The World Bank
Agriculture Modernization Project (P158372)
Page 28 of 70
to mitigate the procurement risk that is being rated as Moderate. If followed properly, and the risks are mitigated, a
lower risk rating might be upgraded during project implementation. The conclusions of PPSD reveal that for market
analysis for procurement packages there is a competitive market both at local and international levels with sufficiently
large number of contractors, manufacturers, and suppliers. The nature of a few civil work contracts is not particularly
complex, and a good level of competition is anticipated among national and international companies depending on the
packaging approach as discussed in PPSD.
81.
Procurement risk assessment. WB is processing a procurement capacity assessment using the Procurement Risk
Assessment and Management System (P-RAMS). Based on the completed procurement assessment and taking note of
the existing capacity within UZAIFSA and the risks associated with procuring a large number of activities, the procurement
risk is Moderate. More details are reflected in Annex 2.
82.
Use of national procurement procedures. All contracts for goods, works and consultancy services following
national market approach shall use the procedures set out in the Public Procurement Law (PPL) dated April 2018. The
provisions of the PPL are consistent with the WB Procurement Regulations Section V – Para 5.4 National Procurement
Procedures subject to a few conditions specified in PPSD. Further improvement of the 2018 legal and regulatory
framework is being carried out GoU. The ongoing reform activities include the development of a new PPL and its
implementation regulations as well as a full-fledged e-procurement system. WB provides support and advice to GOU on
the development of this new framework and will update the assessment of the National Procurement Procedures that
will be adopted for national competition procurement approach under the project. Moreover, the WB has recently
undertaken a rapid market analysis of the Uzbekistan local construction industry with the main objective to develop an
appropriate and updated knowledge and understanding of the national construction sector in Uzbekistan and the actual
capacity of local contractors in participating and implementing construction contracts in the country under GoU, IFIs or
private sector funded investment projects. The findings will allow agencies involved in procurement of civil works to
develop procurement approaches that would encourage increased participation of national contractors in bidding
processes. It will also help WB update the selection of procurement approaches and update methods’ thresholds for civil
works in Uzbekistan and consequently promote an increased use of the National Open Competition.
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