RESTRICTED  
  
GPA/TN1994/3/Rev.15  
18 July 2006  
(24-2751) Page: 1/40 
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 14 JULY 2006*,** 
CLEAN TEXT  
PREPARED BY THE SECRETARIAT  
Revision  
This note reflects 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 held in the week of 1 0 July 2006.  
 
NB: The Parties are still reviewing this text and may have additional comments at a later stage.  
 
 
* 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: negs20 7) was derestricted on 8 November 2023.  GPA/TN1994/3/Rev.15  
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  TABLE OF CONTENTS  
Article  I Definitions  ................................ ................................ ................................ .. 3 
Article  II Scope and Coverage  ................................ ................................ ....................  5 
Article  III Exceptions to the Agreement  ................................ ................................ ........  8 
Article  IV Developing Countries  ................................ ................................ ...................  8 
Article V  General Principles  ................................ ................................ .......................  10 
Article  VI Information on Procurement Framework  ................................ ........................  11 
Article  VII Notices  ................................ ................................ ................................ ..... 12 
Article  VIII Conditions for Participation  ................................ ................................ ..........  13 
Article IX  [Qualification Procedures]  ................................ ................................ ............  14 
Article  X Technical Specifications and Tender Documentation  ................................ ........  16 
Article XI Time-Periods  ................................ ................................ .............................  18 
Article  XII Negotiation ................................ ................................ ................................  20 
Article  XIII Limited Tendering  ................................ ................................ ......................  20 
Article  XIV Electronic Auctions  ................................ ................................ .....................  22 
Article  XV Treatment of Tenders and Contract Awards  ................................ ....................  22 
Article  XVI Transparency of Procurement Information  ................................ ......................  23 
Article  XVII  Disclosure of Information  ................................ ................................ ............  25 
Article  XVIII  Domestic Review Procedures for Supplier Challenges  ................................ ....... 25 
Article  XIX Modifications and Rectifications to Coverage  ................................ ...................  27 
Article  XX Consultations and Dispute Settlement  ................................ ...........................  29 
Article  XXI Institutions  ................................ ................................ ................................  31 
Article  XXII  Final Provisions  ................................ ................................ ..........................  32 
 GPA/TN1994/3/Rev.15  
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  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 international 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 to discriminate among 
foreign suppliers, goods or services;  
 
Recognizing  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 proced ural commitments under this Agreement should be sufficiently flexible 
to accommodate the specific circumstances of each Party;  
 
Recognizing  the need to take into account the development, financial , and trade needs of developing 
countries, in particular the  least-developed countries;  
 
Recognizing the importance of transparent measures regarding government procurement, of 
carrying out procurements in a transparent and impartial manner, and of avoiding conflicts of 
interest and corrupt practices, in accordance  with applicable  international instruments, such as the 
United Nations Convention Against Corruption;  
 
Recognizing the importance of using, and encouraging the use of, electronic means for procurement 
covered by this Agreement;  
 
Desiring  to encourage accep tance 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 th e Agreement:  
 
(a) [build -operate -transfer contract  and public works concession contract 
mean s any contractual arrangement the primary purpose of which is to provide for 
the construction or rehabilitation of physical infrastructure, plant, buildings, facilities , 
or other gove rnment -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 payme nt for the use of , such works for the duration of the 
contract;]US,JPN [Market Access Issue ] 
 
(b) commercial goods and services  mean s goods and services of a type generally 
sold or offered for sale in the commercial marketplace to, and customarily purchased 
by, non -governmental buyers for non -governmental purposes;  
 [NB: Switzerland 's approval of this definition  is dependent on the outcome 
on time -periods .] 
 GPA/TN1994/3/Rev.15  
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  (c) construction services contract  means a contract that has as its objective th e 
realization by whatever means of civil or building works, based on Division  51 of the 
Provisional U.N. Central Product Classification (CPC);  
 
(d) country or countries  include any separate customs territory that is a Party to th e 
Agreement.  In the case of  a separate customs territory that is a Party to th e 
Agreement, where an expression in th e Agreement is qualified by the term 
"national", such expression shall be read as pertaining to that customs territory, 
unless otherwise specified;  
 
(e) days means cal endar days;  
 
(f) electronic auction  means an iterative process  that involves  the use of electronic 
means for the presentation  by suppliers  of either new prices , or new values for 
quantifiable non-price elements of the tender related to the evaluation criteria , or 
both, resulting in a  ranking or re -ranking of tenders ; 
[NB: Canada's approval of this definition  is dependent on the outcome on  
Article  XIV.] 
 
(g) in writing  or written  means any worded or numb ered expression that can be read, 
reproduced and later communicated.  It may include electronically transmitted and 
stored information;  
 
(h) limited tendering  means a procurement method where the procuring entity 
contacts a supplier or suppliers of its choice ; 
 
(i) measure  means any law, regulation, procedure, administrative guidance or 
practice, or any action of a procuring entity relating to a covered procurement;  
 
(j) multi -use list  means a list of suppliers that a procuring entity has determined 
satisfy the conditions f or participation in that list, and that the procuring entity 
intends to use more than once;  
 
(k) notice of intended procurement  means a notice published by a procuring entity 
inviting interested suppliers to submit a request for participation , a tender , or both; 
 
(l) offsets  in government procurement means any condition or undertaking that 
encourage local development or improve a Party's balance -of-payments accounts, 
such as the use of domestic content, the licensing of technology, investment, 
counter -trade, and similar actions;  
 
(m) open tendering  means a procurement method where all interested suppliers may 
submit a tender;  
 
(n) person  means a natural person or a juridical person;  
 
(o) procuring entity  means an entity covered under Annexes  1, 2, and 3 of A ppendix  I 
of each Party;  
 
(p) qualified supplier  means a supplier that a procuring entity recognizes as having 
satisfied the conditions for participation;  
 
(q) selective tendering  means a procurement method where only suppliers satisfying 
the conditions for participation are invited by the procuring entity to submit a tender;  
 
(r) services  includes construction services, unless otherwise specified;  GPA/TN1994/3/Rev.15  
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  (s) standard  means a document approved by a recognized body, that provides, for 
common and repeated use, rules, guidelines or characteristics for products or 
services or related processes and production methods, with which compliance is not 
mandatory.  It may also incl ude or deal exclusively with terminology, symbols, 
packaging, marking or labelling requirements as they apply to a product, service, 
process or production method;  
 
(t) supplier  means a person or group of persons that provides or could provide goods 
or serv ices; 
 
(u) technical specification  means a tendering requirement that:  
 
(i) lays down the characteristics of goods or services to be procured, including 
quality, performance, safety , and dimensions, or the processes and methods 
for their production or prov ision;  or 
 
(ii) 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 covered procureme nt, whether or not it is 
conducted exclusively or partially by electronic means . 
 
2. For the purposes of th e Agreement, covered procurement means procurement for  
governmental purposes:  
 
(a) of goods, services, or any combination thereof:  
 
(i) as specified in each Party 's Appendix  I; and 
 
(ii) not procured with a view to commercial sale or resale, or for use in the 
production or supply of goods or services for commercial sale or resale;  
 
(b) by any contractual means, including purchase;  lease;  rental or hire purchase, with 
or without an option to buy [and build -operate -transfer contracts and public works 
concession contracts]US; [Bracketed Language – Market Access Issue ] 
 
(c) for which the value , as estimated in accordance with paragraph s 9 through 11 , 
equals or exceeds the relevant threshold specified in [Appendix  I/paragraph  4], at 
the time of publication of a notice in accordance with Article  V; 
 
(d) by a p rocuring entity ; and 
 
(e) that is not otherwise  excluded from coverage in paragraph  5 or in each Party's 
Appendix I . 
 [NB: H ong Kong, China is considering the formulation including 
"otherwise". ] 
 
[3. Regardless of whether a Party classifies software as a good or a service, paragrap h 2(a) 
includes software that is delivered on a carrier medium or that is delivered, accessed, or used by 
electronic means, unless a Party explicitly excludes software from its coverage.]US,CDA,JPN 
[NB: The EC ; Switzerland ; and Hong Kong, China share  the view that software coverage 
should be clarified in each Party's Appendix. ] 
 GPA/TN1994/3/Rev.15  
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  [4. Without prejudice to Article  [Exceptions ], the Agreement applies to any procurement:  
 
(a) of central government entities where the value is estim ated to equal or exceed:  
- SDR 130,000 for contracts for supply of goods and services;  
- SDR 5,000,000 for contracts for construction services;  
 
(b) of sub -central government entities where the value is estimated to equal or exceed:  
- SDR 200,000 for contracts for supply of goods and services;  
- SDR 5,000,000 for contracts for construction services;  
 
(c) of entities according to Appendix  I, Annex  3 where the value is estimated to equal 
or exceed:  
- SDR 400,000 for contracts for supply o f goods and services;  
- SDR 5,000,000 for contracts for construction services.]EC,NOR 
[Market Access Issue ] 
 
5. Except where provided otherwise in a Party's Appendix I, this Agreement does not apply to:  
 
[(a) the acquisition or rental of land, existing buildings, or other immovable property or 
the rights thereon;  
 
(b) non-contractual agreements or any form of assistance that a Party provides, 
including cooperative agreements, grants, loans, equity infusions, guarantees, and 
fiscal incentives;  
 
(c) the [procurement  or]EC [acquisition ]US,JPN,CDA of fiscal agency or depository services, 
liquidation and management services for regulated financial institutions, or services 
related to the sale, redemption and distribution of [government /public]  debt, 
including loans and government bonds, notes and other securities ; 
 
(d) public employment contracts ; 
 
(e) the procurement of agricultural products made in furtherance of agricultural support 
programmes and human feeding programmes, including food aid;  
 
(f) procurement conducted:  
 
 (i) for the direct purpose of providing international assistance,  including 
development aid;  
 
 [(ii) in furtherance of tied aid to developing countries]CDA; 
 
 (iii) under an international agreement relating to the stationing of tro ops or 
intended for the joint implementation or exploitation of a project by the 
signatory States;  
 
 (iv) in support of military forces located overseas /abroad ; 
 
 [(v) outside the territory of a Party]HKC; or 
 
 (vi) under the particular [condition or] procedure of an international 
organization , or funded by international grants, loans, or other assistance 
where the applicable [condition or] procedure would be inconsistent with the 
Agreement;  or 
 
[(g) procurement of any goods or services component of a contract where either the 
entity conducting the procurement or the procurement itself is not covered by the 
Agreement ]US,CDA]US,EC GPA/TN1994/3/Rev.15  
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  6. For each Party, Appendix  I shall be divided into [six/seven]  Annexes:  
 
(a) Annex  1 specifies the central government entities whose procurement is covered by 
the Agreement;  
 
(b) Annex  2 specifies the sub -central government entities whose procurement is covered 
by the Agreement;  
 
(c) Annex  3 specifies all other entities whose procu rement is covered by th e Agreement;  
 
[(d) Annex  4 specifies the goods covered by the Agreement;]US,CDA,JPN,SWI 
 
(e) Annex  [4/5] specifies the services covered by the Agreement;  
 
(f) Annex  [5/6] specifies the construction services covered by the Agreement;  and 
 
(g) Annex  [6/7] sets out the General Notes applicable to the Annexes.  
 
