This Agreement shall apply to:

(a)

Any law, regulation, and any procedure and practice concerning any contract relating to goods, whether in the form of purchase or in the form of a lease, lease or rental-sale, with or without option of purchase, by the entities ¹ Covered by this Agreement, including ancillary services for the supply of goods if the value of such ancillary services does not exceed that of the goods themselves, but not the service contracts as such;

(b)

Any market with a value equal to or greater than 130,000 SDRs. ^{2 3} The quantities to be acquired shall in no case be sealed with the intention of reducing the value of the contracts to close below 130 000 SDRs. If the quantity to be acquired from one or more products of the same type is such that more than one contract is concluded or contracts are entered in separate lots, the basis for the application of this Agreement shall be either the actual value of the contracts Successive analogues past the preceding twelve months or fiscal year, corrected, if possible, to reflect changes in quantity and value that would occur within the next twelve months, i.e., the estimated value of the contracts In the course of the year or twelve months after the initial contract. The choice of the valuation method by the entity will not be used to circumvent the agreement.

For product contracts in the form of leasing, leasing or leasing, the basis for calculating market value will be as follows:

(i)

In the case of fixed term contracts, the calculation shall be based on the total value of the contract for its duration if it is less than or equal to twelve months, or its total value, including the estimated residual value, if its duration exceeds Twelve months;

(ii)

In the case of contracts of indefinite duration, the calculation basis will be the monthly instalment, multiplied by 48;

(iii)

In case of doubt, the second basis will be used, namely ii).

Where a contract expressly provides for options, the basis for the application of this Agreement shall be the total value of the maximum authorized for purchases, leases, rentals or Io cations -sales, including options;

(c)

Contracts awarded by entities that, directly or for the most part, report to the authority of Parties and other designated entities in respect of their contracting procedures and practices. Until the examination and the new negotiations referred to in the Final Provisions, the scope of this Agreement shall be determined by the lists of entities and, to the extent that corrections, amendments or amendments thereto Would have been made, the successor entities, included in Annex I.

2. The Parties shall inform their entities not covered by this Agreement, as well as the regional and local governments and administrations of their territorial jurisdiction, of the objectives, principles and rules of this Agreement, in particular the rules On national treatment and non-discrimination, and will draw their attention to the overall benefits of liberalisation in the field of public procurement.

1. With respect to all laws, regulations, and all procurement procedures and practices covered by this Agreement, the Parties shall immediately and unconditionally provide products originating in the Customs territory (including free zones) of the Parties to this Agreement and to suppliers offering these products, a treatment that will not be less favourable

(a)

That accorded to domestic products and suppliers, or

(b)

That granted to the products of any other Party and their suppliers.

2. With respect to all laws, regulations and all procurement procedures and practices covered by this Agreement, the Parties shall ensure that:

(a)

That their entities do not grant to a supplier established in the national territory a less favourable treatment than that accorded to another supplier established in the national territory, depending on the degree of foreign control or participation;

(b)

That their entities do not discriminate against suppliers established in the national territory according to the country of production of the product provided, provided that the country of production is a Party to the agreement in accordance with the Provisions of s. 4 of this article.

3. The provisions of s. 1 above shall not apply to customs duties and impositions of any kind levied on importation or on the occasion of importation, the manner in which such duties and charges are levied, or the other regulations and import formalities.

4. The Parties shall not, in respect of products imported for the purposes of a procurement covered by this Agreement and from other Parties, apply rules of origin different from those that will apply in normal commercial transactions At the time of importation, to imports of the same goods from the same Parties.

Objectives

In the implementation and administration of this Agreement, the Parties shall take due account, through the implementation of the provisions of this Article, of the development, financial and trade needs of developing countries, and Least developed among them, considering the need for them to be

(a)

Safeguard their balance of payments and ensure a sufficient volume of reserves for economic development programmes,

(b)

Promote the creation or development of domestic industries, including the development of small industries and cottage industries in rural or delayed areas, as well as the economic development of other sectors The economy,

(c)

To provide support to industrial establishments as long as they depend entirely or substantially on public procurement,

(d)

Encourage their economic development through regional or global arrangements between developing countries, which have been submitted to the Contracting Parties To the General Agreement and will not have disapproved.

2. In accordance with the provisions of this Agreement, the Parties, when developing and enforcing government procurement laws, regulations or procedures, will facilitate increased imports from countries Development, bearing in mind the special problems of the least developed countries and countries whose economic development is in its early stages.

Scope of application

3. With a view to ensuring that developing countries can accede to this Agreement on conditions consistent with the needs of their development, finances and trade, due regard shall be given to the objectives Statements to s. 1 above during negotiations on the lists of entities of developing countries to which the provisions of this Agreement apply. In establishing the lists of their entities to which the provisions of this Agreement shall apply, the developed countries shall endeavour to include entities that enter into contracts for products whose exports are of interest to them. Developing countries.

Agreed Exceptions

4. Developing countries may negotiate with other participants in the negotiation of this Agreement mutually acceptable exceptions to the rules of national treatment, with regard to certain entities or products In their lists of entities, having regard to the particular circumstances of each case. In the course of these negotiations, due consideration will be given to the considerations mentioned in para. 1 (a) to (c) above. Developing countries participating in regional or global arrangements between developing countries referred to in s. 1 (d) above may also negotiate exceptions to their lists, having regard to the special circumstances of each case, taking into account, inter alia, the procurement provisions contained in the regional arrangements or In particular of the products which would be the subject of joint industrial development programmes.

