Vietnam: 2 procurement contract forms used commonly in 2022? Is it possible to negotiate a discount in case the market price of assets is lower than the winning bid price for concentrated procurement?
What are the latest procurement contract forms in Vietnam?
Pursuant to the provisions of Decree 151/2017/ND-CP, 02 procurement contract forms are as follows:
* Form No. 05a/TSC-MSTT (for procurement under the framework agreement):
See details and download this Form: Click here.
* Form No. 05b/TSC-MSTT (For concentrated procurement under contracts):
See details and download this Form: Click here.
Is it possible to negotiate a discount in case the market price of assets is lower than the winning bid price for concentrated procurement in Vietnam?
Pursuant to the provisions of Article 78 of Decree 151/2017/ND-CP as follows:
Procurement contract conclusion
1. In case of concentrated procurement under the framework agreement, agencies, organizations and units directly using assets shall sign procurement contracts with contractors signed the framework agreement with the concentrated purchasing unit within the time limit notified by the concentrated purchasing unit. After the time limit notified by the concentrated purchasing unit, the agency, organization or unit failing to sign the procurement contract is not allowed to procure such assets and revoked the estimate.
In case at the time of signing the procurement contract, the market price of the asset is lower than the winning bid price for concentrated procurement, the agency, organization or unit directly using the asset shall negotiate with the contractor to reduce the price to match the market price.
Procurement contracts of agencies, organizations and units directly using assets shall be sent 01 copy to concentrated purchasing units or update information about asset procurement contracts into the national database of public assets according to the Manual of the Ministry of Finance.
2. In case of concentrated procurement under contracts, the procurement unit shall focus on negotiating and signing a procurement contract with the selected contractor.
3. Procurement contracts shall be made in writing according to Form No. 05a/TSC-MSTT, Form No. 05b/TSC-MSTT issued together with this Decree.
Thus, if the market price of the asset is lower than the winning bid price for concentrated procurement at the time of signing the procurement contract, the agency, organization or unit directly using the asset shall negotiate with the contractor to reduce the price to suit the market price.
How to pay expenses for asset procurement in Vietnam?
According to the provisions of Clause 1, Clause 2, Clause 3, Article 79 of Decree 151/2017/ND-CP stipulating payment methods of expenses for asset procurement as follows:
Payment
1.In case of concentrated procurement under the framework agreement, agencies, organizations and units directly using assets shall be responsible for paying expenses for asset procurement to selected contractors; The concentrated purchasing unit is responsible for paying expenses for asset procurement to the selected contractor in case the agency or person competent assign the procurement estimate to the concentrated purchasing unit.
2. In case of concentrated procurement under contracts, the payment to the contractor providing the asset shall follow one of two methods:
a) The concentrated purchasing unit shall request the program or project management agency to transfer payment to the contractor providing the asset;
b) The concentrated purchasing unit shall request the program or project management agency to transfer expenses to the concentrated purchasing unit for payment to the contractor.
3. The payment of expenses for the asset procurement shall comply with the provisions of law, according to the framework agreement and the contract for the asset procurement signed with the selected contractor.
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Thus, in case of concentrated procurement under the framework agreement, agencies, organizations and units directly using assets shall be responsible for paying expenses for asset procurement to selected contractors; The concentrated purchasing unit is responsible for paying expenses for asset procurement to the selected contractor in case the agency or person competent assign the procurement estimate to the concentrated purchasing unit.
At the same time, for concentrated procurement under contracts, the payment to the contractor providing the asset shall follow one of the above two methods.
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