isurv

International procurement

International procurement

When a firm provides or procures services from another firm outside its resident country under a commercial transaction, it is called international procurement.

International procurement is more complicated than domestic procurement since entire environment is unfamiliar. This, in turn, means that many of the dynamics, constraints and risk profile of the procurement process will alter. It is important to assess all the factors before entering into formal arrangements and deal with those issues - both national and international - throughout the procurement period.

Procurement routes for international procurement will be similar to those used across the world, sometimes with different terminologies. However, the preference of the route will depend on the procurement trends and current market conditions in the country.

This section is maintained by Asli Mandi, MRICS, Yara International.