5. After the entry into force of this Agreement, the developing countries which are Parties to this Agreement may amend their lists of entities in accordance with the provisions of Art. IX, para. 5, of the Agreement, relating to the modification of those lists, having regard to the needs of their development, their finances and trade, or to request the Committee to consent to exceptions to the rules of national treatment in respect of Certain entities or products included in their lists of entities, having regard to the particular circumstances of each case and taking due account of the provisions of s. 1 (a) to (c) above. The developing countries Parties to this Agreement may also request the Committee, after the entry into force of the Agreement, to consent to exceptions in respect of certain entities or products included in their lists, in Their participation in regional or global arrangements between developing countries, having regard to the particular circumstances of each case and with due regard to the provisions of s. 1 (d) above. Any request made to the Committee by a developing country Party to the Agreement concerning the modification of a list shall be accompanied by relevant documentation and any information that may be required for the examination of the Question.

6. The s. 4 and 5 above shall apply mutatis mutandis to developing countries acceding to this Agreement after entry into force.

7. The agreed exceptions referred to in s. 4, 5 and 6 above shall be examined in accordance with the provisions of paragraph 14 of this article.

Technical assistance to developing countries Parties to the Agreement

The developed countries Parties to this Agreement shall provide, upon request, all technical assistance that they deem appropriate to the developing countries Parties to the Agreement, with a view to resolving the market problems of these countries Public.

This assistance, which will be provided on the basis of the principle of non-discrimination among developing countries Parties to the agreement, will include

-

On the solution of specific technical problems relating to the award of specified contracts,

-

On any other problems that the requesting Party and another Party would agree to deal with as part of that assistance.

10. Technical assistance referred to in s. 8 and 9 above may include the translation, from a GATT language designated by the entity, of qualification documents and tenders from suppliers of developing country Parties to the Agreement, unless the developed countries Parties to the agreement do not consider translation to be too cumbersome a task, in this case an explanation will be provided to the developing countries Parties to the agreement that will apply to them either to the developed countries Parties to the agreement, or to their Entities.

Information Centres

11. Developed country Parties to this Agreement shall establish, individually or jointly, information centres responsible for responding to reasonable requests for information from developing countries Parties to the Agreement and Concerning, inter alia, laws, regulations, procedures and practices relating to public procurement, notices relating to published market projects, addresses of entities covered by this Agreement, and the nature and volume of Products that have been or will be the subject of a contract, including information available on Future tenders. The committee will also be able to create an information centre.

Special treatment for the least developed countries

12. Having regard to s. 6 of the Tokyo Declaration, special treatment shall be accorded to the least developed countries which are Parties to this Agreement and to the suppliers established in those countries, in respect of products originating in those countries, in

The framework of any general or specific measures in favour of developing countries Parties to the agreement. The Parties may also grant the benefit of this Agreement to suppliers established in the least developed countries which are not Parties, in respect of products originating in those countries.

The developed countries Parties to this Agreement shall provide, upon request, the assistance that they deem appropriate to potential bidders established in the least developed countries for the submission of their bids and the selection of Products that may be of interest to the entities of the developed countries as well as for suppliers established in the least developed countries, and will also assist them in complying with technical regulations and standards Products that are the subject of the proposed contract.

Review

The Committee shall review each year the application and effectiveness of the provisions of this Article and, on the basis of reports to be submitted by the Parties, shall conduct an in-depth review every three years in order to assess its effects. Within the framework of these triennial reviews, and with a view to achieving the widest possible implementation of the provisions of this Agreement, including in particular its art. 11, and in view of the development, finance and trade situation of the developing countries concerned, the Committee will consider whether the exceptions provided for in accordance with the provisions of s. 4 to 6 of this Article shall be amended or extended.

15. In the course of the new series of negotiations which will be initiated in accordance with the provisions of Art. IX, para. 6, the developing countries Parties to this Agreement shall take into account the possibility of adding new entities to their lists, taking into account their economic, financial and commercial situation.

Technical specifications defining the characteristics of products which will be the subject of a market, such as quality, employment properties, safety and dimensions, tests and test methods, symbols, Terminology, packaging, marking and labelling, as well as the requirements for certification of conformity as defined by the contracting entities, will not be established, adopted or applied in order to create obstacles to trade Nor will it create any unnecessary obstacles to the International trade.

(2) Any technical specification prescribed by a procuring entity shall, where appropriate, be

(a)

Defined according to the employment properties of the product rather than its design, and

(b)

Based on international standards, national technical regulations or recognized national standards.

(3) It shall not be required or mentioned trademarks, patents, models or particular types, or specific origins or producers, unless there is no sufficiently precise or intelligible way of Describe market conditions and the condition that terms such as "or equivalent" are included in the tenders.

4. Contracting entities shall not solicit or accept, in a manner which would have the effect of precluding competition, an opinion which may be used for the establishment of specifications relating to a particular market, on the part of a company That may have a commercial interest in the market.

