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Learning Chinese
Book Aids Government Procurement

A three-year project by a nationally renowned economic research center to produce a reference book on government procurement has just been completed.

Beijing-based Jiusi Economic Development Research Center authored the book -- Guidelines on Government Procurement -- published by Economics and Science Publishing House.

The book provides details about the procurement procedure to reduce costs, encourage competition and curb waste.

Government procurement was introduced to China in 1998, when many provinces started to buy commodities and equipment or build construction projects through public bidding.

This year, government purchase contracts, adding up to 100 billion yuan (US$12 billion), are expected to be signed by different localities.

International practice shows government purchase usually takes up 10 percent of a country's gross domestic product (GDP), and 10 percent of the money for purchase can be saved through public tender.

According to this ratio, the volume of government purchase in China could have been as high as 100 billion yuan (US$12 billion) last year, said an expert with the center, who did not give his name.

(China Daily April 15, 2001)

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