Koforidua, May 18, GNA – The Public Procurement Authority (PPA) on
Thursday held a sensitization workshop in Koforidua on the Frame Work
Agreement ( FWA) for about 100 suppliers of schools and colleges from
the Eastern Region.
It was aimed at educating the participants on the change in procurement
policies in the schools and colleges from September.
The FWA also known as “blanket purchase agreement”, is one that
establishes the general terms governing contracts to be awarded at a given
period, in particular with regard to price and, where appropriate, the
quantity envisaged.
No contract exists until the entity issues an order or “call-off’ against the
Framework Agreement.
Mr S.J. Ackotia, Director/Policy and Strategy, PPA, said that owing
to the benefits of FWA, it was preferred that government entities under the
ministry or sector who repeatedly ordered the same goods or services
constitute themselves into clusters to jointly procure their common goods.
He said the FWA aimed to correct the situation whereby there are different prices in the supply of goods and services adding that the PPA had the mandate to ensure judicious use of public funds.
Mr Ackotia said the PPA therefore decided to introduce the FWA on pilot basis in public schools.
He mentioned some benefits of implementation of FWA as saving time in the procurement of goods and services once the agreement is established with a selected supplier.
“Increase value for money is obtained as a result of economies of scale obtained from bulk procurement. Moreover, all the participating entities
obtain a favorable, uniform and consistent price over the span of the agreement”.
Mr Ackotia said acquisition cost arising out of procurement process is
minimized giving example of cost of advertisement, telephone and
stationery.
He said storage cost is also minimized since the FWA policy makes the supplier the stock-holder of goods until “call-off” are made by entities.
During an open forum, the participants expressed worry that the Act as it
stands currently could throw small scale entrepreneurs out of business and
called for a second look at it.
They also suggested that items should be picked by the schools from the
suppliers to help reduce running cost.

GNA

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.