The Parties shall ensure that the procurement procedures followed by their entities are in accordance with the following provisions. The Open Tendering procedure, for the purposes of this Agreement, is that all interested suppliers may bid. The selective tendering procedure for the purposes of this Agreement shall be that in accordance with paragraph 1. 8 and other relevant provisions of this Article, suppliers admitted to tender shall be those who are invited to do so by the entity. The single tendering procedure (over-the-counter contracts), for the purposes of this Agreement, is that the entity is directed to individual suppliers, in the sole circumstances set out in s. 16 below.

Supplier Qualification

2. In the qualification of suppliers, entities shall not discriminate between foreign suppliers or between domestic suppliers and foreign suppliers. Qualification procedures shall be in accordance with the following provisions:

(a)

The conditions for participation in the tender procedures will be published in due time to enable interested suppliers to engage and, to the extent that this is compatible with the efficient functioning of the procurement mechanism Contracts, to complete the qualification procedures;

(b)

The conditions for participation in the tender procedures will be limited to those necessary to ensure that the undertaking is capable of carrying out the contract in question. The conditions of participation imposed on suppliers, including financial guarantees, technical qualifications and information necessary to establish their financial, commercial and technical capacity, as well as the verification of Qualifications, will not be less favourable to foreign suppliers than domestic suppliers and will not discriminate between foreign suppliers. The financial, commercial and technical capacity of a supplier shall be judged both on the basis of its overall commercial activity and on the basis of its activity in the territory of the procuring entity, taking due account of the legal links between the Supplier organizations;

(c)

The supplier qualification procedure and the time required to do so will not be used to remove foreign suppliers from a list of suppliers or to prevent them from being taken into account in a proposed procurement Special. Entities will recognize as qualified suppliers domestic or foreign suppliers who will meet the expected participation requirements for a particular market project. Suppliers who request a tender for a particular market project, and who are not yet qualified, will also be considered on the condition that the qualification procedures can be completed in time Desired;

(d)

Entities that maintain permanent lists of qualified suppliers will ensure that suppliers are able to apply at all times to be qualified and that all qualified suppliers who request them are included on these lists Within a reasonable period of time;

(e)

Any supplier who has applied to become a qualified supplier will be notified by the entities concerned of the decision taken on this matter. Qualified suppliers who have been placed on a permanent list by entities will also be informed of the cancellation of the list or their exclusion;

(f)

The Parties will ensure that:

(i)

Each entity and its various departments follow a single qualification procedure, except in cases where the need to follow different procedures is duly established,

(ii)

Efforts are being made to minimize differences in qualification procedures between entities;

(g)

No provisions of paras. (a) to 0 above shall not prevent the exclusion of a supplier on grounds such as bankruptcy or false declarations, provided that such measure is compatible with the provisions of this Agreement relating to national treatment and Non-discrimination.

3. Entities shall not give to a potential supplier information concerning a particular market in a manner which would have the effect of preventing competition.

Notice of proposed contract and tender documentation

4. Entities shall publish an opinion on each proposed procurement in the appropriate publication listed in Annex Il. This notice shall constitute an invitation to participate either in an open tendering procedure or in a selective tendering procedure.

5. Each contract notice will contain the following information:

(a)

Nature and quantity, including any options for additional quantities, the products to be supplied, and, where possible, the estimated time limit for the exercise of these options -, in the case of renewable markets, nature and quantity, and, if possible, time limit The publication of subsequent tender notices for the products to be the subject of the contract;

(b)

Open or selective character of the procedure,

(c)

Delivery date, if any,

(d)

Address and deadline for the filing of applications for an invitation to tender or the qualification for listing on the list of suppliers, or for the receipt of tenders, as well as the language or languages allowed for them Overview,

(e)

Address of the entity that must enter the contract and provide the information necessary to obtain the specifications and other documents,

(f)

Economic and technical conditions, financial guarantees and information required from suppliers,

(g)

Amount and manner of payment of any amount payable for the purpose of obtaining tender documentation,

(h)

Form of the contract that is the subject of the tender: purchase, lease, lease or hire-sale, or several of these forms.

The entity shall publish, in one of the official languages of the GATT, a summary of the contract notice containing at least the following indications:

(i)

Market object,

(ii)

Deadline for the submission of bids or requests for an invitation to tender, and

(iii)

Addresses where market documents may be requested.

6. In order to ensure optimum effective international competition in the case of selective procedures, the entities, for each market project, will invite the largest number of suppliers, both domestic and foreign, to tender Consistent with the effective functioning of the contracting mechanism. They shall select in a fair and non-discriminatory manner the suppliers admitted to participate in these proceedings.

7.

(a) In the case of selective procedures, entities that maintain permanent lists of qualified suppliers shall publish each year, in one of the publications listed in Annex III, a notice containing the following information:

(i)

Enumeration of the existing lists, including the headings of those lists, in relation to the products or categories of products to be marketed on the basis of those lists,

(ii)

Conditions to be met by potential suppliers to be entered on these lists, and methods of verification of each of those conditions by the entity concerned,

(iii)

Period of validity of the lists and formalities of their renewal.

(b)

Entities that maintain permanent lists of qualified suppliers will be able to select suppliers who will be invited to bid on those lists. Any selection will give fair opportunities to suppliers on the lists.

