UPC spokesperson Michael Osinde said media reports show that local companies are failing to bid for government projects due to escalating security costs, thus giving foreign companies an upper hand.
PIC: The Uganda People's Congress (UPC) party spokesperson, Michael Osinde (Left), speaking during the weekly press briefing at the party offices in Kampala on Tuesday 18 April, 2018 as Faizo Muzeyi looks on. (Credit: Shamim Saad)
POLITICS & INFRASTRUCTURE
KAMPALA - Uganda People's Congress (UPC) has lauded Government's efforts in promotion of local companies by allowing them to take up government projects such as construction of schools, hospitals and roads among others.
However, the party spokesperson Michael Osinde called on the government to reduce the bidding involved to encourage more local companies to bid for government projects.
Osinde, who was addressing the press during the party weekly press conference on Tuesday, said bid costs including securities are high and threaten the local companies' survival.
He said media reports show that local companies are failing to bid for government projects due to escalating security costs, thus giving foreign companies an upper hand.
According to a Uganda National Association of Building and Civil Engineering Contractors (UNABCEC) workshop report on challenges facing the construction sector in Uganda, contractors face a challenge of expensive bid securities and delayed release of bid securities to unsuccessful bidders.
"We call on the Government to find a way that can enable both local and foreigner companies to bid for government projects," he said.
Osinde added that this would support Buy Uganda Build Uganda policy that is aimed at increasing consumption of local products and services.
"This will go a long way in promoting local companies, which in turn will enable the country attain middle-income status," he said.