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  • 2001-4 ISSUES

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  • ISSUE 4/2001

                                                                                                                                                      4-2001 

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  • It can be difficult and time-consuming to get a foothold in the aid procurement market. In this article, we offer practical guidelines for developing country enterprises on overcoming some of the most commonly faced obstacles to entry into this complex market.

    United Kingdom-based development NGO ActionAid has lodged a legal complaint about tied aid within the European Union. It argues that without positive efforts to boost developing country participation in aid contracting and procurement, many of the damaging aspects of aid tying will continue.

    The United Nations Development Programme organized the second Africa-Asia Business Forum (Durban, July 2001) to promote trade and investment at the enterprise level between selected African and Asian countries.

    © International Trade Centre, International Trade Forum - Issue 4/2001 We were delighted to receive issue 3/2000 of Forum as well as ITC's World Directory of Trade Promotion Organizations. We learned a lot about electronic commerce from issue 3/2000. The comparisons of various countries' experiences featured i

    Hendrik Roelofsen, new Director of ITC's Division of Technical Cooperation Coordination, speaks about the organization's programme "Increasing Africa's participation in development aid procurement".

    Untying aid to the least developed countries (LDCs) of the world has been an objective at the Organisation for Economic Co-operation and Development (OECD) for many years. Now a breakthrough has been made which could see the world's poorest countries being able to spend more of their bilateral aid funds according to market demands, rather than those of donor governments.

    In this article, developing country suppliers can find details of some of the trends in aid e-procurement as well as tips and useful addresses.

    Malaria is one of the world's most devastating public health problems. According to WHO, there are about 300 to 500 million cases each year and nearly 90% occur in Africa. In October 1998, WHO, UNICEF, UNDP and the World Bank launched the Roll Back Malaria initiative (RBM) which aims to halve the number of cases of the disease by 2010.

    The United Nations Development Programme (UNDP) is working to promote digital entrepreneurship and foster private-sector partnerships. As part of this effort, UNDP's procurement centre, the Inter-Agency Procurement Services Office (IAPSO), based in Denmark, developed a web site, called UN Web Buy, that is easily accessible to all partners working in the development field (http://www.unwebbuy.org).

    Throughout the world, international aid agencies implement development or relief assistance programmes aimed at fighting disease, reducing poverty, fostering economic and social development, promoting respect for human rights and protecting the environment. In doing so, they procure an estimated US$50 billion worth of goods and services from companies worldwide. Today, changing procurement trends by these agencies are opening up more opportunities for developing country enterprises.

    Increasing the regional and international trade potential of developing countries is vital for their future growth and prosperity. But often a country's enterprises do not know how to access markets beyond their borders.

    Kaluworks is a manufacturer of pots and pans in Nairobi, Kenya. The company has long-term agreements with UNHCR, ICRC, IFRC, the World Food Programme (WFP) and Save the Children Fund (United Kingdom).

    Kaluworks is a manufacturer of pots and pans in Nairobi, Kenya. The company has long-term agreements with UNHCR, ICRC, IFRC, the World Food Programme (WFP) and Save the Children Fund (United Kingdom).

    Major opportunities for trade expansion between ASEAN (Association of South East Asian Nations) and South Asia lie untapped as only about 4% of combined trade takes place between the two regions, said a senior adviser with a United Nations body.

    International non-governmental organizations (NGOs) are key players in the procurement of humanitarian aid goods and services. Each year they purchase hundreds of millions of dollars worth of items from suppliers around the world. One example is the International Red Cross and Red Crescent Movement which works toward making the purchase of first aid materials more cost effective and quality-assured.

    The story of Spinners and Spinners, an enterprise based in Nairobi, Kenya, illustrates the opportunities and challenges of one developing country supplier doing business with international aid agencies.

    In 2000, international aid agencies procured an estimated US$50 billion worth of goods and services for worldwide development and relief projects. The United Nations (UN) system accounted for US$3.7 billion of this total. Constantly growing and diversifying, the portfolio of goods, equipment and commodities procured by international aid agencies ranges from grains, cereals and agricultural equipment, to water supply and sanitation, shelter and domestic items, medical and transport equipment, office equipment and supplies and fuels.

    Every day in some far-flung corner of the world affected by conflict or disaster or benefiting from development assistance programmes, international aid agencies distribute supplies including food, shelter and medicines. The images of these efforts have become well known. Less known is the fact that trade in humanitarian aid and development assistance is big business, estimated to be worth some US$50 billion a year worldwide. Today, the supply and distribution of aid products is dominated by suppliers in industrialized countries. However, due to changing trends and the opening or "untying" of aid procurement, this unique market offers huge potential for developing country enterprises to become new suppliers to aid agencies.

    Jean-Claude Faure is Chair of the Organisation for Economic Co-operation and Development's Development Assistance Committee (OECD/DAC). In this interview, he responds to questions about the DAC's recent Recommendation on untying aid to the least developed countries.

    © International Trade Centre, International Trade Forum - Issue 4/2001 Thank you for sending me Offshore Back Office Operations (featured in issues 3/2000 and 1/2001). I am a registered translating agency with a German company which is already giving me work. We are in the final stages of being registered by o

    ITC firmly believes in trade as a tool for development. In order for developing countries and transition economies to increase their participation in global trade, they need to focus on three export prerequisites: market access, marketable goods and services to export and export skills.

    Supplier listings/online tenders (some with charges) • United Nations Common Supply Database • AlertNet • ReliefWeb • DevBusiness • AidMatrix • Relief Guide • Official Development Assistance - Japan • Tenders on the Web • Business Information Publications • Tenders Direct • Aid-Funded Business International • Mbendi