(c)

If, after the publication of the notice referred to in s. 4 above, a supplier who is not yet qualified to respond to a call for tenders, the entity shall promptly enter into the qualification procedure.

8. Suppliers requesting a bid for a particular procurement will be allowed to bid on it and will be taken into consideration, if they are not yet qualified suppliers, that the qualification procedure can be Completed in a timely manner in accordance with paras. 2 to 7 of this article. The number of additional suppliers allowed to bid will be limited only by the need to safeguard the efficient operation of the procurement mechanism.

9. If, after the publication of a notice concerning a proposed procurement, but before the date fixed for the opening or receipt of tenders which has been specified in the notice or tender documentation, it becomes necessary to Amend the notice or make it appear again, the amendment or new notice will receive the same circulation as the originating documents that were the subject of the amendment. Any significant information communicated to a supplier about a particular procurement will be communicated simultaneously to all other suppliers concerned, in a timely manner to enable them to take into account and act in accordance with the Consequence.

10. (a)

Any time limit will have to be sufficient to allow both foreign and domestic suppliers to prepare and file their bids prior to the closing of tender procedures. In setting this time limit, the entities shall take into account, in a manner consistent with their reasonable needs, elements such as the complexity of the proposed market, the importance of the subcontracting to be expected, and the time normally required for The delivery of tenders, by mail, from abroad as well as from the country itself.

(b)

In a manner consistent with the reasonable requirements of the entity, any delivery date shall be fixed taking into account such factors as the complexity of the proposed contract, the importance of subcontracting to be foreseen, and the time objectively Necessary for the production, the exit of stock and the transport of the goods from the places where they are provided.

11. (a)

In open proceedings, the time limit for the receipt of tenders shall not be less than forty days from the date of the publication of the notice referred to in subs. 4 of this article.

(b)

In selective procedures which do not involve the use of a permanent list of qualified suppliers, the time limit for submitting an application to be invited to tender shall in no case be less than twenty-five days from The publication of the notice referred to in s. 4; the time limit for the receipt of tenders shall not be less than forty days from the date of dispatch of the invitation to tender.

(c)

In selective procedures involving the use of a permanent list of qualified suppliers, the deadline for receipt of tenders will not be less than forty days from the initial sending of invitations to Bid. If the date of the initial submission of the solicitations does not coincide with the date of issuance of the notice referred to in s. 4, the interval between these dates shall in no case be less than forty days.

(d)

The time limits referred to in paras. (a), (b) and (c) above may be shortened if it is a second publication or a subsequent publication in respect of renewable markets within the meaning of subs. 5 of this article. The deadline for receipt of bids will not be less than twenty-five days. The second publication or subsequent publication should contain a reference to identify the first publication.

(e)

The time limits referred to in paras. (a), (b), (c) and (d) above may be shortened when the emergency duly established by the entity makes them unobservable, but shall not be less than ten days from the date of publication referred to in subs. 4 of this article.

(f)

The Parties shall ensure that their entities take due account of publication deadlines when setting the deadline for the receipt of tenders or for the filing of applications for an invitation to tender.

12. If, in tendering procedures, an entity permits the submission of tenders in several languages, one of these languages shall be one of the official languages of the GATT.

13. The tender documentation provided to suppliers will contain all the information necessary for them to submit responsive tenders, including the information to be published in the Notice of Proposed Market, with the exception of those mentioned in para. 5, para. (g) of this section, and the following information:

(a)

The address of the entity to whom tenders should be sent,

(b)

The address where requests for further information should be sent,

(c)

The language (s) to be used in the submission of tenders and accompanying documents,

(d)

The deadline and the time limit for the receipt of tenders, as well as the period during which all bids should be accepted,

(e)

The persons admitted to attend the opening of the tenders and the date, time and place of the opening,

(f)

Economic and technical conditions, financial guarantees and information or parts, required from suppliers,

(g)

The complete description of the products requested or of any requirements, including the technical specifications and the certification of conformity, to which the products must comply, and the necessary plans, drawings and instructions,

(h)

The award criteria, including all elements, other than price, that will be considered in the evaluation of bids, and the elements of costs to be considered in the evaluation of bid prices, such as costs of Transport, insurance and inspection and, in the case of foreign goods, customs duties and other import charges, taxes and currency of payment,

(i)

The terms of payment,

(j)

Any other terms and conditions.

14. A)

In the open procedures, the entities will communicate the tender documentation to any participating supplier who requests it, and will respond promptly to any reasonable request for an explanation of this Documentation.

(b)

In selective procedures, the entities will communicate the tender documentation to any supplier who requests to participate and will respond promptly to any reasonable request for an explanation of this Documentation.

(c)

Entities shall promptly respond to any reasonable request for relevant information concerning the invitation to tender which will be made by a participating supplier, provided that this information does not provide that supplier with a Advantage over its competitors in the auction process.

