The practice of holding mini-auctions will be extended to all Moscow wholesale buyers by the end of the year, said Gennady Dyogtev, head of the Department for Competition Policy.
He reminded his audience that the new mechanism for finding suppliers of low-volume orders was introduced in cooperation with the Department of Education and started operating in March this year. The pilot project involved 3,200 low-volume purchases totalling 835 million roubles.
Almost 30 Moscow schools took part in the first stage of mini-auction test runs. Today, about 700 buyers working in Moscow education buy these goods and services.
“The number of stock items currently bought at mini-auctions on supplier portals exceeds 200. The results of the tenders held so far show an average drop in initial price offers exceeded 23 per cent. During project implementation mini-auctions created savings of over 200 million roubles,” Mr. Dyogtev said.
He stressed that suppliers are interested in the new format because five participants on average declare their intention to participate in an auction, while the average number of price offers registered exceeds 45.
In addition, the head of the department pointed out that the aim of mini-auctions is to raise the supply of buyers’ on-the-spot purchases to help entrepreneurs. These auctions guarantee open competition and that formalities can be settled and instantly recorded in a simplified form. “The winners are selected on a competitive basis according to the best price,” Mr. Dyogtev said.