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Afghanistan
Shifting some contracts to local vendors
2006-03-14
AFGHAN VENDORS POST IMPRESSIVE GAINS IN CONTRACTING
Release Date: 3/14/2006

KABUL , Afghanistan – Afghan vendors won 84 percent of contracts awarded by the U.S. military’s regional contracting centers in February, up from 55 percent in October. Their gains in contract values were even more impressive, to 81 percent in January from 31 percent in October.

Coalition officials attributed the gains to efforts emphasizing Afghan businesses, changes in contract solicitation language (to Afghan vendorsÂ’ consideration and advantage) and to efforts to educate Afghan vendors on how to compete for U.S. military contracts.

Such contracts involve office furniture and supplies, construction materials and work, hauling, interpreting and other products and services. Between October and February, U.S. military contracting officers awarded contracts worth a total of $108 million to 715 Afghan vendors.

“The Coalition is establishing the conditions for enduring security and stability in Afghanistan . Promoting economic development is a part of that,” said Lt. Col. Scott Kiser, director of Afghanistan contracting for the recently formed Joint Contracting Command for Iraq and Afghanistan.

One change to contracting language involves encouraging bidding vendors to hire Afghan suppliers and distributors. In another change, the contracting command gives more consideration to vendors who hire Afghans – or who promise to train Afghans – than to vendors who do not. (Can they try this kind of process in granting contracts in Katrina-ravaged areas? Or is the risk of corruption too high here?)

Officials from Regional Contracting Center - Kabul explained the changes during their first Vendors Day in December. Other contracting centers plan similar events – in Kandahar , Khost and Parwan provinces – in the near future.

I think I like the idea being promoted here, despite the fraud and corruption risk, and wonder how it compares with what we are doing in Iraq.
Posted by:Glenmore

#2  Small business creation incentives have by far the most bang-for-buck of about any government program. Practically speaking, they give thousands of percents in return for the investment.

SB is also the largest employer in most countries.
Posted by: Anonymoose   2006-03-14 19:11  

#1  (Can they try this kind of process in granting contracts in Katrina-ravaged areas? Or is the risk of corruption too high here?)

Yes.
Posted by: Pappy   2006-03-14 19:00  

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