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SA companies should seek more UN business

SA companies should seek more UN business
Photo by Reuters

2nd October 2015

By: Keith Campbell
Creamer Media Senior Deputy Editor

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South African businesses have been encouraged to increase their participation in the United Nations (UN) procurement processes. UN Procurement Division field procurement service chief Sean Purcell pointed out on Thursday that the amount of goods purchased by the UN from South African companies declined from 2009 to 2012, increased in 2013 and decreased again in 2014.

Currently, 988 South African companies are registered to do business with the world body. "How come South Africa companies aren't winning contracts?" he queried. "I really don't know." The UN does not yet have a system that would collect the statistics necessary to do such an analysis.

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"You have to register to be known to the UN," he explained. "It costs nothing, zero, zilch, to register. It takes 20 minutes, online. There is no fee. So, get registered."

The UN does not have a centralised procurement system. The UN Secretariat and the UN specialised agencies do their own procurement, as their needs and timescales vary enormously. Last year, the biggest procurer from South African suppliers was the UN Procurement Division (amounting to $69.4-million) followed by the World Food Programme. As for the UN Secretariat, 90% of the business it placed in South Africa in 2014 was accounted for by a single contract, for air transport services.

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The UN system as a whole needs virtually every kind of goods and services available. Major goods procured are food, pharmaceutical supplies, vehicles (armoured and unarmoured), computers and software, shelter and housing, telecommunications equipment, laboratory equipment, chemicals (including petrol, oil and lubricants), building supplies and security equipment. Major services procured are air charter services, security services, engineering services, construction, freight services, consultancy services and telecommunications services.

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