Discusses the legal requirements for selling to the host government, including whether the government has agreed to abide by the WTO Government Procurement Agreement or is a party to a government procurement chapter in a U.S. FTA. Specifies areas where there are opportunities.
Last Published: 2/26/2018

Government purchases in Serbia are handled principally through government tenders.  Serbian government carried out direct negotiations with other governments for some project in the past (e.g., with China for the construction of a bridge across the Danube and the UAE for Etihad’s investment in JAT, now renamed Air Serbia).  Regular military sales are subjects of public tenders, except for cases of foreign military assistance in acquiring sensitive equipment.

The Public Procurement Law, enacted in 2013, amended in 2015, improved the legal framework in this area and introduced a central purchasing body that handles procurements for state bodies, introduced novelties in centralized public procurement, and shortening of the deadlines for specific actions in the procedure. Public procurement announcements and contract awarding procedures have been aligned with EU directives.  In 2015, the value of registered public procurements in Serbia reached about six percent of the country’s GDP.

The main problem facing companies is during the tender process and selection criteria.  The U.S. Embassy in Serbia initiated a public procurement initiative aimed at promoting best-value determination and life-cost analysis, which emphasize factors such as quality, operation, and maintenance, instead of the prevailing lowest-price criterion used in the Serbian public procurement system that often is more expensive in the long run. 

Information about public procurement procedures and tender announcements is available at the Public Procurement Portal.

Many governments finance public works projects through borrowing from the Multilateral Development Banks. The Commercial Service maintains Commercial Liaison Offices in each of the main Multilateral Development Banks, including the European Bank for Reconstruction and Development and the World Bank. These institutions lend billions of dollars in developing countries on projects aimed at accelerating economic growth and social development by reducing poverty and inequality, improving health and education, and advancing infrastructure development. The Commercial Liaison Offices help American businesses learn how to get involved in bank-funded projects, and advocate on behalf of American bidders. Learn more by contacting the Commercial Liaison Offices to the European Bank for Reconstruction and Development and the World Bank.
For more information on project financing please, review Project Financing section of this document.
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Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.