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BPPA weighs local-content threshold in projects

BPPA weighs local-content threshold in projects
Photo: Courtesy
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Bangladesh’s procurement authority is weighing a minimum local-content requirement for goods seeking preference in government purchases as it moves to finalise rules for implementing the policy.

The legal basis is already in place under Section 25(ka) of the Public Procurement (Amendment) Ordinance, 2026. What remains unresolved is how locally produced goods will be defined, which products will qualify and what safeguards will govern the preference.

The Bangladesh Public Procurement Authority (BPPA) discussed those issues with ministries, agencies and industry representatives at a consultation in Dhaka on Saturday.

Participants said the rules should specify the share of domestic content required for a product to qualify and include a list of eligible goods.

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They also warned that if local preference becomes mandatory in particular procurements, its impact should be assessed carefully to prevent misuse.

BPPA CEO Abu Sayed Md Kamruzzaman chaired the consultation, while Director Shah Eyamin-Ul Islam presented the proposed amendments to the Public Procurement Rules, 2025.

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The authority had earlier discussed the provisions with a technical working group comprising representatives from major procuring agencies.

The consultation also covered proposals to set procurement thresholds for start-ups and innovative ventures and introduce a Limited Tendering Method enlistment system for industrial units registered with the Bangladesh Small and Cottage Industries Corporation.

BPPA officials sought clarification on whether any formal criteria or certification system exists for identifying start-ups and asked ICT authorities to provide any existing standards.

Around 20 representatives from Invest Bangladesh, the Ministry of Industries, Ministry of Commerce, Ministry of Science and Technology, Science and Technology Division, BSCIC and Department of Information and Communication Technology took part.

Participants also stressed close coordination among ministries and agencies before the rules are put into effect.

BPPA said it plans to finalise the amended rules soon.

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