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News Article - Automotive
Coega procurement focuses on local companies
Posted on: Friday, 04 October 2002. Article source: Eastern Cape Business News
THE COEGA DEVELOPMENT Corporation (CDC) has embarked on a series of targeted road shows to inform the public about key elements of its Procurement Policy. Since January 2002, the CDC has awarded contracts to the value of about R250-million, in addition to the R2,2-billion National Ports Authority (NPA) tender awarded in August for the construction of the deepwater Port of Ngqura. In line with its objective of achieving social and economic transformation of society through its procurement processes, the Small, Medium and Micro Enterprises (SMME) sector is reaping tangible benefits out of the infrastructural development of the Coega Project, says CDC spokesperson Raymond Hartle. Recently, 18 out of 56 SMMEs that submitted tenders were awarded a R40,2-million housing contract. Each contractor was awarded a contract amounting to between R500 000 and R2-million, depending on individual capacity, to build 400 medium cost houses for a Construction Village. “Awarding these contracts, especially when the recipients come from the Eastern Cape, is just one way of concretising our stated aim of stimulating economic development through the establishment of the IDZ,” says CDC executive manager for corporate services, Wabo Msizi. As part of the procurement road shows, the CDC has produced a condensed version of its Procurement Policy, the “Coega Procurement” booklet, which is intended to guide prospective building contractors, goods suppliers and service providers who plan to participate in the organisation’s procurement processes. “Our procurement policy is premised on equity and transparency because we are very conscious of our responsibility to follow best practice in all activities related to the establishment of the IDZ and Port. “Based on the simple reason that the CDC uses public funds to purchase goods and services in the private sector for the development of the zone, and fully conscious of a world environment where abuse or wastage of public funds is all too common, the organisation is determined to implement policies and procedures to ensure that this does not occur,” says Msizi. Further detailed information with regards to tender documents, responses to advertised tenders and RFPs (requests for proposals) and awards made can also be accessed at the CDC website. The response to other tenders and RFPs advertised by the organisation has been growing steadily, with most of the businesses responding registered on the CDC database of businesses, which was launched in April. The database has about 2000 businesses to date, and can be accessed on-line at WWW.coega.com Msizi says the database is also a key element of the CDC’s procurement policy, which can be used to identify potential contractors or service providers, especially in cases where the value of the tenders allows the organisation to invite companies to tender rather than advertising. The procurement road shows started on October 3, 2002, in the Nelson Mandela Metropolitan Municipality, and then move further afield addressing specifically targeted sectors.
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