Compliance  
 
7. Each Party shall [take such reasonable measures as may be available to it to]CDA ensure that 
the procuring entities listed in its Appendix  I comply with the provisio ns of [Articles  VII to XI (# to 
be updated) of]CDA the Agreement in conducting covered procurement.  
 
8. Where a procuring entity, in the context of covered procurement, requires persons not listed 
in Appendix  I to procure in accordance with particular requ irements, Article  V shall apply 
mutatis  mutandis  to such requirements.  
 
Valuation  
 
9. In estimating the value of a procurement for the purpose of ascertaining whether it is a 
covered procurement, a procuring entity shall:  
 
(a) neither divide a procurement into separate procurements nor select 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 th e Agreement;  
and 
 
(b) include the estimated m aximum total value of the procurement over its entire 
duration, whether awarded to one or more suppliers, taking into account all forms 
of remuneration, including:  
 
(i) premiums, fees, commissions, interest [and other revenue streams that may 
be provided f or in such procurements] [Market Access Issue ] 
[NB: Related to B -O-T and public works concession contracts .]; and 
 
(ii) where the procurement provides for the possibility of option clauses, 
the estimated maximum total value of the procurement, inclusive of optional 
purchases.  
 
10. Where an individual requirement for a procurement  results in the award of more than one 
contract, or in the award of contracts in separate parts (hereafter refe rred to as "recurring 
procurements "), the calculation of t he estimated maximum total value shall be based on:  
 
(a) the value of recurring procurements of the same type of good or service awarded 
during the preceding 12  months or preceding fiscal year, adjusted where possible to 
take into account anticipated chang es in the quantity or value of the good or service 
being procured over the subsequent 12  months;  or GPA/TN1994/3/Rev.15  
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  (b) the estimated value of recurring procurements of the same type of good or service 
to be awarded during the procuring entity's fiscal year or the 12  months subsequent 
to the initial contract award, whichever is greater . 
 
11. 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 valuation shall be:  
 
(a) in the case of a fixed -term contract:  
 
(i) where the term of the contract is 12  months or less, the total estimated 
maximum value for its duration, or  
 
(ii) where the term of the contract exceeds 12  months, the total estimated 
maximum value, including any estimated residual value;  
 
(b) where the contract is for an indefinite period, the estimated monthly instalment 
multiplied by 48;  and 
 
(c) where there is doubt as to whether the contract is to be a fixed -term contract, 
subparagraph  (b) shall be used.  
 
Article  III Exceptions to the Agreement  
 
1. Nothing in the Agreement shall be construed to prevent any Party from taking any action or 
not disclosing any information that it considers necessary for the protection of its essential security 
interests relatin g 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 requirement 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 the 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, philanthro pic institutions , or 
prison labour.  
 
[3. The Parties understand that paragraph  2(b) includes environmental measures necessary to 
protect human, animal or plant life or health.]US,CDA 
[NB: Japan;  Norway;  and Hong Kong, China can join a consensus on this paragraph. ] 
[NB: Singapore, EC, Switzerland and Korea consid er that paragraph 3 is not necessary  and 
could lead to legal uncertainty as to the scope of "environmental measures". ] 
 
Article  IV Developing Countries  
 
1. In negotiations on accession to, and in the implementation and administration of, the 
Agreement, the Parties shall take special consideration of the development, financial , and trade 
needs and circumstances  of developing countries and least -developed count ries (collectively referred 
to hereafter as "developing countries", unless specifically identified otherwise), recognizing that 
these may differ significantly from country to country.  [In this context, the Parties shall give due 
consideration to requests b y 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]US,CDA,JPN the Agreement under paragraph  6.]US,CDA ,JPN,ISR [As provided for in this Article  and upon 
request , the Parties shall accord special and differential treatment to:  
 
(a) least-developed countries;  and GPA/TN1994/3/Rev.15  
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  (b) any other developing country, where and to the extent that this special and 
differential treatment meets its development needs.]EC,HKC,NOR,SWI,KOR  
 
[2. Upon accession by a developing country to the Agreement, each Party shall provide 
immediately to the goods, services, and suppliers of that country the most favourable coverage that 
the Party provides under Appendix  I to any other Party to the Agreement, [unless the developing 
country has scheduled transitional measures other than price preferences or offsets]EC,SWI,KOR 
[subject to any terms negotiated between that Party and the developing country in order to maintain 
an appro priate balance of opportunities under the Agreement]US,CDA,JPN.] 
[NB: Israel and Switzerland are still considering this paragraph.  The EC is wondering what 
is the added value of the last bracketed language. ] 
 
3. Based on its development needs, and with the  agreement of the Parties, a developing country 
may, upon its accession to the Agreement, adopt or retain one or more of the following transitional 
measures, during a transition period and in accordance with a phase -out schedule, set out in an 
Annex to its  Appendix  I, and in a manner that does not discriminate among the Parties:  
 
(a) a price preference programme, provided that the programme:  
 
(i) provides a preference only for the part of the tender incorporating goods or 
services originating in the developing country applying the preference or 
goods or services originating in other developing countries that have 
preferential agreements with the developing country applying the 
preference;  and 
 
(ii) is transparent, and the preference and its applicatio n in the procurement are 
clearly described in the notice of intended procurement and the notice 
inviting suppliers to apply for participation in procurement covered by the 
Agreement;  
 
(b) an offset, provided that any requirement for, or consideration of, t he imposition of 
the offset is clearly stated in the notice of intended procurement and the notice 
inviting suppliers to apply for participation in procurement covered by the 
Agreement;  
 
[(c) the phased -in addition of specific entities or sectors;  and 
 
(d) a transitional threshold that is higher than its permanent threshold.]US,CDA,JPN 
 
[4. Where the Parties have agreed to transitional measures [other than price preferences or 
offsets]EC,SWI under paragraph  3 for a developing country other than a least -developed country, any 
Party may limit the scope of coverage that the Party provides to that country during the application 
of the transitional measures in order to maintain an appropriate bala nce of opportunities under the 
Agreement.  Any such limitations shall be clearly identified in the Committee's accession decision and 
in each Party's Annexes or Notes to Appendix  I.]EC  
[NB: Canada;  Israel;  Japan;  Norway;  the United States;  and Hong  Kong, C hina suggest to 
delete this paragraph because of paragraph  2.] 
 
[5. The agreed -upon transition period shall not exceed 10  years for developing countries and 
20 years for least -developed countries.]EC,SWI,KOR 
 
6. In negotiations on accession to the Agreemen t, the Parties may agree to the delay of the 
application of [any specific obligation in ]US,CDA the Agreement, other than Article V:1(b), by an 
acceding developing country while that country completes its implementation of the obligation.  The 
implementation  period shall be:  
 
(a) for a least -developed country, [three]US,CDA [five]EC years after its accession to the 
Agreement;  and 
 
(b) for any other developing country, the period necessary to implement the [specific 
obligation ]US,JPN,CDA [Agreement]EC. 
 GPA/TN1994/3/Rev.15  
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  7. Any developing country that has been permitted a period in which to implement an obligation 
under paragraph  6 shall list in an Annex to its Appendix  I the implementation period, the specific 
obligation subject to the implementation period, and any interim obligation with which it agrees to 
comply during the implementation period.  
 
8. After the Agreement has entered into force for a deve loping country, the Committee, 
on request of the developing country[, and with a three -fourths majority vote,]EC,NOR,SWI,KOR may: 
 
(a) extend the transition period for a measure permitted under paragraph  3 or the 
implementation period permitted under parag raph 6; or 
 
(b) approve the application of a new transitional measure permitted under paragraph  3, 
in special circumstances that were unforeseen during the accession process,  
 
[provided that the developing country has demonstrated a need for the extension or new transitional 
measure]US,CDA ,JPN. 
 
9. A developing country benefiting from a transitional measure provided for in paragraph  3 or 8, 
or an implementation period provided for in paragraph  6, or any extension thereof under 
paragraph  8 shall take such steps during the transition  period  or implementation period as may be 
necessary to ensure the fulfilment of all of its obligations at the end of any such period.  The 
developing country shall promptly notify the Committee of such steps, including any s pecial technical 
cooperation and capacity building needs.  
 
10. At the end of the transition period for measures permitted under paragraph  3, the 
implementation period permitted under paragraph  6, and any extensions permitted under 
paragraph  8, the developi ng country shall fully comply with the Agreement.  
 
11. The Parties shall give due consideration to any request by a developing country [, during or 
after its accession,]US,CDA for technical cooperation and capacity building in relation to that country's 
implementation of the Agreement.  
 
[12. Notwithstanding the other provisions in this Article, the Parties may provide special market 
access opportunities for least -developed countries that are not Parties to the Agreement[, but that 
agree to apply transparent procedures that are generally consistent with the Agreement]US.]US,CDA 
 
13. The Committee shall review the operation and effectiveness of this Article every five  years.  
 
Article  V General Principles  
 
National Treatment and Non-Discrimination  
 
1. With respect to any measure regarding  covered procurement,  [a] [each]  Party, including its 
procuring entities, shall accord immediately and unconditionally to the goods and services of any 
other Party and to the suppliers of any othe r Party offering the goods or services of any Party, 
treatment no less favourable than the treatment the Party, including its procuring entities, accords 
to: 
 
(a) domestic goods, services and suppliers ; and 
 
(b) goods, services and suppliers of any other Party.  
 
