Notice of the Ministry of Finance on the Promulgation of the Measures on the Administration of the Government First Ordering and Purchasing Newly Invented Products

Notice of the Ministry of Finance on the Promulgation of the Measures on the Administration of the Government First Ordering and Purchasing Newly Invented Products

Cai Ku [2007] No.120

December 27, 2007

The related departments of the Central Committee of the Communist Party of China, all ministries and commissions of the State Council, the institutions directly under the State Council, the General Office of the Standing Committee of the National People's Congress, the General Office of the Chinese People's Political Consultative Conference, the Supreme People's Court, the Supreme People's Procuratorate, related people's organizations, the public finance offices (bureaus) of all provinces, autonomous regions, municipalities directly under the State Council and cities specifically designated in the state plan, the public finance bureau of Xinjiang Production and Construction Corps, and all centralized procurement institutions:

With a view to implementing the Circular of the State Council on Some Supporting Policies for Implementing the National Guideline on Medium and Long-term Program for Science and Technology Development (2006-2020) (Guo Fa [2006] No.6), bringing into play the role of government procurement policies, encouraging and supporting the research on and application of independent innovation products, and regularizing the government's initial purchase and order activities, the Ministry of Finance has formulated the Measures on the Administration of the Government First Ordering and Purchasing Newly Invented Products in accordance with the Law of the People's Republic of China on Government Procurement. The present Measures are hereby printed and distributed to you, please carry them out accordingly.

Attachment: Measures on the Administration of the Government First Ordering and Purchasing Newly Invented Products

Chapter I General Rules

Article 1 With a view to implementing the Circular of the State Council on Some Supporting Policies for Implementing the National Guideline on Medium and Long-term Program for Science and Technology Development (2006-2020) (Guo Fa [2006] No.6), bringing into play the role of government procurement policies, encouraging and supporting the research on and application of independent innovation products, and regularizing the government's initial purchase and order activities, the present Measures are formulated in accordance with the Law of the People's Republic of China on Government Procurement.

Article 2 The present Measures shall apply to the activities that any state organ, public institution or organization (hereinafter referred to as the purchaser) conducts initial purchase or order activities by using public fiscal funds.

Article 3 The term "initial purchase" as mentioned herein means acts that a purchaser or the government initially purchases through government procurement products which are manufactured or developed by domestic enterprises or scientific research institutions and put into the market for the first time, do not have market competitiveness temporarily but satisfy the national economic development demands and represent the development orientation of advanced technology (hereinafter referred to as products for initial purchase).

Article 4 The term "order" as mentioned herein means acts of, for important innovation products, technology and soft science research topics needed to be researched on and developed by the state (hereinafter referred to as products of order), selecting research and development and production institutions (hereinafter referred to as suppliers of products of order) through government procurement from the whole society.

Article 5 Products to be initially purchased or ordered by the government shall be original and independently developed.
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