WTO Agreement on Government Procurement, an inspiration for the WTO as a whole — DG

The panels brought together key negotiators of the Agreement on Government Procurement (GPA), representatives from current GPA parties and external stakeholders, who highlighted the key role the Agreement plays in broadening international market access for public procurement, promoting sustainability and strengthening good governance. “This is the first WTO agreement to impose a specific obligation on its signatories to prevent corrupt practices,” DG Okonjo-Iweala stressed.

Outlining the benefits of the GPA 2012 for governments and citizens, DG Okonjo-Iweala said: “At the WTO, delivering results that improve people’s lives and livelihoods is the top priority. … Opening up public tenders to potential suppliers from other GPA parties means that governments can get better-quality goods and services at more competitive prices. And delivering better and more affordable public services improves people’s lives.”

Panelists also discussed how to harness the benefits of the GPA 2012 for the future. This includes optimizing the use of provisions of the Agreement to support innovative practices and sustainability efforts by the parties. Also under discussion was the use of data on current and upcoming government procurement opportunities to enhance competition, achieve greater value for money and comply with the GPA requirement to provide statistics on contracts covered by the GPA 2012.

The initial version of the Agreement — known as the “GPA 1994” — was amended in March 2012 to enhance transparency in procurement practices, improve transitional measures for developing economies and introduce provisions related to the use of e-procurement tools. With the addition of more government entities (ministries and agencies), new services and other areas of government procurement activities, the value of parties’ market access commitments increased by an estimated USD 80-100 billion annually. Altogether, the value of the procurement activities covered by the Agreement is currently estimated to be worth over USD 1.7 trillion per year.

Reflecting on the evolution and renegotiation of the GPA over time, DG Okonjo-Iweala said: “The GPA 2012 is an inspiration for the WTO as a whole. It is an example we should bear in mind as we work to make the entirety of the WTO rulebook fit for purpose to meet the needs of the 21st century.”

The GPA 2012 currently has 22 parties covering 49 WTO members — the European Union and its 27 member states count as one party. The full list can be found here.

The recording of the event is available here.

An infographic explaining the Agreement can be accessed here.  

More information about the GPA is available here.

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