2. With respect to any measure regarding  covered procurement , [a] [each]  Party, including its 
procuring entities, shall not:  
 
(a) treat a locally established supplier less favourably than another locally established 
supplier on the basis of d egree 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 goods or services 
of any other Party.  GPA/TN1994/3/Rev.15  
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Use of Electron ic Means  
 
3. When conducting covered procurement by electronic means, a procuring entity shall:  
 
(a) ensure that the procurement is conducted using information technology systems and 
software , including those related to authentication and encryption of information , 
that are generally  available  and interoperable  with other generally available  
information technology systems and software ; and 
 
(b) maintain mechanisms that ensure  the integrity  of requests for participation and 
tenders, including establishment of the time of receipt an d the prevent ion of  
inappropriate access . 
[NB: Canada's approval of this paragraph is dependent on the outcome on  Article  XIV.] 
 
Conduct of Procurement  
 
4. A procu ring entity shall conduct covered procurement  in a transparent and i mpartial  manner  
that: 
 
(a) is consistent with the Agreement, using methods such as open tendering, selective 
tendering, and limited tendering;  
 
(b) avoids  conflicts of interest ; and 
 
(c) prevents corrupt practices.  
 
Rules of Origin  
 
5. For purposes of covered procurement, no Party may apply rules of origin to goods or services 
imported from or supplied by another Party that are different from the rules of origin the Party 
applies at the sa me time in the normal course of trade to imports or supplies of the same goods or 
services from the same Party.  
 
Offsets  
 
6. With regard to covered procurement, [a] [each] Party, including its procuring entities, shall 
not seek, take account of, impose or enforce offsets.  
 
Measures Not Specific to Procurement  
 
7. 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 i mport regulations or formalities, and measures affecting trade in services other than measures 
governing covered procurement.  
 
Article  VI Information  on Procurement Framework  
 
Each Party shall:  
 
(a) promptly publish any law, regulation, judicial decision, administrative ruling of 
general application, standard contract clauses that is mandated by a law or 
regulation and is incorporated by reference in notices and tender documentation and 
procedure regarding covered procurement, and any modifications thereof,  in an 
officially designated electronic or paper medium  that is widely disseminated and 
remain s readily accessible to the public and that is listed in Appendix  IV; and 
 
(b) provide an explanation thereof to any Party, on request.  
 GPA/TN1994/3/Rev.15  
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  Article  VII Notices  
 
Notice of Intended Procurement  
 
1. For each covered procurement, except in the circumstances described in Article  XIII, 
a procuring entity shall publish a notice of intended procurement in the appropriate paper or 
electronic media  listed in Append ix II. Such media shall be widely disseminated and [such notices] 
shall remain readily accessible to the public . The notices shall:  
[NB: Japan is considering the bracketed language. ] 
 
(a) for procuring entities in Annex 1 , be accessible by electronic means [free of 
charge ]EC,US,SWI,KOR,NOR ,ISR,HKC through  a single point of access ; and 
 
(b) for procuring entities in Annex es 2 and 3, where accessible  by electronic means, be 
provided  [free of charge]EC,SWI,KOR,NOR,ISR,HKC, at least, through links in a gateway 
electronic site . 
 
Parties, including their procuring entities in Annexes 2 and 3, are encouraged to publish their notices 
by electronic means free of charge through a single point of access . 
 
2. Except as otherwise provided [in Article[s] [ VII:5, ]CDA,US IX:4, [and X:12 ,]CDA,US] 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 obt ain 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, t he estimated 
quantity;  
 
(c) for recurring contracts, if possible, an estimate of the timing of subsequent notices 
of intended procurement;  
 
(d) a description of any options;  
 
(e) the time -frame for delivery of goods or services or the duration of the contr act; 
 
(f) the procurement method that will be used and whether it will involve negotiation or 
electronic auction;  
 
(g) where applicable, the address and any time -limit for the submission of requests for 
participation in the procurement;  
 
(h) the address and the time -limit for the submission of tenders;  
 
(i) the language or languages in which tenders or requests for participation must be 
submitted, if other than an official language of the Party of the procuring entity;  
 
(j) a list and brief descri ption of any conditions for participation of suppliers, including 
any requirements for specific documents or certifications to be provided by suppliers 
in connection therewith, unless such requirements are included in tender 
documentation that is made avai lable to all interested suppliers [by electronic 
means ] at the same time as the  notice of intended procurement;  
 [NB: Hong Kong, China does not support this formulation and proposes 
instead " any economic and technical requirements, financial guarantees 
and information required from suppliers ".] 
 GPA/TN1994/3/Rev.15  
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  (k) where, pursuant to Article  IX, 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 
 
(l) an indication that the procurement is covered by the Agreement.  
 
Summary Notice  
 
3. For each case of intended procurement, [where the notice of intended procur ement is not 
already published in one of the official languages of the WTO,]US,CDA,HKC ,ISR,EC,SWI a procuring entity 
shall publish, by the time of publication of the notice of intended procurement, in a readily accessible 
summary notice at least the follow ing information in one of the WTO languages:  
 
(a) the subject -matter of the procurement;  
 
(b) the time -limits set for the submission of tenders or, where applicable, any time -limits 
for the submission of requests for participation in the procurement or for inclusion 
on a multi -use list;  and 
 
(c) the addresses from which documents relating to the pr ocurement may be requested.  
 
Notice of Planned Procurement  
 
4. Procuring entities are encouraged  to publish [in the appropriate paper or electronic  media 
listed in Appendix II ] as early as possible in each fiscal year a notice regarding their future 
procur ement plans.  The notice should include the subject -matter of the procurement and the 
planned date of the publication of the notice of intended procurement.  
[NB: Japan is still considering the bracketed language. ] 
 
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 
procuremen t to the entity.  
 
Article  VIII Conditions for Participation  
 
1. A procuring 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:  
 
(a) shall 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 
Party of the procuring entity;  
 
(b) shall base its determination on the conditions that the procuring entity has specified 
in advance in notices or tender documentati on; 
 
(c) may 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;  and 
 
(d) may require relevant prior experience where  essential to meet the requirements of 
the procurement.  
 GPA/TN1994/3/Rev.15  
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  3. Where a procuring entity has supporting evidence, it may exclude a supplier on grounds such 
as: 
 
(a) bankruptcy;  
 
(b) false declarations;  
 
[(c) significant or persistent deficiencies in performanc e of any substantive requirement 
or obligation under a prior contract or contracts; ]US,CDA,HKC,ISR  
 
(d) final judgments in respect of serious crimes or other serious offences;  
 
(e) [professional misconduct or acts or omissions that adversely reflect upon the 
commercial integrity [and honesty ]HKC of the supplier;]HKC,EC ,US,SWI,NOR or 
 
(f) failure to pay taxes.  
 
4. Parties, including their procuring entities, are encouraged to establis h or maintain procedures 
to declare ineligible for participation in the Party's covered procurements,  suppliers that the Party 
has determined to have engaged in fraud or other [serious ]US,CDA offences [ in relation to 
procurement ]US. 
 
Article IX [Qualificat ion Procedures ] 
 
[[Registration Systems and Qualification Procedures ][Registration and Qualification Systems ]EC 
 
1. [A] [Each] Party, including its procuring entities, may maintain a supplier registration system 
where  interested suppliers are required to register  and provide certain information.  
 
2. 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) its procuring entities make efforts to minimize differences in their qualification 
procedures and , where applicable, registration systems . 
 
3. A Party, including its procuring entities, shall not adopt or apply [any] qualification 
procedure[s] or registration system[s]  with the purpose or the effect of creating unnecessary 
obstacles to [the participat ion of foreign suppliers in its procurement][market access/international 
trade].]SWI,KOR,US,EC ,NOR 
 
Selective Tendering  
 
4. Where a procuring entity  intends to use selective tendering, the entity shall:  
 
(a) in the notice of intended procurement include at least the information in 
Article  VII:2(a), (b), [(f)],EC,SWI (g), (j) and (k) [and (l)]CDA,EC ,SWI [i]SWI and invite 
suppliers to submit a request for participation;  and 
 
(b) by the commencement of the time -period for tendering, provide at least  the 
information included in Article VII:2 (c), (d), ( e), [(f)]CDA,US, and ( h) to the qualified 
suppliers that it notifies in accordance with Article X I:3(b)].  
 GPA/TN1994/3/Rev.15  
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  5. A procuring entity shall recognize as a qualified supplier  any domestic supplier and any 
supplier of another Party that meet s the conditions for participation in a particular procurement, 
unless the procuring entity states in the notice  or, where  publicly available, in the tender 
documentation,  any limitation on the number of suppliers that will be permitted to tender and the 
criteria for such limitation.  
 
6. Where the tender documentation is not made publicly available from the date of publicatio n 
of the notice referred to in paragraph  4, a procuring entity shall ensure that those documents are 
made available at the same time to all the qualified suppliers selected in accordance with 
paragraph  5. 
 
7. Where a supplier submits a request for particip ation, and all required documents relating 
thereto, within the time -limit provided for in Article  XI:2, a procuring entity, [whether or not it uses 
a multi -use list,]EC,SWI,NOR shall examine the request and may not exclude the supplier from 
consideration i n 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 request [within the time pe riod allowed for the submission 
of tenders]US,JPN [before commencement of the tendering period]HKC].US,HKC,JPN 
 
Multi-Use Lists  
 
8. A procuring entity may maintain a multi -use list of suppliers, provided that a notice inviting 
interested suppliers to apply  for inclusion on the list is:  
 
(a) published annually;  or 
 
(b) made available continuously by electronic means , 
 
in one of the appropriate media listed in Appendix  II. 
 
9. The notice  provided for in paragraph 8 shall include:  
 
(a) a description of the goods and services, 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 address 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 perio d of validity is not provided, an indication of the method by which 
notice will be given of the termination of use of the list;  and 
 
(e) an indication that the list may be used for procurement covered by th e Agreement.  
 
