The Latvian Competition Authority (KP) has evaluated a public procurement process for the manufacturing and delivery of adjustable weight outdoor gym equipment, concluding that the cancellation of the tender was due to insufficient market research and the requirements not aligning with available market solutions.

Only one bidder participated in the procurement, whose offer was rejected due to non-compliance, leading to the tender's unsuccessful conclusion. KP found that several market participants had raised questions and urged the buyer to reconsider the technical specifications, indicating that more suppliers could have qualified for the tender.

KP noted that multiple companies in Latvia are capable of providing adjustable weight outdoor gym equipment. The fact that only one bidder participated and the tender was canceled suggests that the procurement requirements may have been overly restrictive and did not reflect the diversity of market offerings.

KP urged the municipality to reassess the requirements and technical specifications included in the procurement documentation to better align with available market solutions and their diversity. Additionally, KP emphasized the importance of conducting thorough market research to promote competition and increase the number of bidders.

KP stressed that public buyers must ensure that the requirements in procurement documentation do not restrict competition and encourage broader participation from bidders. This is essential for selecting the most advantageous offer and providing the greatest benefit to society.

To achieve this, special attention should be given to conducting quality and comprehensive market research. Buyers should identify suppliers and available market solutions, as well as assess their compliance with actual needs and budget constraints.

Thorough market research helps identify potential suppliers, objectively determine expected contract prices, and reduce the risk of including unjustified or excessive restrictions in procurement documentation.

Furthermore, if buyers have multiple solutions to achieve their goals, preference should be given to those that impose fewer restrictions on competition, such as setting requirements that allow for broader participation from bidders. Regardless of the specifics of the procurement, all requirements should be based on real data about market availability, thereby maximizing the competitive advantages for the benefit of society.

One of KP's priorities is educating the public and raising awareness about the importance of fair competition in both the public and private sectors. Therefore, KP regularly provides methodological support and clarifications to public buyers to promote competition-enhancing procurement practices. In this case, KP conducted a procurement review and provided feedback to the municipality to improve the quality of procurement planning and strengthen understanding of the impact of strong competition on public fund utilization.