Agreement other than the consulting Parties considers that 
it has a substantial trade interest in such consultations, it may notify the consulting Parties and the 
Dispute Settlement Bo dy (DSB), within 10  days after the date of the circulation of the request for 
consultations under this paragraph, of its desire to be joined in such consultations.]EC,JPN [NB: Japan 
and the EC indicated that further thinking should be devoted to avoiding t hat third Parties 
be entitled to join consultations in the context of disputes related not only to the GPA but 
also to other WTO Agreements . Japan indicated that the DSU renegotiations still need to 
address the whether the standard should be "substantial t rade interest".]  
 
[2bis. Where the dispute concerns the award of a specific procurement, paragraphs  8 and 9 of 
Article  4 of the Dispute Settlement Understanding (DSU) may be invoked by the complaining 
Party.]EC 
 
3. Where a dispute exclusively concerns provisions of this Agreement, only Parties to this 
Agreement [shall] [may]CDA participate in decisions or actions taken by the DSB under this 
Agreement.  
 
4. [In the case of a dispute in which provisions both of this Agr eement and of one or more other 
Agreements listed in Appendix  1 of the Dispute Settlement Understanding are invoked by one of the 
parties to the dispute, [paragraph  3 [shall apply ] [applies]CDA only to those parts of the panel report 
concerning the interpr etation and application of this Agreement]KOR,JPN,CT [only Members of the WTO 
that are Party to this Agreement [shall] [may]CDA participate in decisions or actions taken by the 
Dispute Settlement Body with respect to those parts of the dispute concerning t his 
Agreement].US,CDA]KOR,JPN,CT,US,SW I,CDA [A Member of the WTO may seek to join in consultations 
pertaining to this Agreement, pursuant to Article  4.11 of the DSU, only if that Member is also a Party 
to this Agreement.]US 
 
[5. [Each p]CDA[P]anel[s] established by the DSB to examine disputes under this Agreement 
[must]CDA [shall] include persons qualified in the area of government procurement.]US,KOR,JPN,CT,SW I,CDA 
 
[5bis. [Each p]CDA[P]anel[s] [must]CDA [shall] adopt appropriate procedures to protec t confidentiality 
of information subject to Article  XIII:1.]EC 
 
6. [Every effort shall be made to accelerate the proceedings to the greatest extent 
possible.]KOR,JPN,CT,U S [Notwithstanding the provisions of paragraphs  8 and 9 of Article  12 of the 
Dispute S ettlement Understanding, the panel shall attempt]CDA,JPN,CT [Where the dispute concerns GPA/TN1994/3/Rev.6  
- 33 - 
  the award of a specific procurement the panel shall aim,]EC,SW I to provide its final report to the parties 
to the dispute not later than [three months]EC [four months, and in case of delay not later than seven 
months,]CDA,JPN,CT, after the date on which the composition and terms of reference of the panel are 
agreed . Consequently, every effort shall be made to reduce also the periods foreseen in paragraph  1 
of Article  20 and paragraph  4 of Article  21 of the Dispute Settlement Understanding by 
[two]CDA,JPN,CT [three]EC months . Moreover, notwithstanding the provisions of paragraph  5 of 
Article  21 of the DSU, the panel shall attempt to issue its decision, in case of a disagreement as to 
the existence or consistency with a covered Agreement of measures taken to comply with the 
recommendations and rulings, within 60  days.]EC,JPN,CT 
 
[6bis. (a) In the communication referred to in Article  [21.3] of the DSU, the Party concerned 
shall inform the DSB whether it is possible to bring the measures found to be 
inconsistent with this Agreement into conformity with the Agreement . If the Party 
concerned indicates that it is not possible to bring the measures found to be inconsis tent 
with this Agreement into conformity with the Agreement, that Party shall, immediately 
after having made that communication, enter into consultations with a view to 
developing mutually acceptable compensation.  
 
