ANNOUNCEMENT 17 Jan 2014

In January 2014, the government of Brazil announced a change in the price advantage granted to domestic producers in certain public tenders.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE



Decree no. 8.184 of 17 January 2014, published in the Official Gazette of 20 January 2014, pp. 8-9 : http://pesquisa.in.gov.br/imprensa/jsp/visualiza/index.jsp?data=20/01/2014&jornal=1&pagina=8&totalArquivos=92

Lu?s Osvaldo Grossmann, 20 January 2014, 'Computadores ganham margem de at? 20% nas compras p?blicas', Converg?ncia Digital: http://convergenciadigital.uol.com.br/cgi/cgilua.exe/sys/start.htm?infoid=35795&sid=10


Inception date: 20 Jan 2014 | Removal date: 20 Dec 2015
Still in force

Public procurement preference margin

On 17 January 2014, the Brazilian government decided in Decree no. 8.184 to apply a margin of preference of up to 20% for the public procurement of nationally produced IT equipment. There is a margin of 10% in case the product was produced and another one of 10% in case it was developed in the country.
 
This means that a domestic producer will be preferred by the government if the contractor offers a price that is within the range of the lowest bid by a foreign company plus the preferential margin of 10% or 20%. Brazil's preferential margins-scheme was introduced by Law no. 12.349/2010 in the realm of the Plano Brasil Maior, i.e., Greater Brazil Plan (see Related Measures).
 
The affected IT goods are classified under the Mercosur Common Nomenclatures (NCM) 8443.3 and 8471 as well as under all sub-codes belonging to each one of the two codes.
 
Decree no. 8.184 came into power on 20 January 2014 and lasts until 31 December 2015.

AFFECTED SECTORS