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Baltic Defence Ministries Sign Joint Ammunition Procurement Arrangement

Dr. Artis Pabriks, Latvian Minister of Defence, Juozas Olekas, Lithuanian Minister of National Defence, and Sven Sakkov, Estonian Undersecretary for Defence Policy today signed the EDA joint procurement arrangement for different types of Carl Gustav recoilless anti-tank and multi-purpose ammunition. The multi-annual framework contract which is facilitated through the Agency’s Effective Procurement Methods (EPM) initiative has an estimated value of up to € 50 million. While the arrangement has for now been signed by Estonia, Latvia and Lithuania, other Member States have already expressed interest to join the initiative at a later stage.

The joint procurement arrangement governs the rights and responsibilities of contributing Member States and EDA. While the countries buy through the Agency, EDA acts as a central purchasing body and pools and consolidates demand. The signature of the framework contract is foreseen by the end of the year.

The European Defence Agency has previously successfully conducted several Effective Procurement Method cases including one on the Counter-IED exercise European Guardian held in Austria, covering instructors’ services and expertise; and another one on Basic Logistics Services for the 2012 EU Battle Group for three Member States: Austria, the Czech Republic and Germany with a total value of €228 million. Potential savings yielded by shared procurement of military equipment and services lie between 20 to 50 per cent.

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From left to right: Dr. Artis Pabriks (Minister of Defence, Latvia), Claude-France Arnould (Chief Executive, European Defence Agency),  Juozas Olekas (Minister of National Defence, Lithuania) and Sven Sakkov (Undersecretary for Defence Policy, Estonia) during the signature ceremony on 23 April 2013.

Copyright: The Council of the European Union