Submission, Receipt and Opening of Bids, and Contract Award

The submission, receipt and opening of bids, as well as the award of contracts, shall be consistent with the following:

(a)

Tenders will normally be submitted in writing, directly or by mail. If it is authorized to submit tenders by telex, telegram or telefacsimile, the submission so presented shall contain all the information necessary for its evaluation, in particular the final price offered by the tenderer and the tenderer. Declaration by which the tenderer accepts all the terms, conditions and provisions of the invitation to tender. The submission must be confirmed promptly by letter or by sending a signed copy of the telex, telegram or fax. Submission of tenders by telephone will not be permitted. The contents of the telex, telegram or facsimile shall prevail if there is any discrepancy or contradiction between that content and any documentation received after the expiration of the time limit; applications for participation in selective procedures may be Submitted by telex, telegram or telefacsimile;

(b)

Opportunities that may be awarded to bidders to correct inadvertent errors between bid opening and contract award will not result in discriminatory practices;

(c)

No supplier will be penalized if, as a result of a delay solely attributable to the entity, its bid is received after the expiration of the time limit by the designated service in the tender documentation. Submissions may also be taken into account in other exceptional circumstances if the procedures of the entity concerned so provide;

(d)

All tenders requested by entities in the framework of open or selective procedures shall be received and opened in accordance with procedures and conditions guaranteeing the regularity of openness and access to information which Arise. The receipt and opening of tenders shall also be in accordance with the provisions of this Agreement concerning national treatment and non-discrimination. For this purpose, and with respect to open procedures, the entities shall establish provisions for the opening of tenders in the presence of tenderers or their representatives, or of an appropriate and impartial witness, who is Foreign to the procurement process. Minutes of the opening of tenders shall be drawn up. This record shall remain in the hands of the entity concerned and at the disposal of the public authorities of which it is responsible, in order to be used, if necessary, for the procedures laid down in Art. VI and VII of this Agreement;

(e)

In order to be considered for award, bids must comply with, at the time of their opening, the essential conditions specified in the notices or tender documentation, and have been filed by Suppliers fulfilling the conditions of participation. If an entity has received an abnormally lower bid than the other bids submitted, it will be able to obtain information from the bidder to ensure that it is able to meet the conditions of participation and that it is capable of Satisfy the terms of the contract;

(f)

Unless it decides, for reasons of public interest, not to enter the contract, the entity shall award it to the tenderer who has been fully qualified to carry out the contract and whose bid, whether it relates to domestic products or Foreign, will be the lowest bid or one that has been recognized to be the most advantageous in accordance with the assessment criteria specified in the notices or tender documentation;

(g)

If it results from the evaluation that no bids are clearly the most advantageous according to the evaluation criteria specified in the notices or tender documentation, the entity, in subsequent negotiations Possibly, consider and treat equally all bids placed in the competitive range,

(h)

Entities should normally refrain from any awards that would be subject to the condition that the supplier provides opportunities for compensation operations, or other similar conditions. In the limited number of cases where such obligations will form part of a contract, the Parties concerned shall limit the compensation to a reasonable proportion of the market value and shall not favour the suppliers of the jurisdiction of a Party by Report to suppliers of the jurisdiction of any other Party. The award should not normally be subject to the licensing of a technology; the cases in which such a requirement would be required should be as infrequent as possible, and the suppliers of the jurisdiction of a Party Shall not be favoured in relation to the suppliers of the jurisdiction of any other Party. In the limited number of cases where opportunities for compensation operations or other similar conditions are required, these obligations will be included in the contract notice and in the tender documentation,

(i)

The options will not be used to circumvent the provisions of the agreement;

(j)

Auctions will be conducted in accordance with the criteria and essential requirements specified in the tender documentation.

Single Tendering (Markets (OTC)

16. The provisions of s. 1 to 15 above, which apply to open or selective tendering procedures, will not necessarily be applicab! es in the following circumstances, provided that the sole call for tenders is not used in order to bring back Competition below the maximum possible, or in a manner that would constitute a means of discrimination between foreign suppliers or protection of domestic producers:

(a)

Where no tenders have been submitted in response to a call for tenders in accordance with an open or selective procedure, or where tenders have been agreed or are not in accordance with the essential requirements of the invitation to tender, Or emanate from suppliers not fulfilling the conditions of participation provided for in accordance with this Agreement, provided, however, that the conditions of the initial tender are not substantially modified for the market which will be Awarded;

(b)

Where, in the case of works of art or for reasons relating to the protection of exclusive rights, such as patent or reproduction rights, the goods may only be supplied by a particular supplier and that it will not exist No reasonably satisfactory replacement or replacement product;

(c)

Provided that this will be strictly necessary when, for reasons of extreme urgency caused by events which could not be foreseen by the entity, the open or selective procedures would not allow the products to be obtained in due time;

(d) ¹

In the case of additional deliveries to be provided by the original supplier on spare parts for supplies already made or installations already delivered, or intended to supplement those supplies or installations, and A change in supplier would result in the delivery of equipment that does not meet terms of interchangeability with existing equipment;

(e)

When an entity contracts to procure prototypes or a new product developed at the request of the entity during the performance of a specific contract for research, experimentation, study or original development, and for requirements Of this contract. Once such contracts have been executed, subsequent product markets will be subject to the provisions of subs. 1 to 15 of this article. ²

17. Entities shall record the minutes of each contract awarded in accordance with the provisions of s. 16 of this article. Each record shall state the name of the procuring entity, the value and nature of the goods subject to the contract, as well as their country of origin, and shall contain a statement setting out those of the circumstances referred to in s. 16 of this section in which the contract was awarded. This record shall remain in the hands of the entity concerned and at the disposal of the public authorities of which it is responsible, in order to be used, if necessary, for the procedures laid down in Art. VI and VII of this Agreement.