[10. Notwithstanding paragraph  8, a procuring entity may publish the notice referred to in 
paragraph  8 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 
 
(b) the notice states that furth er notices will not be published.]EC,NOR 
 
11. 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 qualified suppliers within a reasonably short time.  
 GPA/TN1994/3/Rev.15  
- 16 - 
  Annex  [2 and]US,CDA 3 Entities  
[NB: The EC is questioning the need to differentiate between Annex  1 and Annex  2 
entities. ] 
 
12. A procuring entity listed in Annex  [2 or]US,CDA 3 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 is published in accordance with paragraph 8 and includes the information 
in paragraph  9, as much of the information in Article  VII:2 as is available , and a 
statement that it constitutes a notice of inten ded 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,JPN,CDA; [and]US 
 
(b) the entity promptly provides to suppliers that have expressed an interest to the 
entity in a given procurement, sufficient information to permit them to assess their 
interest in the procurement, including all remaining information required in 
Article  VII: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  11 [shall][may]  be allowed to tender in a given procurement, if there is 
sufficient time to examine whether it satisfies the conditions for 
participation].EC,NOR,JPN 
 
Information on Procuring Entities' Decisions  
 
13. A procuring entity shall promptly inform any supplier that submits a request for participation 
or application for inclusion on a multi -use list of its decision.  
 
14. Where a procuring entity rejects a supplier's request for partici pation or application for 
inclusion on a multi -use list , ceases to recognize a supplier as qualified , or removes a supplier from 
a multi -use list, the entity shall inform the supplier and, on request of the supplier, promptly provide 
the supplier with a wr itten explanation of the reasons for its decision.  
 
Article  X Technical Specifications and Tender Documentation  
 
Technical Specifications  
 
1. A procuring entity shall not prepare, adopt, or apply any technical specification or prescribe 
any conformity assessment procedure with the purpose or the effect of creating unnecessary 
obstacles to international trade.  
 
2. 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 
 
(b) base the technical specification on international standards, where such exist;  
otherwise, on national technical regulations, recognized national standards, or 
building codes.  
3. Where design or descriptive characteristics are used in the technical specifications,  a procuring 
entity should indicate, where appropriate, that it will consider tenders of equiva lent goods or services 
that demonstrably fulfil the  requirements of the procurement  by including words such as "or 
equivalent" in the tender documentation . 
 GPA/TN1994/3/Rev.15  
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  4. A procuring entity shall not prescribe technical specifications 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, the  entity includes words such as "or equivalent" in 
the tender documentation.  
 
5. 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 preparation or adoption of any tec hnical 
specification for a specific procurement from a person that may have a commercial interest in the 
procurement.  
 
6. [For greater certainty, t]US [T]CDA[his Article is not intended to preclude a]US,CDA [A]EC,HKC,NOR 
Party, including its procuring enti ties, [shall not be precluded]EC,HKC,NOR from preparing, adopting, or 
applying technical specifications to promote the conservation of natural resources or protect the 
environment [provided that such technical specifications are consistent with 
paragraphs  1 through  5]JPN,EC,NOR,SWI. 
 
Tender Documentation  
 
7. 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 no tice 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 an y 
requirements to be fulfilled, including any technical specifications, conformity 
certification, plans, drawings, or instructional materials;  
 
(b) any conditions for participation of suppliers including a list of information and 
documents that suppliers a re required to submit in connection therewith;  
 
(c) all criteria, including any cost factors, to be considered in the awarding of the 
contract, and, except where price is the sole criterion, the relative importance of 
such criteria;  
 
(d) where the procurin g entity will conduct the procurement by electronic means any 
authentication and encryption requirements or other requirements related to the 
receipt of information by electronic means;  
 
(e) where the procuring entity will hold an electronic auction, the rules, including 
identification of the elements of the tender related to the evaluation criteria, on which 
the auction will be conducted;  
[NB: Canada's approval of this subparagraph is dependent on the outcome 
on Article XVI. ] 
 
(f) where there will be a public opening of tenders, the date, time and place for the 
opening and, where appropriate, the persons authorized to be present;  and 
 
(g) any other terms or conditions, including terms of payment and any limitation on the 
means by which te nders may be submitted, e.g. paper or electronic means.  
 
[(h) any delivery date for the goods or services being procured.]EC 
 
8. In establishing any delivery date for the goods or services being procured, a procuring entity 
shall take into account such fac tors 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 point of supply or for supply of services.  GPA/TN1994/3/Rev.15  
- 18 - 
   
9. 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.  
 
Modifications  
 
10. Where, prior to the award of a contract, a procuring entity modifies the criteria or technical 
requirements set out in a notice or tender docu mentation provided to participating suppliers, or 
amends or reissues a notice or tender documentation, it shall transmit in writing all such 
modifications or amended or re -issued notice or tender documentation:  
 
(a) to all the suppliers that are participat ing at the time the information is amended, if 
known, and in all other cases, in the same manner as the original information;  and 
 
(b) in adequate time to allow such suppliers to modify and re -submit amended tenders, 
as appropriate.  
 
Article  XI Time -Period s 
[NB: The EC's approval of this Article is dependent on the outcome on  electronic 
provisions. ] 
 
General  
 
1. A procuring entity shall, consistent with its own reasonable needs, provide sufficient time for 
suppliers to prepare and submit requests for participation and responsive tenders, taking into 
account such factors as:  
 
(a) the nature and complexity of the procurement;  
 
(b) the extent of subcontracting anticipated;  and 
 
(c) the time for transmitting tenders from foreign as well as domestic points where 
electronic means are not used.  
 
Such time -periods, including any extension of the time -periods, shall be common for all interested 
or participating suppliers.  
 
Deadlines  
 
2. A procuring entity that uses selective tendering shall establish that the fi nal date for the 
submission of requests for participation shall not, in principle, be less than 25  days from the date of 
publication of the notice of intended procurement . Where a state of urgency duly substantiated by 
the procuring entity renders this tim e-period impracticable, the time -period may be reduced to not 
less than 10  days.  
 
3. Except as provided for in paragraphs  4 and 5 , a procuring entity shall establish that the final 
date for the submission of tenders shall not be less than 40  days from the date on which:  
 
(a) the notice of intended procurement is published [and the tender documentation is 
available]KOR,SWI ,HKC; or 
 GPA/TN1994/3/Rev.15  
- 19 - 
  (b) the entity notifies suppliers that they will be invited to submit tenders, whether or 
not it uses a multi -use list.  
 
4. A procuring entity may reduce the time -period for tendering set out in paragraph  3 to not less 
than 10  days where:  
 
(a) the procuring entity published a notice of planned procurement under Article  VII:4 
at least 40  days and not more than 12  months in advance  of the publication of the 
notice of intended procurement, and the notice  contains:  
 
(i) a description of the procurement;  
 
(ii) the approximate time-limits for the submission of tenders or requests for 
participation;  
 
(iii) a statement that interested sup pliers should express their interest in the 
procurement to the procuring entity;  
 
(iv) the address from which documents relating to the procurement may be 
obtained;  and 
 
(v) as much of the information that is required under Article  VII:2 for the notice 
of intended procurement, as is available;  
 
[(b) the procuring entity publishes a second or subsequent notice relating to contracts of 
a recurring nature;]CDA or 
 
(b)/(c)  a state of urgency duly substantiated by the procuring entity renders such time -
period impracticable.  
 
5. A procuring entity may reduce the time -period for tendering set out in paragraph  3 by 
five days for each one of the following circumstances:  
 
(a) the notice of intended procurement is published by electronic means;  
 
(b) all the t ender documentation is made available by electronic means from the date 
of the publication of the notice of intended procurement;  and 
 
(c) the tenders can be received by electronic means by the procuring entity.  
 
6. The use of paragraph  5, in conjunction w ith paragraph  4, shall in no case result in the 
reduction of the time -period  for tendering set out in paragraph 3 to less than 10  days from the date 
on which the notice of intended procurement is published.  
 
7. Notwithstanding any other time -period in this  Article, where a procuring entity purchases 
commercial goods or services, it may reduce the time -period for tendering set out in paragraph  3 to 
not less than [15]EC,US,JPN ,NOR [10]CDA days, provided that it publishes by electronic means, at the 
same time,  both the notice of intended procurement and the complete tender documentation.  Where 
the entity also accepts tenders for commercial goods and services by electronic means, it may reduce 
the tendering period set out in paragraph  3 to not less than [10]EC,US,JPN ,NOR [3]CDA days. 
 
8. 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 tendering 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.  
 GPA/TN1994/3/Rev.15  
- 20 - 
  Article  XII Negotiation  
 
1. [A] [Each] Party may provide for its procuring entities to conduct negotiations:  
 
(a) in the context of procurements in which they have indicate d such intent in the notice 
of intended procurement in paragraph  2 of Article  VII; 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:  
 
(a) ensure that any elimination of tenderers in negotiations is carried out in accordance 
with the evaluation criteria set out in the notices or tender documentation;  and 
 
(b) when negotiations are concluded, provide a common deadline for the remaining 
tenderers to submit any new or revised tenders.  
 
Article  XIII 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 use a limited tendering [procedure ] and may choose not 
to apply Articles  [VII, XI, X (paragraphs 6 and 7  through 9), VIII, IX, XII, and XV 
(paragraphs  1 and 3 through 9)]US,CDA ,JPN only under the following circumstances:  
 
(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 wor k of art;  
 
(ii) the protection of patents, copyrights or other exclusive rights[, or proprietary 
information]US,CDA,JPN; or 
  [NB: The EC and Switzerland are wondering what is the extent or 
definition of proprietary information. ] 
 
(iii) due to an absence o f competition for technical reasons;  
 GPA/TN1994/3/Rev.15  
- 21 - 
  [(c) for additional 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 that do not meet requirements of 
interchangeability or interoperability with existing equipment, software, services, or 
installations;  [that would:  
 
(i) alter th e 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]CDA,EC,US  
 
[(cbis) for additional deliveries by the original supplier of goods and services that were not 
included in the initial procurement where : 
 
(i) a change of supplier for such additional goods and services can not be made 
for economic or technical reasons such as requirements of interchangeability 
or interoperability with existing  equipment , software, services, or 
installations  procured under the in itial procurement ; and 
 
(ii) such separation would cause significant inconvenience [or]EC[and]CDA 
substantial duplication of costs to the procuring entity.]EC,SWI ,US,CDA 
 [NB: Subparagraph (cbis) would also replace  (g).] 
 
