Information about restrictions on the participation associationsI legal entities (consortiumand) as performers of the state defense order (SDO) in the new draft Law "On the defense industry and the state defence order" (bill), common in a number of media, is not quite correct.
There are no restrictions on the consortium's participation in the implementation of the state defense order. In accordance with the current legislation of the country, consortia can participate in any sphere of state activity, including the state budget.
Note that the concept of "consortium" is legally enshrined in the Civil code of the Republic of Kazakhstan. The draft law < span style="font-weight: 700;">allows enterprises to participate in the consortium, provided they comply with the requirements of the Register of domestic producers, suppliers of works and services (Register).
Combining domestic producers in consortia allows increasing the share of Kazakh content in the final product, which is of great importance when choosing the contractor for the state defense order.
For its part, the Ministry of defense and aerospace industry of the Republic of Kazakhstan is ready to consider in the Rules for the formation, placement and implementation of the state budget standards with the possibility (other things being equal) to make a choice in favor of manufacturers who will offer a large share of domestic content in the production of goods, work and services, even though the price will be 10%, and possibly 20% higher than other manufacturers.
It should be noted that access to participation in the state budget for domestic light industry enterprises is not limited. Most of the enterprises that produce finished products in this industry that meet the qualification requirements for inclusion in the Register can still participate in the Goze.
As for the Zhasampaz consortium specifically, its participants are currently represented in the Register, so we are not talking about closing production or reducing 6 thousand light industry workers.
In addition, the defense planning order for 2019 was completed in may of this year, so the current legislation in terms of the formation, placement and implementation of the state budget will be in effect until January 1, 2020.
It should be noted that the share of light industry in the volume of industrial production is 0.4%, and in the volume of manufacturing industry-1%. This clearly shows that the overall impact of the industry on the economy of our country is insignificant, compared to other industries.
MOAP of the Republic of Kazakhstan within its competence, provides comprehensive support to the domestic light industry, the bill stipulates the expansion of the range of products in the state budget.
If earlier the state defense order included only the production of military and special uniforms, insignia and personal protective equipment for security forces, now the bill stipulates the inclusion of all personal belongings, up to bed linen and underwear. This will increase the amount of state aid for light industry enterprises, which will be one of the measures to support it, as well as allow them to increase production and the number of jobs.
As for the amendment to include the consortium in the state defense order, it was proposed by deputies of the Mazhilis Of the Parliament of the Republic of Kazakhstan, while this amendment did not solve the issue of participation of the consortium in the state defense order in full.
In this connection, the Government of Kazakhstan was given to the conclusion to support this amendment, but subject to the establishment of additional provisions in the bill to exclude the creation of gaps and conflicts in existing legislation in terms of liability of the consortium participants, the order of inclusion and exclusion of consortia from the Registry and other important factors.
These issues were discussed in the Majilis, after which the amendment was removed from the bill, with the further possibility of its discussions under other bills, as it requires a deeper and more comprehensive approach to the topic and provides for additional changes to the current legislation of RK.
With his hand MOAP RK is ready to "open dialogue" and discussion of this topic with all interested partners, not only within the adoption of this bill, but in conjunction with other issues of implementation of the SDO.