Entities shall publish an opinion in the appropriate publication set out in the Annex, not later than 60 days after the award of a contract (s) under subs. 15 or 16 of the art. V.

These notices will contain the following information: ¹ :

(a)

Nature and quantity of the products subject to the award (s);

(b)

Name and address of the entity passing the market (s);

(c)

Date of the auction;

(d)

Name (s) and address (s) of the successful tenderer (s),

(e)

The value of the highest and lowest bid (s) or bid that was taken into account in the contract award,

(f)

Where applicable, means of identifying the notice published in accordance with s. 4 of Art. V;

(g)

Procedure type used,

(h)

If applicable, Justification for the use of this procedure, in accordance with paragraph 1. 16 of Art. V.

2. All laws, regulations, and all judicial decisions, administrative decisions of general application, and procedures (including standard contractual clauses), relating to public procurement covered by this Agreement, shall be published Promptly by the Parties in the appropriate publications listed in Annex IV, and in such a way as to enable other Parties and suppliers to become acquainted with them. The Parties will be prepared to provide explanations on their procurement procedures to any other Party upon request. Entities shall be prepared to provide explanations of their procurement practices and procedures to any supplier within the jurisdiction of a country Party to the agreement that will make the request.

3. Entities shall promptly communicate to any supplier who requests it relevant information concerning the reasons for the rejection of its application for registration on the list of qualified suppliers or the reasons for He will not have been invited or allowed to bid.

4. Entities shall inform unsuccessful bidders of the contract award, the value of the bids and the name and address of the contract awardee. This information, given in writing or by way of opinion, shall be communicated promptly and in any event within a period not exceeding seven working days from the date of the award of the contract. It is understood that the criteria set out in s. 9 of this Article shall also apply to the rules defined above in the field of information.

5. The procuring entity shall promptly communicate to any unsuccessful tenderer who requests it relevant information concerning the reasons for the rejection of its tender, including information on the characteristics And the relative merits of the winning bid, as well as the name of the successful bidder.

6. Entities shall designate a person or service that will be responsible for providing additional information to unsuccessful bidders who consider that the reasons given for rejecting their bid are not satisfactory or Who will have further questions about the award. Procedures shall also be instituted to hear and consider appeals in respect of any phase of procurement, so that, to the greatest extent possible, the differences arising under this Agreement between Suppliers and entities are dealt with in a fair and timely manner.

7. The Government of an unsuccessful tenderer who is a Party to this Agreement may, without prejudice to the provisions of Art. VII, request additional information that may be required on the procurement to ensure that it has been conducted in a fair and impartial manner. To this end, the contracting public authority will provide information on the relative characteristics and benefits of the successful bid and the award price. Normally, this latter information may be disclosed by the government of the unsuccessful bidder on the condition that it uses this right with discretion. In the event that such disclosure would prejudice competition in subsequent tenders, this information shall not be disclosed until after consultation and with the agreement of the Party which has communicated it to the Government of the tenderer not Selected.

8. The information available concerning the award of a contract shall be communicated to any other Party upon request.

9. Confidential information provided to a Party, the disclosure of which would impede law enforcement, would otherwise be contrary to the public interest, would prejudice the legitimate commercial interests of public undertakings, or May adversely affect fair competition between suppliers, will not be disclosed without the formal authorization of the party who provided them.

The Parties shall prepare their annual statistics on the contracts covered by this Agreement and shall communicate them to the Committee. Such communications shall contain the following information on contracts awarded by all Contracting Parties covered by this Agreement:

(a)

Statistics indicating overall and by entity the estimated value of the contracts awarded, both above and below the threshold value,

(b)

Statistics showing the number and total value of contracts awarded above the threshold value, broken down by entity, by category of products according to a uniform classification that the Committee will indicate, and by country of origin of the products,

(c)

Statistics showing the number and total value of contracts awarded in each of the circumstances referred to in s. V, para. 16, as well as the country of origin of the products, broken down by entity and product category,

(d)

Statistics, broken down by entity, indicating the number and total value of contracts awarded in respect of the derogations from the agreement set out in Annex 1.

Institutions

1. Under this Agreement, a Public Procurement Committee (referred to as "the Committee" in the text of the Agreement) shall be established, composed of representatives of each Party. The Committee shall elect its Chairman and Vice-Chair, shall meet as necessary, but at least once a year, to give the Parties the opportunity to consult on any matter concerning the implementation of the Agreement or The pursuit of its objectives, as well as to exercise the other powers conferred upon it by the Parties.

2. The Committee may establish, where appropriate, panels ("panels") In accordance with the terms and conditions set out in s. 8 of this Article, as well as working groups or other subsidiary bodies which will exercise the powers conferred upon them by the Committee.

Consultations

Each Party shall examine with understanding the representations made by any other Party and shall lend itself to consultations on such representations, where such representations shall relate to a matter concerning the application of this Agreement.

