On October 17, 2012, the Ministry of Finance ("MOF") issued a notice to seek public opinion on the Measures on the Administration of Non-bidding Procurement Mode in Government Procurement (Draft for Comments) (the "Draft"). The deadline for submitting comments was November 18, 2012.
The Draft applies to non-bidding procurement mode adopted by the procurement person or agent to procure goods, projects and services for government agencies. The "non-bidding procurement mode" referred to in the Draft means government bidding modes other than public bidding and invited bidding stipulated in the Government Procurement Law of the People's Republic of China, including competitive negotiation, single- source procurement, inquiry purchasing and other procurement modes recognized by the supervision department of government procurement in the State Council.
The procurement person is entitled to adopt a non-bidding procurement mode, when (i) the amount of goods and services listed in the index of centralized purchasing has not reached the public bidding standard; (ii) the amount of goods and services is above the limit of government procurement amount, but is below the limit of public bidding amount; (iii) the amount of goods and services is above the limit of public bidding amount, but approval is granted for non-bidding procurement; or (iv) the non-bidding project is allowed by law.
The full Chinese text of the Draft is available here.