(b) Any Party which has entered into such  consultations, may at any time request an 
arbitration to determine the level of nullification or impairment that was caused by the 
measure found to be inconsistent with this Agreement.  
 
(c) Unless a request for arbitration has been made, the Party concern ed shall, within 
30 days from the request for consultations, submit to all Parties who have entered into 
such consultations, a proposal for mutually acceptable compensation.  
 
(d) When an arbitration has been requested, the Party concerned shall submit such  a 
proposal within 30  days of the award of the arbitrator . Any such proposal shall be 
consistent with the award of the arbitrator.  
 
(e) Such arbitration shall be carried out by the original panel, if members are available, or 
by an arbitrator, which term s hall be interpreted as referring to an individual or a group, 
appointed by the Director -General and shall be completed within 60  days after the 
request for arbitration.  
 
(f) If no proposal for compensation has been submitted within the periods referred to in 
subparagraphs  (c) or (d), or if no agreement has been reached within 60  days from the 
submission of the later of:  
 
(i) a proposal for mutually acceptable compensation ; or 
 
(ii) such a proposal made subsequent to an arbitration award,  
 
the complaining Pa rty shall be entitled to request authorization from the DSB to suspend the 
application to the Party concerned of concessions and other obligations under the covered 
agreements that is appropriate in light of the level of nullification or impairment that wa s caused by 
the measure.]EC 
 
[7. Notwithstanding paragraph  2 of Article  22 of the Dispute Settlement Understanding, any 
dispute arising under any Agreement listed in Appendix  1 to the Dispute Settlement Understanding 
other than this Agreement shall not result in the suspension of concessions or other obligations 
under this Agreement, and any dispute arising under this Agreement shall not result in the 
suspension of concessions or other obligations under any other Agreement listed in the said 
Appendix  1.]CDA,KOR,JPN,US,CT,ISR 
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  Article  XIX Institutions  
Committee on Government Procurement  
 
1. A Committee on Government Procurement composed of representatives from each of the 
Parties shall be established . This Committee shall elect its own Chairman and shall m eet as 
necessary, but not less than once  a year, for the purpose of affording Parties the opportunity to 
consult on any matters relating to the operation of this Agreement or the furtherance of its 
objectives, and to carry out such other responsibilities a s may be assigned to it by the Parties.  
 
2. The Committee may establish working parties or other subsidiary bodies that shall carry out 
such functions as may be given to them by the Committee.  
 
Observers  
 
3. Any WTO Member that is not a Party to this Agree ment shall be entitled to participate in the 
Committee as an observer upon submission of a written notice to the Secretariat . Any WTO observer 
may submit a written request to the Secretariat to participate in the Committee as an observer, and 
may be accord ed observer status by the Committee.  
 
Article XX  Final Provisions  
Acceptance and Entry into Force  
 
1. This Agreement shall enter force on  [] for those WTO Members whose agreed coverage is set 
out in Annexes  1 through  5 of Appendix  I, and which have, by signature, accepted this Agreement 
on [], or have, by or on that date, signed the Agreement subject to ratification and have 
subsequently ratif ied the Agreement before  []. 
 
Transitional Arrangements  
 
2. Between the Parties to this Agreement that are also Parties to the Agreement on Government 
Procurement dated 15  April 1994 ("1994  Agreement"), the 1994  Agreement shall cease to apply . 
When all Parties to the 1994  Agreement have accepted this Agreement, the 1994  Agreement shall 
be terminated.  
 
Accession  
 
3. Any Member of the WTO that is not a Party to this Agreement may accede to this Agreement 
on terms to be agreed between that Member and the Pa rties. Accession shall take place by deposit 
with the Director -General of the WTO of an instrument of accession that states the terms so agreed . 
This Agreement shall enter into force for an acceding Member on the 30th day following the date of 
its accessio n to this Agreement.  
 
