Navigating the Canadian Government Procurement Process: A Beginner's Guide

The Government of Canada is a significant purchaser of goods and services, and as such, it presents a significant opportunity for businesses looking to expand their customer base and increase revenue. However, it's important to understand the unique requirements of the Canadian government procurement process to increase your chances of success.

Public Services and Procurement Canada is the department responsible for the vast majority of the buying the government does on behalf of other departments. This department supports purchases of everything from office supplies, to temporary help services, to ships and buildings. Public Services and Procurement Canada also works with other departments to support effective, open and transparent processes that provide value for Canadians. However, certain types of purchases are managed by other departments where they have the expertise. For example, Shared Services Canada is the department responsible for many large software purchases, printers, computers and more. All departments have the discretion to purchase goods and services themselves under certain dollar limits. These limits vary between $25,000 to $100,000, depending on the good or service. You can find information on these low-dollar-value purchases in the proactive disclosure pages for each Government of Canada department.

The procurement process can be broken down into two main methods of supply: a competitive process, which involves using standing offers, supply arrangements or contracts to pre-qualify suppliers, and a non-competitive process, using a sole source contract. Depending on the dollar value of the contract and the applicable trade agreements, the procurement may need to be publicly advertised as a competitive process, usually via the tendering service.

Contract opportunities for goods over $25,000, services over $84,000, and construction over $100,000 must be advertised via the tendering service. Opportunities under these amounts may be contracted through a sole source contract at the discretion of departments and agencies. The Government sources competitive procurements through an advertised notice, a source list, standing offers or supply arrangements. When bids are submitted, they evaluate the bid based on the pre-determined methodology that was outlined in the tender notice. Following this evaluation, the winning proposal is selected and Public Services and Procurement Canada awards the contract and notifies the public using the same tendering service to issue an award notice.

The procurement process is broken down into four phases: the pre-contractual phase, the contracting phase, the contract administration phase and the post-contractual phase. Public Services and Procurement Canada is committed to fostering innovation and diversity, supporting aboriginal and small and medium enterprises, and encouraging green practices in all procurement activities. The following programs and initiatives support socio-economic benefits and provide great opportunities for small businesses and innovators, with social and environmental benefits for all Canadians: Procurement strategy for aboriginal business, Build in Canada Innovation Program, Green procurement and Supporting businesses.

In conclusion, the Government of Canada is a significant purchaser of goods and services, and as such, it presents a significant opportunity for businesses. By understanding the procurement process, researching the agencies that align with your products or services, being registered in the supplier registration system, being strategic in your approach and understanding the payment process, your business can tap into a large and lucrative market.

REFERENCE

• Government of Canada - https://www.tpsgc-pwgsc.gc.ca/app-acq/vendre-sell-eng.html#a1