Each year, hundreds of public tender selection processes in Panama are opened, both locally and nationwide. Many public administration entities require the services of companies to achieve their goals. The regulations for participating in such tenders may seem intricate, and sometimes, they might stifle the motivation of entrepreneurs rather than encourage them to participate.
If you feel you can relate to this, you are not alone; many entrepreneurs echo the same sentiments. For this reason, we have created this guide to demystify these processes and encourage you to participate with a solid and clear strategy.
Legal Framework of Public Procurement in Panama
The Consolidated text of Law 22 from June 27, 2006, ordered by Law 153 of 2020, regulates all public procurement procedures in Panama. They are governed by the principles expressed in Article 25: “principles of transparency, economy, responsibility, effectiveness, publicity, efficiency, due process and equality of proponents”.
It defines the Contractor as an individual, entity, or consortium, whether national or foreign, bound to the State by a contract after winning or benefiting from a selection procedure, and the Contracting Entity as the public entity that signs the contract with the Contractor, following all the stipulated laws and procedures.
What can you find in this law?
- The rights and obligations of the Contracting Entities and the Contractor.
- Requirements for the participation of legal entities.
- The procedures for calling the public procurement act.
- Contractor selection procedures.
- Contract Types
- Penalties or fines for breach of contract.
Other decrees and regulations have further supplemented the procedures stipulated in Law 22.
Take Advantage of Your Opportunity
When navigating the public procurement process, companies must consider these fundamental steps:
- Identify and analyze hiring notifications and decide if your company is well-positioned to bid.
- Prepare and submit accurate and competitive bids.
- Follow the contract award process.
- Comply with the conditions and carry out the contract.
Contracting Entities use the electronic public procurement system known as PanamaCompra to publish the tender notices, the necessary documents to prepare a bid, and the contract awards.
As an entrepreneur you can review the tenders of your industrial sector to have an idea of the essential requirements that your company requires to participate in public procurement.
Hidden Complexities and Common Mistakes
As experts in public procurement regulations, we have helped hundreds of companies in their bidding process. We are fully aware of the most common mistakes made by those who submit their proposals to a bidding process without proper advice.
For instance, offering the lowest price does not guarantee that you will get the contract; Contracting Entities value the quality and technical value of the proposals above all.
Another common misunderstanding is observed in the quality and coherence of the proposals. Therefore, we recommend carefully and thoughtfully preparation of all the documentation required for each proposal and its deadlines.
We are your professional guide
Having an expert legal advisor will give you an advantage over your competitors, as you will be backed by a team with an understanding of regulatory nuances, the ability to navigate bureaucratic processes, and effective engagement with stakeholders.
Thanks to our extensive knowledge and experience, we can help you generate and carry out a strategy that allows you to take advantage of the opportunities offered by Panama’s public procurement processes while ensuring compliance with all regulatory aspects for your company.
Having a professional guide will ensure avoiding mistakes and transforming opportunities into growth
