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The E-procurement System
Institution: Brazilian Ministry of Planning, Budget & Management
Secretariat of Logistics and Information Technology
Theme: Electronic and Mobile Government
Implementation Date: Jan 01, 2001
Summary: COMPRASNET is a Web-based on-line procurement system used by all the more than one thousand Federal Government procurement units. It enables on-line price quoting and reverse auction commodity purchases. The system automatically informs registered suppliers by e-mail and the supplier may download the bidding documents. Each supplier reduces their bid price competitively with others during the auction and the one offering the lowest price at a pre-agreed end time for the auction will be the one awarded the contract. Auctions and prices are open for inspection by the public, and auction results are posted immediately.
Impact: During COMPRASNET's first three years the Federal Government spent about US$7m on system development and maintenance. During the first two years of on-line reverse auction use, the Federal Government is estimated to have saved up to US$1.5m. Besides this positive return on investment, the system enables better and more transparent procurement, as well as reducing the red tape in the process. The use of on-line procurement has also increased the participation of small businesses in government supplies.
Source: egov4dev.org
Project Home URL: http://www.comprasnet.gov.br (only available in Portuguese)

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