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Inflated prices in Public Procurement of Goods and Services!

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INFLATED PRICE

Post  Rutaihwa on Wed Jan 04, 2012 8:28 pm

Yona
HAPPY NEW YEAR 2012
To my view the price quoted in public tendering are affected by payment system in Government. Since there are unneccesary delay to affect the payment during and after completion the assignment.
Also the price in the market most of them are Invitation to make an offer in this case it is not easy to compare with the price quoted in competetive tendering and to conclude that the prices quorted by suppliers are not reflected in the market.




Yonas Gabriel wrote:RJM,
here my concern is where a competitive tendering procedure was followed,but you find that in reality the prices quorted by suppliers are not reflected in the market in any case. I thought thats why Kenyan have decided to put a price list as a bench mark to both suppliers and users of goods and services.


Rutaihwa

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Inflated prices in Public Procurement of Goods and Services!

Post  Yonas Gabriel on Tue Nov 08, 2011 6:34 pm

RJM,
here my concern is where a competitive tendering procedure was followed,but you find that in reality the prices quorted by suppliers are not reflected in the market in any case. I thought thats why Kenyan have decided to put a price list as a bench mark to both suppliers and users of goods and services.


Yonas Gabriel

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Re: Inflated prices in Public Procurement of Goods and Services!

Post  RJM on Sun Oct 30, 2011 5:56 pm

Yonas,

I am not sure the inflated prices you are referring whether the suppliers, contractors and service providers are/were selected through competitive bidding process or not. Direct to the point, who is inflating the prices?

CGM-''Ng'wigi'',

The biggest challenge for both PPRA and GPSA is updating frequently the price list in each category in the website. I doubt if PPRA/GPSA [whoever is mandated to update] has capacity to update the list frequently to meet expectation of the stakeholders.

Another challenge is the hype inflation we are experiencing now as a country. Our currency (shilling) is falling drastically against foreign currencies. Do we have control for this as way of controlling the prices? Fun enough is the prices of the items in the shops around Dar es Salaam are in Dollar. One day was buying flash disk, I enquired the price, I was told is $60 and seller took a calculator he computed the equivalent price in Tshs for that day [Tshs. 96,000]. In fact I did not buy. The second day I went to the same shop, I was told still $ 60 equivalent of Tshs. 96,100. I asked myself where am I living in New York or China? The second question came to my mind is when these flash disks were imported in Tanzania and what was the exchange rate by then? How much profit these guys are making just playing with the exchange rates? Who is smart here as this trend will go on and on. What is the problem? And I am sure that they are doing the same thing when bidding to supply items to the public entities. Who is to blame?

RJM

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Re: Inflated prices in Public Procurement of Goods and Services!

Post  CGM-''Ng'wigi'' on Sun Oct 02, 2011 8:45 pm

Yonas,
Previously the price list were found in PPRA website. Currently I am not sure if this price list have been updated and even if you refers to GPSA awarded contracts under FWC you will find only for items under FWC. Other FWC not indicating the price, yet I am not sure that if the price list are all equal to all suppliers listed at GPSA for particular awarded contracts e.g for supply of computers and related accessories.

It is high time now to have that updated price list so as to avoid for so called ''the inflated price'' during acquisition of goods/services in public procurement.

CGM-''Ng'wigi''

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Inflated prices in Public Procurement of Goods and Services!

Post  Yonas Gabriel on Fri Sep 30, 2011 3:55 pm

Please friends,where can i find a Price List guide for public entities on procurement of goods, works and services? is it from PPRA or GPSA? I believe this can help Internal Auditor's in identifying inflated prices,it will act as a benchmark.

Yonas Gabriel

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