Reservations  
 
4. No Party may enter any reservation in respect of any provisions of this Agreement.  
 
National Legislation  
 
5. Each Party shall ensure, not later than the date of entry into force of this Agreement for it, 
the conformit y of its laws, regulations and administrative procedures, and the rules, procedures and 
practices applied by its procuring entities, with the provisions of this Agreement.  
 
6. Each Party shall inform the Committee of any changes in its laws and regulations  relevant to 
this Agreement and in the administration of such laws and regulations.  
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  Reports and Future Work  
 
7. The Committee shall annually inform the General Council of the WTO of developments relating 
to the implementation and operation of this Agreement.  
 
[7bis. Not later than the end of the tenth  year from the date of entry into force of this Agreement, 
and periodically thereafter, the Parties thereto shall undertake further negotiations, with a view to 
improving this Agreement [and achieving t he greatest possible extension of its coverage among all 
Parties]EC [without prejudice to the needs of developing countries]ISR.]EC,IS R [NB: Hong Kong, China 
suggested deleting "and achieving the greatest possible extension of its coverage among 
all Partie s", since "with a view to improving this Agreement" is already general and fine .] 
 
[8. The Parties shall seek to avoid introducing or continuing discriminatory measures and practices 
that distort open procurement and shall, in the context of negotiations, seek to eliminate those which 
remain on the date of entry into force of this Agreement.]HKC [Market Access Issue ] 
 
9. Following the conclusion of the work programme for the harmonization of rules of origin for 
goods be ing undertaken under the Agreement on Rules of Origin in Annex  1A of the Agreement 
Establishing the World Trade Organization and negotiations regarding trade in services, the Parties 
shall take the results of that work programme and those negotiations into ac count in amending 
Article  [] as appropriate.  
 
9bis. [Not later than the end of the third year from the date of entry into force of this Agreement, 
the Committee shall undertake further work to establish a common nomenclature for describing the 
subject of p rocurement notices and common standardized notices in view of improving the 
effectiveness of cross border procurement and simplifying the description and content of such 
notices.]EC 
 
Amendments  
 
10. The Parties may amend this Agreement having regard, inter alia, to the experience gained in 
its implementation . Such an amendment, once the Parties have concurred in accordance with the 
procedures established by the Committee, shall [take effect for the Parties that have accepted them 
upon acceptance by two thir ds of the Parties and thereafter for each other Party upon acceptance 
by it].EC,JPN ,KOR 
 
Withdrawal  
 
11. Any Party may withdraw from this Agreement . The withdrawal shall take effect upon the 
expiration of 60  days from the date the Director -General of the W TO receives written notice of the 
withdrawal . Any Party may upon such notification request an immediate meeting of the Committee.  
 
12. If a Party to this Agreement ceases to be a Member of the WTO, it shall cease to be a Party 
to this Agreement with effect  from the same date.  
 
Non-application of this Agreement between Particular Parties  
 
13. This Agreement shall not apply as between any two Parties if either Party, at the time it 
accepts or accedes to this Agreement, does not consent to such application.  
 
Appendices  
 
14. The Appendices to this Agreement constitute an integral part thereof.  
 
Secretariat  
 
15. This Agreement shall be serviced by the WTO Secretariat.  
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  Deposit  
 
16. This Agreement shall be deposited with the Director -General of the WTO, who shall promptly 
furnish to each Party a certified true copy of this Agreement, of each rectification or modification 
thereto pursuant to paragraph  [] and of each amendment thereto pursuant to paragraph  10, and a 
notification of each accession there to pursuant to paragraph  3 and of each withdrawal therefrom 
pursuant to paragraph  11. 
 
Registration  
 
17. This Agreement shall be registered in accordance with the provisions of Article  102 of the 
Charter of the United Nations.  
 
Done at [] this [] day of [] in a single copy in the English, French and Spanish languages, each text 
being authentic, except as otherwise specified with respect to the Appendices hereto.  
__________