(d) insofar 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 proce dures consistent with Articles  [ ]; 
 
(e) for goods purchased on a commodity market;  
 
(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 development 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 productio n 
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 w ere not included in the 
initial procurement but which were within 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 cont racts 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 awarded for the additional 
services may not exceed 50  per cent of the amount of the main procurement; ] 
 
(h) for new [construction]JPN,CDA,US,KOR services consisting of the 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;  
[NB: Switzerland;  Hong Kong, China;  Norway;  and the EC question why this 
should be limited to construction. ] GPA/TN1994/3/Rev.15  
- 22 - 
   
(i) for purchases made under exceptionally advantageous conditions which only arise in 
the very short term in the case of unusual disposals such as arising from liquidation, 
receivership or bankruptcy and not for routine purchases from regular suppliers;  and 
 
(j) in the case of a contract awarded t o a winner of a design contest provided that:  
 
(i) the contest has been organized in a manner that is consistent with the 
principles of th e Agreement, notably as regards the publication of a notice of 
intended procurement;  and 
 
(ii) the participants are ju dged 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, th e value and kind of 
goods or services procured and a statement indicating the circumstances and conditions described 
in paragraph  1 that justified the use of such procedures.  
 
Article  XIV Electronic Auctions  
 
 Where a procuring entity intends to conduct a covered procurement using an electronic 
auction, the entity shall provide each participant, before commencing the electronic auction, with:  
 
(a) the automatic evaluation method including the mathematical formul a, that is based 
on the evaluation criteria set out in the tender documentation and that will be used 
in the automatic ranking or re-ranking during the auction;  
 
(b) the results of [any]CDA,US,ISR,HKC,KOR[the]EC initial evaluation of the elements of its 
tender where the contract is to be awarded on the basis of the most advantageous 
tender;  and 
 
(c) any other relevant information relating to the conduct of the  auction.  
[NB: Canada's approval of this paragraph is dependent on the outcome on electronic 
provisions. ] 
 
Article  XV Treatment of Tenders and Contract Awards  
 
Treatment of Tenders  
 
1. A procuring entity shall receive, open, and treat all tenders under procedures that guarantee 
the fairness and impartiality of the procurement process, and the confidentiality of tenders.  
 
2. A procuring entity shall not penalize any supplier whose tender is received after the time 
specified for receiving tenders if the de lay is due solely to mishandling on the part of the procuring 
entity.  
 
3. When a procuring entity provides suppliers with opportunities to correct unintentional errors 
of form between the opening of tenders and the awarding of the contract, the procuring e ntity shall 
provide the same opportunities to all participating suppliers.  
 
Awarding of Contracts  
 
4. 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 the conditions for participation.  
 GPA/TN1994/3/Rev.15  
- 23 - 
  5. A procuring entity shall not use option clauses in a manner that circumvents the provisions of 
the Agreement.  
 
[6. 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,  based solely on the 
[requirements /conditions for participation and] evaluation criteria  specified in the notices and tender 
document ation: 
 
(a) is fully capable of undertaking the contract;  and 
 
(b) has submitted the most advantageous tender, or where price is the sole criterion, 
the lowest price.]US,CDA 
 
[6bis. A procuring entity  shall award the contract to the supplier that the entity has determined to 
be fully capable of undertaking the contract and, based solely on the evaluation criteria specified in 
the notices and tender documentation, has submitted:  
 
(a) the most advantageous tender ; or 
 
(b) where price is the sole criterio n, the lowest price.]EC,NOR 
 
[7. Where a contract will be awarded  to the most advantageous tender, evaluation  criteria shall 
be linked  to the subject -matter of the procurement in question, and may include  quality, price, 
technical merit,  aesthetic and func tional charac teristics, environmental characteristics, running 
costs, cost effectiveness, after -sales service and technical assistance, delivery date and delivery 
period or period of completion.]EC 
 
7./8. Where a procuring entity receives a tender with 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.  
 
8./9. A procuring entity shall not c ancel a procurement or modify awarded contracts in a manner 
that circumvents the obligations of the Agreement.  
 
Article  XVI Transparency of Procurement  Information  
 
Information Provided to Suppliers  
 
1. A procuring entity shall promptly inform participating suppliers of the entity's contract award 
decisions and, on request, in writing.  Subject to Article  XVII, 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 award of each contract covered by th e Agreement, a procuring 
entity shall publish a notice in an officially d esignated 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 
follow ing 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;  
 GPA/TN1994/3/Rev.15  
- 24 - 
  (d) the value of the successful tender or the highest and lowest offers taken i nto account 
in the award of the contract;  
 
(e) the date of award;  and 
 
(f) the type of procurement method used, and in cases where limited tendering was 
used pursuant to Article  [XIII (Limited Tendering) ], a description of the 
circumstances justifying the use of such procedure.  
 
Maintenance of Documentation , Reports, and Electronic Traceability  
 
3. Each procuring entity shall , for a period of at least three  years from the award of the contract : 
 
(a) maintain documentation and reports of tende ring procedures and contract awards 
relating to covered procurement, including the reports provided for in Article  [XIII 
(Limited Tendering )]; and 
 
(b) maintain data that ensure  the appropriate traceability of the conduct of covered 
procurement  by electronic means . 
 
Collection and Report of Statistics  
 
4. Each Party shall collect and report to the Committee statistics on its contracts covered by th e 
Agreement.  Each report shall cover one  year and 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 th e 
Agreement;  
 
(ii) the number and total value of all contracts covered by th e Agreement 
awarded by such entities, broken down by [categories of] CDA,JPN,HKC ,SWI goods 
and services  according to a[n internationally recognized]CDA,US,JPN,HKC uniform 
classification system;  and 
 
(iii) the number and total value of contracts covered by t he Agreement awarded 
by each such entity under limited tendering;  
 
(b) for Annex  2 and 3 procuring entities, the number and total value of contracts 
covered by th e Agreement awarded by all such entities, broken down by Annex;  and 
 
(c) where data to be provided under subparagraph  [(a) and]EC,US,NOR,SWI ,KOR (b) are not 
available, estimates shall be provided.  
 
5. Where a Party publishes its statistics on an official website, the Party may substitute a 
notification of the website address for the submission of the data  under paragraph 4 , with any 
instructions necessary to access and use such statistics.  
 
6. Where a Party requires notices concerning awarded contracts, pursuant to paragraph  2, to be 
published electronically and where such notices are accessible  to the public through a single database 
in a form permitting analysis of the covered contracts, 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 data.  
 GPA/TN1994/3/Rev.15  
- 25 - 
  Article XVII Disclosure of Information  
 
Provision of Information to Parties  
 
1. On request of any other Party, a Party shall provide promptly any information necessary to 
determine whether the procurement was conducted fairly, impartially and in accordance with th e 
Agreement, including information on the characteristics and relative advantages of the successful 
tender.  In cases where release of this information would prejudice competition in future tenders, the 
Party that receives that information  shall not disclose it to any supplier, except after consultation 
with, and agreement of, the Party that provided the information.  
 
Non-Disclosure of Information  
 
2. Notwithstanding any other provision of the Agreement, a Party, including its procuring ent ities, 
may not provide information to a particular supplier that might prejudice fair competition between 
suppliers.  
 
3. Nothing in th e Agreement shall be construed to require a Party, including its procuring entities, 
authorities, and review bodies, to re lease confidential  information under th e Agreement where 
release:  
 
(a) would impede law enforcement;  
 
(b) might prejudice fair competition between suppliers;  
 
(c) would prejudice the legitimate commercial interests, including the protection of 
intellectual  property, of particular persons;  or 
 
(d) would otherwise be contrary to the public interest.  
 
[4. Information subject to paragraph  3 shall be made available to [the exclusive use by]HKC an 
authority or  review body under Article  XVIII or a panel under Arti cle XX where it is determined by 
the authority, review body or panel that such information is necessary for it to decide the outcome 
of a challenge or a dispute.  Any information subsequently made available pursuant to this paragraph 
shall be subject to procedures to ensure that its confidentiality is preserved.  If a Party refuses to 
provide such information, the authority, review body or panel may draw adverse inferences from 
this refusal. ]EC 
[NB: The US and Canada cannot support this paragraph as it wou ld override the 
confidentiality provisions in this Agreement and give inappropriate rights to the review 
body in relation to the withholding of information .] 
 
Article  XVII I Domestic Review Procedures for  Supplier Challenges  
 
1. Each Party shall provide a timely, effective, transparent , and non -discriminatory 
administrative or judicial review procedure through which a supplier may challenge [: 
 
(a)]US,CDA a breach of the Agreement ; [or 
 
(b) where the supplier does not have a right to challenge a breach of the Agreement 
under the domestic law of a Party, a failure to comply with a Party's measures 
implementing the Agreement ,]US,CDA 
arising in the context of a covered procurement, in which it has , or has had, an interest.  The 
procedural rules for all  challenges shall be in writing and made generally available.  
 GPA/TN1994/3/Rev.15  
- 26 - 
  2. In the event of a complaint  by a supplier , arising in the context of covered procurement in 
which the supplier has, or has had, an interest, that there has been a breach of the Agreement [or , 
where the supplier does not have a right to challenge a breach of the Agreement under the domestic 
law of a Party, a failure to comply with a Party's measures implementing the Agreement ]US,CDA, each 
Party shall encourage the pr ocuring 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 prejudicial neither to the supplier's participation in ong oing or future 
procurement nor to the supplier's rights to seek corrective measures under the administrative or 
judicial review procedure.  
 
3. Each supplier shall be allowed a sufficient period of time to prepare and submit a challenge, 
which in no case sh all be less than 10  days from the time when the basis of the challenge became 
known or reasonably should have become known to the supplier.  
 
4. Each Party shall establish or designate at least one impartial administrative or judicial 
authority that is inde pendent of its procuring entities to receive and review a challenge of a supplier  
arising in the context of a covered procurement.  
 
