Audio By Carbonatix
Local contractors are raising concerns with what they deem, the spate of foreign participation in government-contracts reserved for indigenous companies. They are worried Chinese Construction companies especially are unduly competing with them in the National Competitive Bidding process.
They say the foreign companies are taking over the general construction sector – a phenomenon they argue only defeats government’s local-content goal. Chairman of the Technical Committee of the Association of Building and Civil Engineers and Contractors, Rockson Dogbegah has been lamenting the issue to JOY BUSINESS.
“Some of the procurement entities at the district and regional levels are generally ignorant of the provisions under the Public Procurement Act (Act 663). This is because the law is very clear regarding the engagement of only Ghanaian companies for works procured under the national competitive bidding process” he said.
“If it is not ignorance then it would be an indication of blatant disregard for the Act. These days we see a lot of Chinese competing with the local Ghanaian companies in almost all the bids we tender for. Meanwhile, cross-checking on their backgrounds indicates that their majority shareholding structure is not Ghanaian; in some cases they are 100 percent Chinese or foreign companies and that they can only bid in Ghana under the International Competitive Bidding Process” he added.
According to him, the trend can be reversed only if stakeholders would duly implement the provisions in the Procurement Law. “Procurement entities, Government agencies and stakeholders should respect the relevant provisions in the public procurement act - in which case, the Ghanaian construction companies and service providers would be protected accordingly” he concluded.
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