This year, SFE “Forests of Ukraine” has conducted tenders for the procurement of goods and services totaling more than UAH 10 billion.

 

Top 3 largest categories:

 

1.Logging and related services;

 

2.Fuel;

 

3.Vehicles, machinery, spare parts and related services.

 

97% of the procurement budget has been channeled through tenders on Prozorro.

 

This is the highest indicator not only since the establishment of the enterprise, but in general in the entire history of the Ukrainian state forestry sector.

 

The most revolutionary changes have taken place in the procurement of logging services (let us recall that contractors harvest approximately 80% of the timber, while 20% is harvested by the enterprise’s own crews).

 

Before the reform, state forestry enterprises concluded direct contracts for harvesting without conducting a competitive procedure.

 

At present, 100% of logging services are procured via Prozorro.

 

Since the beginning of the year, more than 2,000 tenders have already been announced, and over 1,500 procurement procedures totaling UAH 2.7 billion have been successfully completed.

 

The times when some forestry enterprises purchased fuel at prices higher than its retail cost at the nearest filling station are also a thing of the past. Fuel procurement has been centralized and demonopolized: there are several suppliers selected through tender procedures. The enterprise saves up to UAH 12 on each liter of fuel.

 

In total, the amount of funds saved on procurement since the beginning of the year has reached UAH 700 million.

 

In the process of preparing tenders, the Procurement Department of SFE “Forests of Ukraine” discusses with businesses, distributors and manufacturers the key requirements for the subject of procurement, delivery terms, etc. As a result, the company’s tender conditions are adapted to market realities, which makes it possible to attract the widest possible range of participants to the bidding process.

 

The possibilities of granting preferences or creating “barriers” have been minimized. For example, the payment term under the contracts of SFE “Forests of Ukraine” is 10 calendar days, and we strictly adhere to it regardless of the supplier’s name.