Ukrainian Institute for the Future -

Ukraine has the necessary conditions for reforming the state defense order, and state protectionism and a simplified procedure for concluding state contracts will help to improve the system. On that front, we need to approach the standards of the United States, where about 60% of all defence procurement is carried out on a competitive basis.

Viktor Plakhuta, the expert on the reform and development of the defense industry and the defense procurement system of the Ukrainian Institute for the Future stated this during the round table “Reforming the system of planning and formation of the state defense order, the implementation of procurement procedures for products, works and services for defense purposes”, which was held at the Verkhovna Rada Committee.

According to him, it is necessary to simplify the procedures of concluding state contracts for the purchase of weapons for the army and security forces. In order to do this, we need to: disclose the information regarding the procurements; introduce market pricing, which will take into account the actual and reasonable expenditures of enterprises. But the revision of the value of the contract will occur when conditions that are significantly affecting its implementation change. We are talking about the increase in the cost of energy, wages, materials.