Bidding Opportunities Under Trade Agreements

Procurement opportunities are open also to Canadian businesses under the provisions of the Agreement on Internal Trade (AIT), the North American Free Trade Agreement (NAFTA), the Canada-Korea Telecommunications Equipment Agreement (CKTEA) and the World Trade Organization Agreement on Government Procurement (WTO-AGP).

Eligibility Criteria

In general, qualification requirements include an assessment of the financial, technical and managerial skills of the supplier to ensure that the supplier can fulfill the contract.

Summary

Agreement on Internal Trade

The Agreement on Internal Trade (AIT) applies to most federal government departments and seven Crown corporations. The AIT applies to procurement of goods valued at $25 000 and up and the procurement of services and construction valued at $100 000 and up. The AIT does not apply to procurement related to cultural industries, Aboriginal culture or national security.

North American Free Trade Agreement

NAFTA applies to most federal government departments and ten crown corporations. NAFTA applies to the procurement of goods valued at more than $38 000 (Canada/US) and $89 000 (Canada/Mexico), the procurement of services valued at $89 000 or more and to construction contracts worth $11.5 million or more. For Crown corporations, NAFTA applies to the purchases of goods and services valued at $445 000 or more and construction contracts valued at $14.2 million or more.

World Trade Organization Agreement on Government Procurement

The World Trade Organization Agreement on Government Procurement (WTO-AGP) applies to most federal government departments. The WTO-AGP applies to the procurement of goods or services valued at $261 300 or more, and construction requirements valued at $10.0 million or more. The World Trade Organization Agreement on Government Procurement (WTO-AGP) is a multilateral agreement which aims to secure greater international competition for government procurement.

Canada-Korean Telecommunications Equipment Agreement

The Canada-Korea Agreement onTelecommunications Equipment Procurement (CKTEA) applies to most federal government departments and agencies and covers purchases of telecommunications equipment and incidental services (the services included in a covered goods contract) valued at $261 300 or more.

The following exceptions apply:

• purchases for commercial resale or use in the production of goods for commercial resale;
• for Canada, purchases under set-asides for small and minority businesses;
• purchases for the departments of Transport, Fisheries and Oceans, and communications equipment relating to Federal Supply Classifications 36, 70, 74.

NAFTA and WTO-AGP

Excluded goods and services for Canada

In addition to some general exceptions like procurements related to national security, the following five groups of service contracts are completely excluded from NAFTA and/or WTO-AGP:

• research and development;
• health and social services;
• financial and related services;
• utilities;
• communications, photographic, mapping, printing and publications services.

How can I find out about opportunities?

Publicly advertised opportunities are listed on MERXTM - an electronic tendering service (see the document MERX - Electronic Tendering Service).

U.S. opportunities are published in the Commerce Business Daily (CBD) and Mexican opportunities in the Diario Oficial de la Federación. Extracts from the publications appear on MERXTM.

What can I do if I think I have not been treated fairly?

The NAFTA, the AIT, and the WTO-AGP have a bid challenge mechanism for suppliers who believe that they have been treated unfairly, in accordance with the agreements. For the federal government, the Canadian International Trade Tribunal (CITT) is the independent third party for the bid challenge mechanism for contracts covered under the Agreement on Internal Trade, the NAFTA, or the WTO-AGP.

• MERX: Electronic Tendering Service
• Trade Agreements
• Canadian International Trade Tribunal - CITT

• Business Access Canada

Nova Scotia Contact(s):
Mrs. Margot Campbell
Client/Supplier Relations
Public Works and Government Services Canada
1713 Bedford Row
P.O. Box 2247
Halifax, Nova Scotia  B3J 3C9
Telephone: (902) 496-5452
Fax: (902) 496-5016
Toll-free (information):   
E-mail: margot.campbell@pwgsc.gc.ca
Web site: http://www.pwgsc.gc.ca