Domestic producers to supply 10,000 items worth 400 billion tenge, as per Smailov's announcement
Kazakhstan is set to launch a new procurement system next year, centred around the National Goods Catalog (NGC). This system aims to digitally transform trade and procurement sectors, integrating an Electronic Goods Catalog with the National Goods Catalog under JSC “Kazakhtelecom” to form a state database (NGC SDB) [5].
The new procurement system has several key objectives. Firstly, it seeks to increase the purchase of local products, boosting domestic manufacturing and reducing dependency on imports [5]. Secondly, it aims to enhance transparency and efficiency in government procurement through digitalization. Thirdly, it intends to enable better tracking of goods from manufacturers to end consumers, thus reducing the shadow economy in trade.
In support of local producers, the system will recognise and integrate a pool of domestic manufacturers in procurement processes, particularly in utilities, where 220 domestic producers and nearly 2,800 product items worth about 2.1 trillion tenge have been identified [1][5].
This strategy is part of broader national initiatives such as the National Project for Modernization of Energy and Utilities, which emphasize boosting local content by incorporating local suppliers in large-scale infrastructure and energy projects [1]. The system aims to combine digital innovation with economic goals to enhance local industry participation and economic sovereignty.
Prime Minister Alihan Smaimov, speaking at the IX Congress of the National Chamber of Entrepreneurs "Atameken", announced that around 10,000 product items worth 400 billion tenge will be purchased from local producers [5].
To prevent market monopolization, the Prime Minister is working towards automating the risk management system in state control to eliminate human error, allowing control and oversight bodies to focus on the most problematic business entities, reducing administrative pressure on law-abiding entrepreneurs [5].
The Prime Minister also emphasizes the importance of supporting the development of small and medium-sized businesses around large enterprises, providing them with access to offset contracts [5]. The program includes balancing income disparities, ensuring large-scale employment, implementing industrial and agricultural projects, technological modernization of production, developing human capital, and more.
The "Samruk-Qazyna" Fund is creating a project for a new procurement system, as part of this initiative. The government is also working with NPP "Atameken" to analyse regulatory acts and requirements for business in sectors such as trade, agriculture, transport, catering services, accommodation and catering services [5].
It is planned to legislatively increase transparency and simplify the procedures for granting the right to use subsoil and change contract conditions [5]. Over 40% of the identified requirements in these regulatory acts, according to the Prime Minister, are unnecessary and should be abolished [5].
Raïmbek Batálov heads the presidium of NPP "Atameken", replacing Ablaï Mýrzahmetov who is no longer the chairman of the board [5]. The goal of the new procurement system is to increase transparency and simplify procurement, support local producers and suppliers.
In conclusion, Kazakhstan's new procurement system, centred around the National Goods Catalog, aims to digitally transform trade and procurement sectors, increase the purchase of local products, enhance transparency, and support local producers. The program is part of broader national initiatives and includes various measures to prevent market monopolization, support small and medium-sized businesses, and increase transparency in regulatory acts.
The new procurement system, focusing on the National Goods Catalog (NGC), aims to digitize business operations and finance, with a particular goal of bolstering local manufacturing by increasing purchases of domestic products [5]. This system also intends to improve transparency in government procurement, thereby enhancing the efficiency of business transactions [5].
