UAE Government Procurement: Tender Registration and Bidding Guide

UAE federal government tenders are managed through the Etimad platform (etimad.gov.ae). Every company wanting to bid on federal government contracts must register on Etimad before they can submit any offer. Registration is free and requires a valid UAE trade licence.

Federal contracts worth AED 500,000 or more must go through an open public tender process, giving all registered suppliers an equal opportunity to bid. Contracts below this threshold can use limited or direct procurement methods.

UAE-registered companies receive a 10% price preference over foreign companies. This means if a local company bids AED 110 and a foreign company bids AED 100 for the same contract, the evaluation treats them as equal. This preference applies automatically during bid evaluation.

Federal law reserves 10% of all government contracts specifically for UAE small and medium enterprises (SMEs). If your company qualifies as an SME under UAE law, you can access dedicated tender opportunities not open to larger companies.

Once awarded a contract, federal entities must pay suppliers within 30 days of accepting an invoice. Late payment beyond this period entitles suppliers to interest on the outstanding amount.

Most tenders require a bid bond of 1-2% of the estimated contract value. This is refunded if you are not awarded the contract. The winning bidder must then provide a performance bond of 5-10% of the contract value before work begins, which protects the government entity if the supplier fails to deliver.

For Saudi Arabia government contracts, the process runs through Monafasat (monafasat.etimad.sa). Energy sector contracts additionally require IKTVA (In-Kingdom Total Value Add) compliance, which mandates a percentage of local content in your supply chain.