Gansu encourages government procurement from micro and medium-sized companies

Gansu province recently launched a policy requiring no less than 30 percent of government procurement to be from small and medium-sized companies, gansu.gov.cn reported.

The government also encourages small and medium-sized companies to join with bigger companies when bidding for government procurement. Projects where small and micro companies are 30 percent of the stakeholders are entitled to a two to three percent price deduction.

Gansu province also encourages local governments to set up innovation funds to support scientific research of new products and services.

Finally, the provincial government requires local fiscal authorities to subsidize the public utility expenses of those companies including their factory leases and water and heating fees.