National Treasury – Instruction Note – Valve Products and Actuators

The Preferential Procurement Regulations, 2011(“the Regulations”) issued in terms of section 5 of the Preferential Procurement Policy Framework Act, 2000 (Act No 5 of 2000) which came into effect on 7 December 2011, make a provision for the Department of Trade and Industry (dti) to designate sectors in line with the national development and industrial policies for local production.

Regulation 9 (1) of the Regulations prescribes that, in the case of designated sectors, wherein the award of bids for local production and content is of critical importance, such bids must be advertised with a specific bidding condition that only locally produced goods, services or works or locally manufactured goods, with a stipulated minimum threshold for local production and content will be considered.

The department of Trade and Industry (the dti) has designated and determined the stipulated minimum threshold for Valves products, Manual actuators (Gearbox) and Pneumatic actuators for local production and content.

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