Public Procurement Resources

Public sector food procurement in Wales is worth approximately £84.7 million per annum. One of the key priorities of the Welsh Government’s Foundational Economy strategy is to enable more local suppliers, especially small suppliers, to secure a greater share of public food contracts. At present only 23% of food procured is of Welsh origin, and only 6% of fruit and veg. Even in categories where the proportion of Welsh procured food is high there are still opportunities; For example, increasing the proportion of meat and poultry from 76% to 80% would inject an additional £330K into Welsh businesses.

Historically, farmers and growers have perceived the prices paid in the public procurement market as low, and it is true that authorities are under pressure to prioritise low prices in their purchasing decisions. However, that is beginning to change. LAs are increasingly having to think about how their procurement polices meet the aims of the Well Being of Future Generations Act, Net Zero, support local economies and other policies. These criteria are becoming more important in relation to purchasing decisions, which in turn opens the door to more viable prices for smaller, local farms. For example, the Welsh Veg in Schools project is able to offer fair organic wholesale prices to growers, because their organic certification guarantees wider public benefits.

These resources highlight the opportunities for SMEs including small growers and social business that can come from larger and longer-term public contracts, the challenges, and what you need to understand about the field of public procurement to make the most of the opportunity.