4. In the event that a Party considers that a benefit accruing to it directly or indirectly from this Agreement is nulliable or compromised, or that the achievement of one of the objectives of the Agreement is adversely affected, by another Party or Parties may, in order to arrive at a mutually satisfactory resolution of the matter, request in writing to hold consultations with the Party (s) in question. Each Party shall examine with understanding any request for consultations made by another Party. The Parties concerned shall promptly initiate the requested consultations.

5. The Parties conducting consultations on a particular matter relating to the implementation of this Agreement shall provide information on this matter, subject to the provisions of Art. Vl, para. 9, and will endeavour to conduct such consultations within a reasonably short period of time.

Settlement of (disputes

6. If no mutually satisfactory solution was found following consultations held under subs. 4 between the Parties concerned, the Committee shall meet at the request of any party to the dispute within 30 days of receipt of such request, to consider the matter with a view to promoting a mutually satisfactory solution.

7. If no mutually satisfactory solution was found within three months, following a detailed review by the Committee in accordance with par. 6, the Committee shall, at the request of any party to the dispute, establish a panel to be held

(a)

To consider the question,

(b)

Have regular consultations with the parties to the dispute and give them every opportunity to develop a mutually satisfactory solution,

(c)

To present the facts of the case to the extent that they relate to the application of this Agreement and to make findings specific to assist the Committee in making recommendations or deciding on the matter.

8. In order to facilitate the establishment of panels, the Chairman of the Committee will hold an unofficial indicative list of experienced State officials in the field of trade relations. Persons who are not State officials may also be included in the list. In this respect, each Party shall be invited to indicate to the Chairman of the Committee, at the beginning of each year, the name of one or two persons whom it would be prepared to make available for that task. Where a panel is established under s. 7, the chairman will propose within seven days to the parties to the dispute the composition of this special group, which will be three or five members, preferably state officials. The Parties directly concerned shall, within seven working days, give their opinion on the names of the members of a panel made by the President; they shall not object to these designations except for binding reasons.

No national of any country whose government is a party to a dispute shall be a member of the special group to be known. Panel members will be a member of the panel on a personal basis and not as representatives of any government or organization. Governments and organizations will therefore not give them instructions with respect to the issues before the panel.

9. Each panel shall decide on its own procedures. All Parties with a substantial interest in a matter, and who have notified the Committee, will have the opportunity to be heard. Each panel may consult any source that it deems appropriate and request information from the panel. Before requesting such information from a source within the jurisdiction of a Party, it shall inform the Government of that Party. Any Party shall respond promptly and in a complete manner to any request for information submitted by a panel that deems such information as necessary and appropriate. Confidential information disclosed to a panel will not be disclosed without the formal authorization of the government or the person who provided the information.

When this information is requested from a panel, but its disclosure by the panel will not be authorized, a non-confidential summary will be provided with the authorization of the government or the person who provided the information.

Where a mutually satisfactory solution cannot be brought to a dispute, or where the dispute concerns an interpretation of this Agreement, the panel should first submit to the Parties concerned the descriptive part of the Its report and then submit its findings to the parties to the dispute, or a summary of its findings, by providing a reasonable period of time before they are communicated to the committee. Where it is not a question of interpretation of the agreement, or a bilateral settlement has been reached, the panel may, in its report, merely outline the matter and make it known that a solution has been found.

10. The time required for panels will vary depending on the case. They should endeavour to submit their findings, accompanied where appropriate by their recommendations to the Committee, without undue delay, taking into account the obligation of the Committee to ensure prompt resolution of urgent cases, in a Period which would normally be four months from the day on which the panel was established.

Enforcement of obligations

11. When the examination is completed, or when a panel, working group or other subsidiary body submits its report to the Committee, the Committee shall promptly refer the matter to the Committee. In the case of such reports, the Committee shall act as appropriate, normally within thirty days of receipt of such reports, unless such time limit is extended by the Committee. It will have to

(a)

Expose the facts of the case,

(b)

Make recommendations to a number of Parties, and/or

(c)

Adjudicate in any other manner as it deems appropriate.

Any recommendation of the Committee shall be aimed at enabling a positive settlement of the case on the basis of the operative part of this Agreement and its objectives set out in the Preamble.

12. If a Party to whom recommendations were made was not in a position to implement them, it should, as soon as possible, provide the reasons in writing to the Committee. In this case, the latter will consider what further action would be appropriate.

13. The Committee shall keep under review any matter concerning which it has made recommendations or decisions.

Balance of rights and obligations

If one or more parties to the dispute do not accept the recommendation of the Committee, and if the Committee considers that the circumstances are sufficiently serious to justify such a measure, it may authorise one or more Parties to suspend, In whole or in part, and for as long as necessary, the application of this Agreement in respect of such other or such other Parties, if such suspension is found to be justified in the circumstances.

Nothing in this Agreement shall be construed to prevent any Party from taking action or not disclosing information if it considers it necessary for the protection of the essential interests of its security, Contracts for arms, ammunition or war materiel, or contracts that are essential to national security or for the purposes of national defence.

2. Provided that these measures are not applied in such a way as to constitute an arbitrary or unjustified means of discrimination between countries where the same conditions exist, or a disguised restriction on international trade, nothing in the This Agreement shall not be construed as preventing any Party from instituting or implementing measures necessary for the protection of public morals, public order, public security, health and life of the Persons and animals or the preservation of plants, to the protection of property Intellectual property, or related to articles manufactured by persons with disabilities, or in philanthropic institutions, or prisons.

