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Innovative Public Procurement: Today and Tomorrow /

Experts from around Central Asia gathered for the second International Open Conference “Effective Public Procurement Management 2018”. Held on May 17-19, the conference was organised by Crown Agents and the Training Center of the Ministry of Finance of the Kyrgyz Republic.

This event is a continuation of the the First International Open Conference – 2017 which focused on the theme “green economy”. Sessions focused on the integration of innovative public procurement management models and the application of modern public procurement technologies in the field of medicine.

The event was attended by leading experts in public procurement from the UK, Ukraine, Russia, Kyrgyzstan, Kazakhstan, Uzbekistan, and Tajikistan. Also in attendance were representatives of state bodies, the public, business structures of Kyrgyzstan and CIS countries, as well as media.

Conference participants listened to interesting reports on a variety of topics including, the introduction of electronic healthcare system (E-health), the use of innovative technologies including drones for the delivery of medicines, tackling counterfeit medicines in public healthcare and more.

Innovative technologies are the basis for sustainable development and prosperity of state economy and business. All experts in attendance agreed that innovation should be implemented even if they are not fully mastered by local experts. This concept is referred to as leapfrogging, which is defined as making small and incremental innovations, leading the dominant firm to stay ahead.

The Director of the Department of Public Procurement of the Ministry of Finance of the Kyrgyz Republic, Ulan Ozumbekov, noted the importance and urgency of holding such big events.

“Electronic public procurement should not only be an effective mechanism for managing public finance in the country’s development, but also ensuring openness and transparency of the public procurement systems. In order to ensure sustainable economic growth and increase public confidence in government, we must use modern innovative technologies in public procurement. At present, the system of electronic public procurement of the Kyrgyz Republic is still being formed, and application of modern innovative technologies will increase the efficiency of the system and the provision of high-quality public services. [The] international conference is an open communications platform, at which countries can compare their experience of taking political measures, share this experience, find examples of best practices, discuss emerging problems, and make recommendations for improving their policy, “

As a global expert in institutional development and supply chain management, Crown Agents advises and provides procurement services in various sectors. Since 2015, the organisation was supporting in the implementation of international procurement for the Ministry of Health of Ukraine.

“Our work with the Ministry of Health of Ukraine since 2015 is perceived as a miracle. Acting as a key procurement agent to provide Ukrainians with necessary medicines and medical equipment, Crown Agents introduced effective mechanisms and modern international standards, which led to nearly 40% savings. We would be delighted if this experience could be used in other post-Soviet countries,” Tetiana Korotchenko, Crown Agents Representative in Ukraine noted within a panel session “Progressive Public Procurement Management Models: Experience of Ukraine”.

Chris Cavendish, Crown Agents business development manager, spoke on innovative anti-counterfeit technologies during the conference stating:

“Counterfeits in the pharmaceutical industry affect life and health of people. The profit from the production of counterfeit medicines is enormous, according to WHO it is more than US $200 billion per year. For example, Ukraine estimates the volume of such drugs is about 40% of the total turnover, Russia – about 12%. As a result, 1 million people die every year from fakes in the pharmaceutical industry. That is why it is so important to introduce innovative technologies for tracking counterfeit products.”

Olga Silvestrova, Crown Agents Regional Manager for Eastern Europe and Central Asia, also added:

“Crown Agents supports so called “leapfrogging” development concept, which proposes business and government to implement innovations even though they have not completely studied them yet. Innovative technologies are the basis for sustainable development and prosperity of state economy and business. Their introduction leads to economic growth and leading positions.”