Price approval is fixing and formalising prices pursuant to order No. 100/MINDIC/DPPM/CAB of 12 December 1988 fixing the components of the cost price and profit margins applicable to imported goods, local products and service provision.A list of 22 products and services whose prices and tariffs are subject to prior approval procedure is published by Order No. 0000011/CAB/ MINCOMMERCE of 5 May 2008.
There are two types of price approval procedures :
- the approval of local products ;
- the approval of imported products.
As part of budgetary consolidation and controls on public spending, the Government has drawn up aMarket Reference Price Listing. This is a document that contains reference prices of goods and services for use by government services and parastatal corporations.
Drawing up this document which involves updating data is done in several phases :
- review of the current (valid)market price listing ;
- recording the prices of items and service provisions (data collection) ;
- classifying and processing data and information ;
- computer data processing ;
- printing of themarket price listing.
Validationis a form of approval for goods and services not listed in themarket price listing. An application for price validation is performed by the administration which is the beneficiary of proposed goods and services.
Validation is done following all the phasesof the development of themarket price listing. It is aimed at creating a reference for the execution of a public contract.