5. Where a body other than an authority referred to in paragraph  4 initially reviews a challenge, 
the Party shall ensure tha t 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 that is not a court shall either be subject to judicial re view or shall have 
procedures which provide that:  
 
(a) the procuring entity shall respond in writing to the challenge  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 challenge;  
 
(c) the participants to the proceedings shall have the right to be represented and 
accompanied;  
 
(d) the participants to the proceedings shall have access to all proceedings;  
 
(e) the participants to the proceedings shall, have the right to request that the 
proceedings take place in public and that witnesses may be presented;  and 
 
(f) decisions or recommendations relating to supplier challenges shall be provided, in a 
timely fashion, in  writing, with an explanation of the basis for each decision or 
recommendation.  
 
7. Each Party shall adopt or maintain procedures that provide for:  
 
(a) rapid interim measures to preserve the supplier's opportunity to participate in the 
procurement.  Such i nterim measures may result in suspension of the procurement 
process . 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 measu res should be applied.  In such circumstances, 
just cause for not acting shall be provided in writing ; and 
 
(b) [corrective action  where a review body has determined that there has been a breach 
of the Agreement or a failure  by a procuring entity to comply with a Party's measures 
implementing ]US,CDA [correction of the breach of]EC the Agreement or compensation 
for the loss or damages  suffered, which may be limited to [either]HKC the costs for GPA/TN1994/3/Rev.15  
- 27 - 
  the preparation of the tender [or the costs relating to  the challenge ]US,CDA,EC[, the 
costs relating to the challenge, or both ]US,CDA,EC ,HKC. 
 
Article XIX Modifications and Rectifications to Cove rage 
[NB: The EC , the US and Norway are still considering th e revision  of this Article, in 
particular its relation to market access negotiations and the appropriateness of an 
arbitration process. ] 
 
Notification of Proposed Modification  
 
1. [Each] [A] Party shall notify the Committee of any proposed rectification, transfer of an entity 
from one Annex to another, withdrawal of an entity, or other modification (referred to generally in 
this Article as "modification") of Appendices I through IV.  The Party proposing the modification 
("modifying Party") shall include in the notification:  
 
(a) for any proposed withdrawal of an entity from Appendix  I in exercise of its rights on 
the grounds that government control or influence over it has been effectively 
eliminated, [including by virtue of liberalization,]EC,NOR,SWI 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 accord ance with paragraph  16; or 
 
(b) for any other proposed modification, information as to the likely consequences of 
the change for the mutually agreed coverage provided in the Agreement.  
 
[2. Where a Party uses a method other than a list of specific entities  to identify its covered entities 
in [[Annex  1,] Annex  2 and ]CDA,JPN Annex  3 of Appendix  I to th e Agreement, the Party shall notify, 
at least annually in accordance with paragraph  1, all proposed modifications to the covered entities 
that are within the scope of the entities generally described or referred to by the Party in the 
Annexes.  Where no such modifications are contemplated a nil report will be provided.]CDA,JPN,US  [NB: 
The EC, Switzerland and Norway consider that this paragraph is a market access  issue. ] 
 
Objection to Notification  
 
3. [A] [Any] [Each] Party whose [rights]US,EC,NOR,JPN [benefits]CDA under the Agreement may be 
affected  by [or who has a systemic interest relating to,]CDA proposed modification notified under 
paragraph  1 shall notify t he Committee of any objection to the proposed modification within 45  days 
from the date of the circulation to the Parties of the notification.  The notification shall set out reasons 
for the objection.  The modifying Party and [each][ the][any] objecting Part y shall seek to resolve the 
objection through consultations.  
 
4. 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, with a 
view to maintaining a balance of rights and obligations and a comparable level of mutually agreed 
coverage provided in the Agreement prior to such notification.  If the modifying Party and [the][any] 
objecting Party are able to resolve the objection through consultations, and the modifying Party 
revises its proposed modification as a result of those consultations, the modifying Party shall notify 
the Committee in accordance with paragraph  1, and any such revised modification shall only be 
effective after fulf illing the requirements of this Article.  
 
Arbitration  
 
5. If the modifying Party and an objecting Party are unable to reach agreement within 110  days 
from the end of the objection period in paragraph  3, or at any earlier date agreed by the Parties, 
the mod ifying Party or any objecting Party may refer the proposed modification  to arbitration, by 
notifying the Committee.  
 
6. Where more than one Party refers a proposed modification to arbitration, the Parties shall 
agree to a single arbitration whenever feasible.  
 
7. Any Party having a substantial interest in a proposed modification brought to arbitration under 
paragraph 5 or 10 and having notified its interest to the Committee (referred to  hereafter as "third GPA/TN1994/3/Rev.15  
- 28 - 
  Party") shall have an opportunity to be heard by the arbitrator and to make written submissions to 
the arbitrator.  These submissions shall also be given to  the Parties to the arbitration and shall be 
reflected in the arbitration determination.  
 
8. The arbitrator shall determine:  
 
(a) in the case of a proposed withdrawal under paragraph  1(a), whether government 
control or influence over the entity proposed to  be withdrawn has been effectively 
eliminated;  or 
 
(b) in the case of any other proposed modification, whether the proposed modification 
would result in a level of coverage comparable to, or greater than, the level of 
mutually agreed coverage provided in t he Agreement and would otherwise maintain 
the balance of rights and obligations under the Agreement.  
 
9. The modifying Party shall submit to the arbitrator prima facie evidence in support of its 
proposed modification.  
 
10. Where the arbitrator makes a nega tive determination under subparagraph (a) or (b) of 
paragraph 8, [upon the request of the modifying Party ,]US,EC the same arbitrator , where available,  
shall determine the level of compensatory adjustment that would result in a comparable level of 
coverage and maintain the balance of rights and obligations under the Agreement.  
[NB: The Parties agree that the sequencing of procedures and the issue of two -step 
arbitrations will have to be reviewed in light of the outcome on whether to allow appeals 
from arbitr ations. ] 
 
11. If the modifying Party revises its proposed modification based on this determination, it  shall 
notify the Committee in accordance with paragraph  1, and any such revised modification shall only 
be effective after fulfilling the requirements of  this Article.  
 
12. The arbitrator shall issue a reasoned determination to the parties to the arbitration and to the 
Committee within 90 days of:  
 
(a) the appointment of the arbitrator  where an arbitration is conducted pursuant to 
paragraph  5; or 
 
(b) the request where an arbitration is conducted pursuant to paragraph  10. 
 
The Committee shall promptly circulate t he determination to the Parties.  
 
13. The Parties to an arbitration shall accept the arbitrator 's determination [as modified by the 
Appellate Body] as [binding ][final][final and binding] . 
 
[14. Any Party to an arbitration [pursuant to paragraph  8(a)] may appeal the arbitrator's 
determination to the Appellate Bo dy in respect of issues of law covered in the determination and 
legal interpretation developed by the arbitrator within [30/60]  days of the circulation of the 
determination to the Parties.  The provisions of the DSU relating to an appeal shall apply mutatis  
mutandis  to an appeal brought under this provision.  [[Third Parties, having participated in the 
arbitration,][Any Party] may make written submissions to, and be given an opportunity to be heard 
by, the  Appellate Body.]EC,US,NOR]EC,ISR,US [NB: Some Parties  are reflecting on the need for 
appeals and the procedures that would apply. ] 
 
Implementation  
 
15. A proposed modification shall become effective only where:  
 
(a) no Party submits to the Committee a written objection to the proposed modification 
within 45  days from the date of circulation of the notification of the proposed 
modification to the Parties to the Agreement under paragraph  1; 
 
(b) each objecting Party has notified the Committee that it withdraws its objection to 
the proposed modification;  GPA/TN1994/3/Rev.15  
- 29 - 
   
(c) no Party refers the proposed modification to arbitration within 120  days from the 
end of the objection period in paragraph  3; or 
 
(d) an arbitrator has determined that:  
 
(i) in the case of a proposed withdrawal under paragraph  1(a), 
government  control or influence over the entity has been effectively 
eliminated;  or 
 
(ii) in the case of a proposed modification under paragraph 1(b), the proposed 
modification would result in a level of coverage comparable to, or greater 
than, the level o f mutually agreed coverage provided in the Agreement and 
would otherwise maintain the balance of rights and obligations under the 
Agreement.  
 
Committee Responsibilities  
 
16. The Committee shall develop working procedures for arbitrations under this Article, 
criteria  that indicate the effective elimination of government control or influence over an entity, 
and criteria that indicate how to determine the level of compensatory adjustment to be offered for 
modifications made pursuant to this provision.1 
 
Article  XX Consultations and Dispute Settlement  
 
1. Each Party shall accord sympathetic consideration to, and shall afford adequate opportunity 
for, consultation regarding such representations as may be made by another Party with respect to 
any matter af fecting the operation of the Agreement . 
 
2. Where any Party considers that any benefit accruing to it, directly or indirectly, under the 
Agreement  is being nullified or impaired, or that the attainment of any objective of the Agreement  
is being impeded as the result of the failure of another Party or Parties to carry out its obligations 
under the Agreement [, or the application by another Party or Parties of any measure, whether or 
not it conflicts with the provisions of the Agreement ,]CDA,JPN,US it may with  a view to reaching a 
mutually satisfactory solution  to the matter, have recourse to the provisions of the Understanding 
on Rules and Procedures Governing the Settlement of Disputes (hereinafter referred to as "the 
Dispute Settlement Understanding").  
 
