Notice on indigenous innovation indicates relaxation of government procurement policy

Adraft notice published on 10 April has been welcomed by the international business community in China as a step towards reducing official discrimination against foreign companies bidding for government contracts.

The draft Notice on Developing the Work of Accreditation of National Indigenous Innovation Products in 2010 is open for public consultation until 5 May. It sets out draft rules for the establishment of an accreditation system for the purchase of high-technology goods by government agencies. Under the system, any manufacturing enterprise in China which has PRC legal person status may apply for the accreditation of its products as indigenous innovative products.

The draft notice was jointly issued by the Ministry of Science and Technology, the Ministry of Finance and the National Development and Reform Commission. It comes in the wake of earlier rules issued by the same three bodies in December last year, which caused controversy by appearing to give preferential treatment to products containing domestic Chinese intellectual property.