President John Dramani Mahama has announced that the government is amending the Public Procurement Act to compel state institutions to prioritise locally manufactured products licensed by the Ghana Standards Authority (GSA).
He said the amendment will introduce a schedule to the Procurement Act containing a list, from the GSA, of licensed Ghanaian products and the companies and factories that produce them.
He made the announcement at the inauguration of Northshore Apparel in Savelugu, where he emphasised the need for government to deliberately use public procurement to support domestic manufacturing.
Under the proposed arrangement, government agencies, schools, hospitals and other public institutions that require products on the approved list will be required to procure directly from the local companies and factories that manufacture them.
“We also are amending the Procurement Act, and we’re adding to a schedule of the new Procurement Act a list from the Ghana Standards Authority of all licensed Ghanaian products,” he said.
According to President Mahama, the system will also provide recommended prices for the listed products each year.
He explained that this would mean government institutions would not necessarily have to go through competitive tendering where an approved Ghanaian company already produces the required item.
“So that this is not a matter of going for competitive tender. This company produces it, this is their recommended price, you must go and buy this product instead of buying an imported product,” he said.
President Mahama added that the policy is aimed at ensuring that government expenditure directly supports locally standardised businesses and creates a guaranteed market for Ghanaian manufacturers.