3. The Dispute Settlement Understanding applies  to consultations and the settlement of disputes 
under the Agreement , with the following modifications:  
 
[(a) other Parties to the Agreement with a substantial trade interest in the consultations 
may request to b e joined in the consultations; ]EC 
 
[(b) in the case of a dispute in which provisions of the Agreement  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, only a Member of the WTO that is a 
Party to this Agreement may, with respect to those parts of the dispute concerning 
the Agreement : 
 
(i) participate in decisions or actions of the Dispute Settlement Body;  
 
(ii) join as a third Party in consultations;  and 
 
(iii) participate as a third Party during panel and Appellate Body 
proceedings ;]JPN,EC,US ,ISR 
 
 
1 The Committee will agree upon the indicative criteria before the concl usion of the GPA 
review/negotiations.  GPA/TN1994/3/Rev.15  
- 30 - 
  [(c) each panel  established by the Dispute Settlement Body to examine a dispute  under 
the Agreement  should include at least one person qualif ied in the area of government 
procurement, unless the Parties to the dispute  agree otherwise ;]US,CDA,JPN and 
 
[(d) notwithstanding paragraph  3 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 un der 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].US,ISR,JPN,CDA ,KOR 
 
[(dbis) Where a Party, pursuant to Article 22.2 DSU, requests authorization to suspend 
concessions or other obligations and either the violation or other nullification or 
impairment is under this Agreement, or the Party envisages suspending concessions 
or other obligations under this Agreement the following principles and procedures 
shall replace those set out in Article 22.3 DSU : 
 
(i) where the panel or Appellate Body has found a violation or other nullification 
or other impairment under this Agreement, the complaining Party should 
first seek to suspend concessions or other obligations under this Agreement.  
If that Party considers that it is not practicable or effective to suspend 
concessions or other obligations under this Agreement, and that the 
circumstances are serious enough, it may seek to s uspend concessions or 
other obligations under another covered agreement;  
 
(ii) where the panel or Appellate Body has found a violation or other nullification 
or other impairment under another covered agreement, the complaining 
Party should first seek to su spend concessions or other obligations under 
that agreement.  If that Party considers that it is not practicable or effective 
to suspend concessions or other obligations under that agreement, and that 
the circumstances are serious enough, it may seek to sus pend concessions 
or other obligations under this Agreement;  
 
(iii) in applying the above principles, that Party shall take into account:  
 
(a) the trade under the Agreement under which the panel or Appellate 
Body has found a violation or other nullification  or impairment, and 
the importance of such trade to that Party;  
 
(b) the broader economic elements related to the nullification or 
impairment and the broader economic consequences of the 
suspension of concession or other obligations;  
 
(iv) if that Party de cides to request authorization to suspend concessions or other 
obligations pursuant to the second sentence of subparagraphs  (i) or (ii), it 
shall state the reasons therefore in its request.  At the same time as the 
request is forwarded to the DSB, it also s hall be forwarded to the Committee 
and the relevant Councils.  
 
(v) all other provisions of Article 22 DSU are applicable to a suspension of 
concessions or other obligations under the GPA.  In such cases, references to 
Article  22.3 DSU in Article  22.6 DSU sh ould be read as a reference to this 
provision. ]EC,SWI 
 
[4. (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 the Agreement  into conformity with the Agreement.  If the Party 
concerned indicates that it is not possible to bring the measures found to be 
inconsistent with the Agreement  into conformity with the Agreement that Party shall, GPA/TN1994/3/Rev.15  
- 31 - 
  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 the Agreement . 
 
(c) Unless a request for arbitrati on has been made, the Party concerned 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 arbitration has been requested, the P arty 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 shall 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 arbitr ation award;  
 
 the complaining Party 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 nu llification 
or impairment that was caused by the measure.]EC 
 
Article  XXI 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 meet 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 the Agreement  or the furtherance of its obje ctives, 
and to carry out such other responsibilities as 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.  
 
Observer s 
 
3. Any WTO Member that is not a Party to the Agreement  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 participa te in the Committee as an observer, and 
may be accorded observer status by the Committee.  
 GPA/TN1994/3/Rev.15  
- 32 - 
  Article  XXII Final Provisions  
 
Acceptance and Entry into Force  
 
1. The Agreement  shall enter into force on  [ ] for those WTO Members whose agreed coverage 
is set out in Annexes  1 through  [6/7] of Appendix  I, and that have, by signature, accepted the 
Agreement  on [ ], or have, by or on that date, signed the Agreement subject to ratification and have 
subsequently ratified 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 app ly. 
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 the Agreement  may accede to the Agreement  
on terms to be agreed between that Member  and the Parties.  Accession shall take place by deposit 
with the Director -General of the WTO of an instrument of accession that states the terms so agreed.  
The Agreement  shall enter into force for an acceding Member on the 30th day following the date of 
its accession to the Agreement . 
 
Reservations  
 
4. No Party may enter any reservation in respect of any provisions of the Agreement . 
 
National Legislation  
 
5. Each Party shall ensure, not later than the date of entry into force of the Agreement  for it, 
the conformity of its laws, regulations and administrative procedures, and the rules, procedures and 
practices applied by its procuring entities, with the provisi ons of the Agreement . 
 
6. Each Party shall inform the Committee of any changes in its laws and regulations relevant to 
the Agreement  and in the administration of such laws and regulations.  
 
Reports and Future Work  
 
7. The Committee shall annually inform th e General Council of the WTO of developments relating 
to the implementation and operation of the Agreement . 
 
8. Not later than the end of [the tenth  year] from the date of entry into force of the Agreement , 
and periodically thereafter, the Parties thereto shall undertake further negotiations, with a view to 
improving the Agreement  and achieving the greatest possible  extension of its coverage among all 
Parties , taking into consideration the needs of developing countries . 
 
9. The Parties shall seek to avoid introducing or continuing discriminatory measures and practices 
that distort open procurement and shall, in the c ontext of negotiations, seek to eliminate those which 
remain on the date of entry into force of the Agreement . 
[NB: The Parties will review the need for this provision at the end of the negotiations. ] 
 
10. Following the conclusion of the work programme for  the harmonization of rules of origin for 
goods being 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 account in amending 
Article  [ ] as appropriate.  
 GPA/TN1994/3/Rev.15  
- 33 - 
  [11. Not later than the end of the third  year from the date of entry into force of the Agreement , 
the Committee shall undertake further work to establish a common nomenclature for describing the 
subject of procurement 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,SWI 
 
Amendments  
 
12. The Parties may amend the 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 [not enter into force for any Party until it has been 
accepted by such Party]US [take effect for the Parties that have accepted them upon acceptance by 
two-thirds of the Parties and thereafter for each other Party upon acceptance by it] .EC,JPN,KOR 
 
Withdrawal  
 
13. Any Party may withdraw from the Agreement . The withdrawal shall take effect upon the 
expiration of 60  days from the date the Director -General of the WTO receives written notice of the 
withdrawal.  Any Party may upon such notification request an immediate me eting of the Committee.  
 
14. If a Party to the Agreement  ceases to be a Member of the WTO, it shall cease to be a Party to 
the Agreement  with effect from the same date.  
 
Non-application of the Agreement  between Particular Parties  
 
15. The Agreement  shall n ot apply as between any two Parties if either Party, at the time it accepts 
or accedes to the Agreement , does not consent to such application.  
 
Appendices  
 
16. The Appendices to the Agreement  constitute an integral part thereof.  
 
Secretariat  
 
17. The Agree ment shall be serviced by the WTO Secretariat.  
 
Deposit  
 
18. The Agreement  shall be deposited with the Director -General of the WTO, who shall promptly 
furnish to each Party a certified true copy of the Agreement , of each rectification or modification 
there to pursuant to paragraph  [ ] and of each amendment thereto pursuant to paragraph  12, and a 
notification of each accession thereto pursuant to paragraph  3 and of each withdrawal therefrom 
pursuant to paragraph  13. 
 
Registration  
 
19. The Agreement  shall be r egistered 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.  GPA/TN1994/3/Rev.15  
- 34 - 
  [PROPOSED STRUCTURE AND CONTENT OF ANNEXES TO APPENDIX  I 
PROPOSAL BY THE UNITED STATES  
ANNEX  1 
 
Central Government Entities  
 
 
1. The Agreement applies to central government entities listed in this Annex where the value of 
the procurement is estimated, in accordance with Article  II:9-11, to equal or exceed, for 
procurement of:  
 
(a) goods and services:  [threshold ] 
 
(b) construction services:  [threshold ] 
 
2. Unless otherwise specified in this Schedule,  all agencies subordinate to the listed entities are 
covered by the Agreement.  
 
List of Entities  
 
1. Entity  A (Note 2) 
 
Notes to Annex  1 
 
1. Entity  A: The Agreement does not cover the procurement of [ e.g., specific subordinate entity 
of Entity  A]. 
 
_______________  
 
 
ANNEX  2 
 
Sub-Central Government Entities  
 
 
1. The Agreement applies to the sub -central government entities [ listed in this Annex or whose 
coverage under the Agreement is specified through definitions or descriptions in this Annex ], where 
the value of the procurement is estimated, in accordance with Article  II:9-11, to equal or exceed:  
 
(a) goods and services:  [threshold ] 
 
(b) construction services:  [threshold ] 
 
2. [A statement relating to the coverage of agencies subordinate to the covered  entities .] 
 GPA/TN1994/3/Rev.15  
- 35 - 
  Covered Entities  
 
List of Entities  
 
1. Entity  A (Note 2) 
 
OR 
 
Specification of coverage of the Annex through definitions or descriptions  
 
 [When a Party lists entities based on reference to legislation or generic descriptions, provide 
an explanation describing precisely how a supplier determines that such an entity is within the scope 
of the referenced legislation or description.]CDA 
 
Notes to Annex  2 
 
1. The Agreement covers procurement only by those entities listed in this Annex or other wise 
covered by this Annex.  
 
2. Entity  A: The Agreement does not cover the procurement of [ specific good or service ]. 
 
_______________  
 
 
ANNEX  3 
 
Other Entities  
 
 
1. The Agreement applies to the entities listed in this Annex where the value of the procurem ent 
is estimated, in accordance with Article  II:9-11, to equal or exceed:  
 
(a) goods and services:  [threshold ] 
 
(b) construction services:  [threshold ] 
 
2. [A statement relating to the coverage of agencies subordinate to the covered entities .] 
 
List of Entities  
 
1. Entity  A 
 
OR 
 
Specification of coverage of the Annex through definitions or descriptions  
 
 [When a Party lists entities based on reference to legislation or generic descriptions, provide 
an explanation describing precisely how a supplier deter mines that such an entity is within the scope 
of the referenced legislation or description.]CDA 
 
Notes to Annex  3 
 
_______________  
 
 GPA/TN1994/3/Rev.15  
- 36 - 
  ANNEX  4 
 
Goods  
 
 
1. The Agreement applies to all goods procured by the entities listed in Annexes  1 through  3, 
unless otherwise specified with respect to specific procuring entities in the Agreement.  
 
_______________  
 
 
ANNEX  5 
 
Services  
 
 
1. The Agreement applies to all services procured by the entities listed in Annexes  1 through  3, 
unless oth erwise specified in the Agreement, including this Annex.  
 
