"Odd man out" rule: conditions for admission of foreign suppliers to public procurement

On March 17, 2016 a resolution No.206 was adopted by the Council of Ministers. The resolution enters into force only in June 23, 2016, however it introduces new rules for foreign suppliers when participating in public procurement procedures and provides for restrictions on the admission of foreign goods to participate in public procurement in the Republic of Belarus.

The resolution brings into force in Belarus the “odd man out” rule, which has already been used for the public procurement of certain categories of goods in the Russian Federation.

Resolution No.206 establishes the following conditions for the admission of goods of foreign origin and foreign suppliers to participate in public procurement procedures:

foreign goods originating from countries, except for the Republic of Armenia, the Republic of Kazakhstan and the Russian Federation, are allowed to participate in public procurement procedures only if less than two offers of goods  originating from the Republic of Belarus, the Republic of Armenia, the Republic of Kazakhstan and the Russian Federation was submitted.

Such condition for the admission applies to a specific list of foreign goods, in particular:

  food, clothing, footwear, furs, silicates, pesticides and other agrochemical products, paints, varnishes, tires, motors, blowers, mowers, combines, certain types of machines, furniture, tools and accessories, dental and other kinds of products.

The complete list of goods that are subject to such admission conditions can be found here.

Thus, if for the participation in a public procurement procedure of certain goods from the list, two or more offers of these goods originating from Belarus, Russia, Armenia or Kazakhstan were submitted, the offer of the same goods originating from other countries  will not be allowed to participate in the public procurement procedure.

An exception is made only for goods originating from the countries where national treatment is provided for domestic products or suppliers.