1. Acceptance and accession

(a)

This Agreement shall be open for signature or otherwise by Governments which are Contracting Parties to the General Agreement and the European Economic Community, whose agreed lists of entities are contained in the Annex I.

(b)

Any Government which is a Contracting Party to the General Agreement but not a Party to this Agreement may accede to it, subject to conditions to be agreed between that Government and the Parties, by filing with the Director General of Contracting Parties To the General Agreement of an instrument of accession setting out the conditions thus agreed.

(c)

This Agreement shall be open to acceptance, by signature or otherwise, of Governments which have provisionally acceded to the General Agreement on terms and conditions relating to the effective implementation of the rights and obligations resulting from the Agreement, which shall take into account the rights and obligations set out in their instruments of provisional accession, and whose agreed lists of entities are contained in Annex 1.

(d)

This Agreement shall be open to the accession of any other Government, on terms and conditions, relating to the effective application of the rights and obligations arising out of this Agreement, to be agreed between that Government and the Parties, by filing with Of the Director General of Contracting Parties To the General Agreement of an instrument of accession setting out the conditions thus agreed.

(e)

With regard to acceptance, the provisions of s. 5, para. (a) and (b), s. XXVI of the General Agreement shall apply.

Reservations

2. Reservations may not be made with respect to the provisions of this Agreement.

Entry into force

This Agreement shall enter into force on 1 ^Er January 1981 for governments ¹ Who has accepted or acceded to it on that date. For any other government, it shall enter into force on the thirtieth day following that of its acceptance or accession.

National legislation

4.

(a) Each Government that accepts or accedes to this Agreement shall ensure, no later than the date on which the Agreement comes into force as far as it is concerned, the conformity of its laws, regulations and administrative procedures, as well as the rules, Procedures and practices applied by the entities in its list annexed to this Agreement, with the provisions of the said Agreement.

(b)

Each Party shall inform the Committee of any changes to its laws and regulations in relation to the provisions of this Agreement, as well as the administration of such laws and regulations.

Rectifications or changes

5.

(a) Amendments of pure form and minor amendments relating to Annexes I to IV to this Agreement shall be notified to the Committee and shall take effect on the condition that no objection has been made to it within 30 days.

(b)

Amendments other than those referred to in para. (a) above may only be made to lists of entities in exceptional circumstances. In such cases, the Party proposing to amend its list of entities shall inform the Chairman of the Committee, who shall promptly convene the Committee. The Parties shall consider the proposed amendment and the resulting compensatory adjustments in order to maintain the mutually agreed scope of application of this Agreement at a level comparable to its level prior to Modification. If it is not possible to reach agreement on a proposed or proposed amendment, the matter can then be dealt with in accordance with the provisions of s. VII of this Agreement, taking into account the need to maintain the balance of rights and obligations at the highest possible level.

Reviews and Negotiations

6.

(a) The Committee shall conduct an annual review of the implementation and implementation of this Agreement, taking into account its objectives. The committee will report annually to the Contracting Parties The General Agreement on the facts of the period for which the examination is to be carried out.

(b)

No later than the expiration of the third year after the entry into force of this Agreement, and thereafter on a periodic basis, the Parties shall enter into further negotiations with a view to broadening and improving the Agreement on a basis of Mutual reciprocity, taking into account the provisions of Art. III on developing countries. In this respect, the Committee will soon explore possibilities for extending the scope of this Agreement to service contracts.

Amendments

7. The Parties may amend this Agreement in view, in particular, of the experience of its implementation. Where an amendment has been approved by the Parties in accordance with the procedures established by the Committee, it shall enter into force in respect of a Party only when the Party has accepted it.

Denunciation

8. Any Party may denounce this Agreement. The denunciation shall take effect upon the expiration of a period of sixty days from the date on which the Director General of Contracting Parties The General Agreement will have received notification in writing. Upon receipt of such notification, any Party may request the immediate meeting of the Committee.

Non-implementation of this Agreement between Parties

9. This Agreement shall not apply between two Parties if either Party, at the time of acceptance or accession, does not consent to this application.

Notes and annexes

10. The notes and annexes to this Agreement shall form an integral part thereof.

Secretariat

The GATT secretariat shall provide the secretariat for this Agreement.

Deposit

12. This Agreement shall be deposited with the Director General of Contra Parties C Aunts The General Agreement, which shall promptly furnish to each Party to this Agreement and to each Contracting Party to the General Agreement a certified copy of the Agreement and any correction or modification thereof As per s. 5. Any amendment that has been made to it in accordance with paragraph 5. 7, as well as a notification of each acceptance or accession in accordance with paragraph 7. 1, and each denunciation in accordance with paragraph 1. 8, of this article.

Registration

13. This Agreement shall be registered in accordance with the provisions of Art. 102 of the United Nations Charter.

Done at Geneva, on April twelve thousand nine hundred and sixty nineteen nineteen, in a single copy, in the English, French and Spanish languages, all three texts being authentic, unless otherwise indicated in relation to the lists of attached entities.

(Suivent signatures)