2. The Agreement does not cover the procurement of the following services, as elaborated in the 
WTO system of classification – MTN.GNS/W/120:  
 
[List of excluded services ] 
 
Notes to Annex  5 
 
 [Any no tes related to coverage of services would be set out here. ] 
 
_______________  
 
 
ANNEX  6 
 
Construction Services  
 
 
1. The Agreement applies to all construction services procured by the entities listed in 
Annexes  1 through  3, unless otherwise specified in the Agreement, including this Annex.  
 
2. The Agreement does not cover the procurement of the following construction services:  
 
[List of excluded services ] 
 
Notes to Annex  6 
 
 [Any notes related to coverage of construction services would be set  out here. ] 
 
_______________  
 
 
ANNEX  7 
 
General Notes  
 
 
 Unless otherwise specified herein, the following General Notes apply without exception to the 
Agreement, including to Annexes 1  through  6.]US 
 GPA/TN1994/3/Rev.15  
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  PROPOSED DECISION OF THE COMMITTEE ON GOVERNMENT PROCUR EMENT  
 
INDICATIVE CRITERIA PURSUANT TO ARTICLE  XIX:16 [OF THE REVISED GPA] [RELATING TO 
ELIMINATION OF GOVERNMENT CONTROL OR INFLUENCE  
OVER AN  ENTITY'S PROCUREMENT DECISIONS ]HKC,JPN  
 
Decision of [day/month/year]  
 
[NB: The Parties are reviewing the proposed criteria, but recognize that further work is 
needed.  Some preliminary comments have been incorporated in the text below. ] 
 
 
 The Committee on Government Procurement,  
 
 Noting  that Article  XVIII:14 provides that the Committee shall develop criteria  that may 
indicate the effective elimination of government control or influence over an entity;  
 
 Hereby decides  as follows:  
 
 [A Party proposing to withdraw an entity from Appendix  I ("modifying Party"), pursuant to 
Article  XIX:1, on the grounds that gove rnment control or influence over the entity has been 
effectively eliminated shall include in the notification evidence that such control or influence has 
been effectively eliminated, including information that addresses, as appropriate, the following 
indicative criteria]US,SWI,NOR,HKC [A Party shall include, as appropriate, in the notification evidence that 
addresses the effective elimination of government control or influence and that directly relates to 
the following indicative criteria]EC,KOR: 
 
[(a) whether a law, regulation, procedure, or administrative guidance governs any aspect 
of the management or operation of the entity and such measure does not apply to 
other enterprises that are engaged in the same sector or industry;  
 
(b) whether the entity has b een created by a law or regulation to perform activities in 
the furtherance of a legally mandated public purpose;]US 
 
(c) whether the government holds a direct or indirect controlling interest in the entity's 
capital and voting rights;  
 
(d) whether the gov ernment appoints any of the entity's managers or directors or 
otherwise participates in the management or control of the entity;  
 
[(e) whether the entity is accountable to the government or to the public treasury in 
respect of the profitability of the enti ty;]US 
 
(f) whether the government exercises formal or informal oversight or supervision of an 
entity's business decisions or operations, beyond the normal regulatory oversight of 
the relevant industry;  
 
(g) the extent to which the entity is financially or  commercially dependent on the 
government through such means as:  
 
(i) the government [provides support to or]US subsidizes the entity, and, if so, 
whether such subsidy represents a one -time public investment or a 
continuous operating subsidy;  and 
 
(ii) the government purchases a substantial proportion of the entity's goods or 
services;  
 
(h) whether the government h as granted [to the entity]US special or exclusive legal or 
economic rights or benefits that may alter the competitiveness of [the]US entity's 
goods or services in a commercial market or otherwise influence the entity's business 
decisions;  [and]US [or]EC 
 GPA/TN1994/3/Rev.15  
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  [(i) whether the entity is engaged in the provision of goods or services in commercial 
markets subject to genuine competition and to which access is not restricted, it being 
acknowledged that government control or influence over an entity through 
shareholdi ng, participation on the management board, financing or any other means 
may be neutralised insofar as the entity's procurement is concerned where the entity 
is exposed to genuine competition on markets to which access is not restricted;]EC 
 
[(j) whether th e government has disposed of all of its share in the entity's capital and 
voting rights, the government has completed all the domestic legal procedures 
necessary for the privatisation of the entity, and government's control or influence 
over appointments o f managers or directors and business decisions of the entity has 
been effectively abolished, it being acknowledged that if the aforesaid all three 
conditions are satisfied, the government control or influence over the procuring 
entity can be considered eff ectively eliminated even if the other criteria are not 
met;]KOR,JPN 
 
[(k) whether the entity is exclusively engaged in the provision of goods or services in 
commercial markets subject to genuine competition or whether it has mixed 
governmental and commerci al functions].US 
 GPA/TN1994/3/Rev.15  
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  PROPOSED DECISION OF THE COMMITTEE ON GOVERNMENT PROC UREMENT  
PURSUANT TO ARTICLE  XIX:16 OF THE REVISED GPA  
 
WORKING PROCEDURES FOR ARBITRATION UNDER ARTICLE  XIX 
 
Decision of [day/month/year]  
 
 
 The Committee on Government Procurement,  
 
 Noting  that Article  XIX:16 provides that the Committee shall develop working procedures for 
arbitrations;  
 
 Hereby adopts  the following working procedures for arbitrations under Article  XIX: 
 
Appointment of the Arbitrator  
 
1. Arbitrators shall be drawn from the same body of persons eligible to serve as panelists under 
Article  XX of the Agreement . Unless the Parties participa ting in the arbitration otherwise agree, 
the arbitrator shall consist of three persons.  
 
2. If the Parties participating in the arbitration cannot agree on an arbitrator within 20  days after 
referring the matter to arbitration, the Director -General shall a ppoint the arbitrator within 10  days, 
after consulting the Parties.  
 
3. The expression "arbitrator" shall be interpreted as referring either to an individual or a group.  
 
Procedures  
 
4. In its proceedings the arbitrator shall apply  the relevant provisions of the Agreement.  In 
addition, the following working procedures shall apply:  
 
(a) The arbitrator  shall meet in closed session.  The Parties to the arbitration shall be present 
at the meet ings only when invited by the arbitrators to appear before them.  
 
(b) Before the substantive meeting of the arbitrator with the Parties, the Parties to the 
arbitration shall transmit to the arbitrator written submissions in which they present the 
facts of the case and their arguments . 
 
(c) The deliberations of the arbitrator and the documents submitted shall be kept 
confidential.  Nothing in these Procedures shall preclude a Party to an arbitration from 
disclosing statements of its own positions to the publi c. Parties shall treat as confidential 
information submitted by another Party to the arbitrator which that Party has designated 
as confidential.  Where a Party to the arbitration submits a confidential version of its 
written submissions to the arbitrator, i t shall also, upon request of a Party, provide a 
non-confidential summary of the information contained in its submissions that could be 
disclosed to the public . 
 
(d) At its substantive meeting with the Parties, the arbitrator shall ask the 
[modifying]US,JP N,CDA Party [which has requested arbitration]EC to present its case.  
Subsequently, and still at the same meeting, the [objecting]US,JPN,CDA Party [against 
which the arbitration has been brought]EC shall be asked to present its point of view.  
 
(e) The arbit rator shall provide all third parties the opportunity to be heard an d to make 
written submissions.  [To this effect they shall be invited to attend all substantive 
meetings with the Parties and to present oral and written submissions.]NOR 
 
(f) The arbitrator may at any time put questions to the Parties and ask them for 
explanations either in the course of a meeting with the Parties or in writing.  
 
(g) The Parties to the arbitration shall submit to the arbitrator a written version of their oral 
statements.  GPA/TN1994/3/Rev.15  
- 40 - 
   
(h) In the interest of full transparency, the presentations, rebuttals and statements shall 
be made in the presence of the parties.  Moreover, each Party's written submissions, 
including any responses to questions put by the arbitrator, sh all be made available to 
the other Party or Parties.  
 
(i) The Rules of Conduct for the Understanding on Rules and Procedures Governing the 
Settlement of Disputes  shall apply [to each arbitrator ] [to each person serving ] [as an 
arbitrator] [ on an arbitral p anel] under Article  XIX and, as specified in the Rules of 
Conduct  and the relevant provisions of the Staff Regulations, to those members of the 
Secretariat called upon to assist the arbitrator.  
 
(j) The arbitrator may seek information from any relevant sou rce and may consult experts 
to obtain their opinion on certain aspects of the matter.  The arbitrator shall inform the 
Parties to the arbitration of any consultations with experts.  
 
(k) Any additional procedures specific to the arbitration shall be determin ed by the 
arbitrator in consultation with the Parties to the arbitration.  
 
Proposed Timetable for Arbitration  
 
5. If the Parties participating in the arbitration are unable to agree on a timetable for the 
arbitration within 10  days after the appointment of  the arbitrator, the following timetable shall 
apply2: 
 
(a) Receipt of first written submissions of the Parties:  
(1) [requesting P]EC [modifying P]US,JPN,CDAarty: ----------  2 weeks  
(2) [responding P]EC [objecting P]US,JPN,CDAarty: ----------  2 weeks  
 
[(b) Receipt of third Party submissions:  ----------  1 week]US,EC,JPN 
 
(b/c) Meeting with the Parties:  ----------  1-2 weeks  
 
(c/d) Replies to questions:  ----------  1-3 weeks  
 
(d/e) Receipt of written rebuttals of the Parties:  ----------  1-2 weeks  
 
(e/f) Issuance and circulation of the arbitrator's report:  ----------  4-6 weeks  
 
The above calendar may be changed in the light of unforeseen developments.  Additional meetings 
with the Parties shall be scheduled if required.  
 
__________  
 
2 [Negotiator's note:  The entire Article  XVII process normally would take a maximum of 331 days 
(i.e. about 47 weeks or 11 months):  45 days to object to proposed modification;  120 days to consult;  20 days 
to choose an arbitrator;  10 days for the Director -General to appoint an arbitrator;  10 days for parties to 
discuss, and possibly agree on, a timetable;  126 days for the arbitration (from first submission to issuance and 
circulation of report).]