The China Association for Promoting UN Procurement

2005-01-01 06:00  Print

 

I.Overview of UN Procurement

As the biggest inter-governmental organization in the world, the United Nations and its affiliated organizations/agencies make significant procurement every year for peacekeeping operations, emergency aids, humanitarian assistance, development activities as well as for the office needs of their own use. UN procurement includes two major components: goods and services, covering over 10-thousand varieties in 28 categories and 57 sub-categories, and the procurement is mainly conducted by UN Department of Procurement at its headquarters in New York and by other major UN organizations/agencies according to their own needs.

UN procurement is forging ahead rapidly with an increasing need for goods and services and is becoming an important part of the global business activities. And, UN procurement is also all-inclusive, covering almost all aspects of products and industries and emerging as a new international market. According to the latest statistics from Inter-Agency Procurement Service Office, UN direct procurement around the globe has reached USD 8.33 billion (respectively USD 4.55 billion of goods and USD 3.78 billion of service) in 2005 with an increase of 22.7% than the previous year. Besides, UN procurement exerts a radiant influence extensively on procurement of other channels. The list of suppliers for UN procurement has been often referred and used in internal government procurement of UN member countries, bilateral procurement between member countries and multilateral procurement derived from international development agencies, such as World Bank and etc. It is estimated that the radiation effects, in terms of monetary amount, is 6 to 7 times of that conducted by UN itself in procurement activities, which could open up a huge market up to USD 35 to 40 billion.

In recent years, more and more developing countries have actively engaged in UN procurement, which has experienced a rapid growth in a diversified and standardized way based on its new operational principle "From Developing Countries and To Developing Countries". From the perspective of enterprises, becoming a qualified supplier for UN procurement will win themselves internationally a good reputation and help to enhance the awareness of their own brands.

II.UN Procurement in China

Since the early 1990's, China began to involve in UN procurement. In general, the UN procurement in China grows rapidly, however China's proportion is relatively lower in the entire UN's procurement if compared with that of developed countries in North America and Europe. This is mainly because of the fact that Chinese enterprises face the problems such as lack of communication, blocked channels, unstable status in their own development and so on, making them unable to form an integrated force in the UN procurement system.

Although a late start with a low ratio in UN procurement, as the biggest developing country and a trade power ranking the third in the world, China has a strong capability in production and supply with a complete assortments, being competitive on quality of goods and services. All these lay a solid foundation for its participation in UN procurement. Therefore, it is of great significance for China to enter the UN procurement system and to acquire an appropriate proportion by properly seizing the opportunities and steadily improving its participation. Meanwhile, along with the increasing UN procurement at the global level, Chinese enterprises will have a better chance to approach the international market for its own development, finding it more opening and more spacious.

III.Our Background

As UN procurement is not only a business activity, but also relates to public interests and bears certain political features. In order to support this work for a healthily and orderly development, and to demonstrate to the outside world that China is a great country taking full responsibilities. Over the past years, the Ministry of Commerce (MOFCOM), through its direct professional institution – the China International Center for Economic and Technical Exchanges (CICETE), has been working hard for promoting and facilitating the direct procurement by UN organization/agencies from China. CICETE is also engaged with Chinese enterprises/suppliers for a better understanding of UN procurement by elaborating its significance, introducing relevant regulations and procedures in way of orientations, seminars and training sessions.

Under the guidance and support MOFCOM, CICETE has achieved a remarkable progress in upgrading UN direct procurement in China. In recent years, quite a few Chinese enterprises have gained the status as qualified UN suppliers who have established long-term supply relationship with UN procurement agencies. To further promote UN procurement in China and to build up a bridge and platform for exchanges and cooperation for both Chinese enterprises and UN procurement agencies, and to enable Chinese enterprises to play an active role in UN procurement, with the approval of the Ministry of Civil Affairs, the China Association for Promoting UN Procurement (CAPUNP) was officially founded in July of 2006, of which the secretariat locates in CICETE, and of which the operation is directly under the guidance of MOFCOM.

IV.Our Mission

CAPUNP is a nation-wide business association of non-profit nature with a status of independent legal person, and is composed of Chinese enterprises, groups and individuals interested in promoting UN procurement who are formally registered in the People's Republic of China. CAPUNP is committed to promote Chinese enterprises to take an active part in UN procurement, facilitate Chinese enterprises to diversify their overseas' markets through UN's global network, strengthen the economic and technical cooperation, at a broader range, in a wider area and for a higher level, between China and the rest part of world, especially with other developing countries, and fully utilize markets and resources available, both domestic and international, to make contributions to the world's peace and development.

V.Focus of CAPUNP

Our focus is information-resources based and concentrates on:

UN Procurement Exchanges with an emphasis on the promotion of UN procurement in China, including the regular exchanges with UN procurement agencies both on information and human resources as well as the introduction of Chinese enterprises and their products to UN procurement system.

UN Procurement Service The provision of services to Chinese enterprises and UN procurement agencies including the facilitation of experience-exchanges and cooperation between two sides, the sourcing of qualified Chinese suppliers for UN procurement agencies, the provision of information and regulations of UN procurement to Chinese enterprises in assistance to their efforts to explore the market in developing counties through UN global network.

Information Research The research on development of international market through UN procurement and the provision of policy recommendation to the Chinese Government in order to encourage enterprises to supply goods and services to UN.

Consultancy, Capacity Building and Training The provision of consultancy and training, including exchanges, conferences, training, capacity building, and consulting services, especially to provide valuable services to the suppliers.

Other Sectors: Other work in accordance with CAPUNP's mission and the work in service to the Chinese Government.

VI.Our Organization Structure

CAPUNP is officially registered with and under the supervision of the Ministry of Civil Affairs, and its business operation is under the guidance of the Ministry of Commerce. The supreme decision-making body of CAPUNP is its General Assembly. The Board of Directors is the executing body of the General Assembly, to be responsible for setting up the aims, identifying the goals, formulating the policies and regulations of CAPUNP, and also responsible for making decisions on important issues such as personnel and finance. At present, the BOD consists of one Chairman, three Vice Chairmen and six members. The secretariat under the BOD is the permanent agency of CAPUNP, which is now located at CICETE, to be responsible for implementing the decisions of the BOD. The secretariat has one Secretary General and one Deputy Secretary General as well as five functional sections that include Section of Information Research, Section of Public Relations, Section of Suppliers Services and Section of Consultancy & Training and Section of administrative Affairs.

 

Contact Information:  

Address: 5th Floor, Entrance C, Yong He Plaza  

No.28, An Ding Men Dong Da Jie, Eastern District, Beijing, P. R. China

Post Code: 100007

Tel: +86-10-84000731

Fax: +86-10-64097399