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Proudly South African develops a tender monitoring system to track government compliance

Buy local advocacy campaign Proudly South African has developed an innovative, in house tender tracking system to monitor government’s compliance with its own mandate to make local procurement a priority.

An initiative led by Proudly SA’s CEO, Eustace Mashimbye, software was adapted in-house for Proudly South African’s own use. Both Mashimbye and the IT team acknowledge the assistance and input from clothing and textiles union, SACTWU, who implemented a similar programme in their sector, with great results.

The system trawls the websites of all 3 spheres of government, their agencies and entities, giving the team full access to the terms of reference of all RFQs and RFPs issued by government for designated products. The software then delivers an email alert for each and every tender of those designated items using key words to identify goods and services that could be produced, manufactured and/or supplied by a South African company. Items which cannot be procured here fall outside the search criteria.

“The advantages of the system are 2-fold,” said Mashimbye. “First of all, it allows us to contact the procurement officer for each tender in the designated sectors and ensure that they prioritise local companies supplying locally manufactured goods or services in their evaluation of submissions. Secondly, it allows us to notify our own member companies who qualify to tender, to pitch for the business, thus adding to our members’ value proposition.”

Regulation 8 (1-2) of the 2017 Preferential Procurement Policy Framework Act amended regulations requires that all relevant organs of state purchase only locally produced products in certain sectors and sub sectors at a prescribed level of local content. However, compliance remains an issue. According to the IPAP 2014/5 -2016/7 document, government reported that : “…too much emphasis in procurement processes is still being placed on the traditional practice of acquiring goods and services at the lowest cost, regardless of origin and quality -thereby failing to stimulate either domestic development of improved products and services or the creation of new markets for industrial innovations.”

The tender monitoring system flags award dates and allows the officer at Proudly South African to follow up to ensure compliance with legislation. Where a sector is not legislated, they will ascertain whether a South African company, product or service was selected in accordance with government’s own mandate, and if they were not, why not.

“If any government department or entity is found to be in breach of any legislation or the terms and conditions of the original tender, they will be reported to the appropriate authorities, being the National Treasury assisted by the dti’s Industrial Procurement Unit, and the tender may be declared null and void and be withdrawn”, said Mashimbye.

Trade & Industry Minister, Dr. Rob Davies added his support to Proudly South African’s pro-active stance on ensuring that government tenders for currently designated products, and for those that will be designated in the future, favour South African companies where possible.

“One of the aims of the Industrial Policy Action Plan (IPAP) is to raise domestic demand through localisation and so it is important that we walk the talk in this regard, not only in legislated sectors, but across the board from small stationery items to large scale infrastructure projects. I commend Proudly South African for assisting us in this regard, and we look forward to growing the contribution government can make to the GDP through local procurement,” said the Minister.

For more information on Proudly South African visit www.proudlysa.co.za
For media enquiries please contact:
PR Manager: Deryn Graham
Office: 011 327 7778 Cell: 083 289 0997
deryn@proudlysa.co.za

PR Officer: Tshiamo Ndlovu
Office: 011 327 7778 Cell: 082 844 6316
tshiamo@proudlysa.co.za

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