Entire Dubai government signs with Tejari.com

His Excellency Dr. Khalifa, director of Dubai Ruler’s Court, has declared that every government department in Dubai will use Tejari.com's online exchange for procurement of all goods and services.

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By  Rob Corder Published  May 16, 2001

The Dubai Ruler’s Court has declared that every government office in Dubai has joined the Tejari.com B2B online marketplace. Under the terms of the agreement, every public department in Dubai will use Tejari’s exchange to migrate from paper-based procurement systems to online procurement of goods and services.

The Ruler’s Court, which is responsible for supervising all of Dubai’s government departments, has recommended a three month deadline for this migration to take place.

“Our alliance with Tejari.com is an additional step along the road to providing improved services to both businesses and citizens in Dubai. Tejari has become a vital player in the commercial sector throughout the Middle East, and is an ideal complement to Dubai’s e-government initiative,” stated His Excellency Dr. Khalifa Mohammed Ahmed Salman, Director H.H. the Ruler’s Court, Government of Dubai.

His Excellency Sultan bin Sulayem, acting in his capacity as Chairman of the Board of Tejari.com, and CEO of Dubai Ports, Customs and Free Zone Corporation, praised the approach of Dubai Ruler’s Court in adopting Internet technology through Tejari.com.

“I am so delighted and proud to see the tangible support that the Dubai Ruler’s Court is lending the development of e-commerce, which will reflect positively on the economic development of Dubai as well as the technology growth of the country in general,” commented bin Sulayem.

Momentum and critical mass are critical to the success or failure of online marketplaces. The more buyers an exchange can bring onboard, the more attractive the exchange becomes to suppliers. The spending power of the entire Dubai government gives Tejari a boost that no other exchange could hope to replicate in the Emirate.

The timing of the Dubai Ruler’s Court announcement demonstrates that urgency with which the move to e-government is viewed. Online procurement through a single point has the potential to drive inter-departmental efficiency. It also, in theory, prevents any department going-alone with B2B projects that don’t fit with the Dubai E-Government Taskforce’s vision of the road ahead.

For Sheikha Lubna Al Qasimi, managing director of Tejari.com, and a member of the Dubai E-Government Taskforce, the signing-up of the entire Dubai government to the exchange was a double success. “We are delighted to present the Dubai Ruler’s Court and the entire Dubai government with an online service that will improve their buying processes and simplify their procurement cycles,” said Al Qasimi. “This agreement represents the core objective of Tejari.com: to create a platform for more efficient government procurement while enabling the private sector to offer a greater diversity of goods and services to government departments,” she continued.

With a captive market secured, Tejari can move forward at pace with plans to improve the services offered by the exchange. Online payment and the integration of fulfillment services are high on Al Qasimi’s list of priorities.

Tejari is currently working with Oracle to integrate the vendor’s payment mechanism and additional third party payment gateways, probably to be delivered by one or more of the local banks. Emirates Bank International (EBI) is likely to be one of the first financial institutions to declare its intention to join Tejari, but details on what services the bank will bring to the exchange have not been disclosed.

Tejari.com is also currently in talks to bring members of the logistics community to the exchange. “Logistics and financial services are two areas that we’re working on,” says Al Qasimi. “If we bring financial services to Tejari, capitalising on alliances and collaboration of partners in the banks and here, it’s very important because they have to pay a very strong role to play. We’re looking into logistics, because fulfillment is very important.”

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