HONG KONG, Dec. 16, 2014 /PRNewswire/ -- The board of directors (the "Board") of China Public Procurement Limited (HKEx stock code: 1094, "the Company" or "CPP") is pleased to announce that on 16 December 2014, the Company entered into the Jingdong Cooperation Agreement with Beijing Jingdong Century Trading Company Limited ("Jingdong") and Public Procurement Association of the China Federation of Logistics & Purchasing ("CPPA"), in relation to their cooperation in the development and promotion of the use of the public procurement electronic market system.
Jingdong, a company established in the PRC and a third party independent of the Group (including its subsidiaries, branches and relevant related companies). It is a wholly-owned subsidiary of JD.com, Inc and listed on NASDAQ (Ticker: JD). Jingdong is an online sales company, which operates an electronic commercial platform in the PRC. Pursuant to the Jingdong Cooperation Agreement, the rights and obligations of Jingdong thereunder may also be exercised or undertaken by its subsidiaries, branches or other associated companies.
CPPA is a branch organisation of China Federation of Logistics & Purchasing ("CFLP"), which is a national association for the logistics and procurement industry in the PRC responsible for, among others, formulating industry standards for the public procurement industry and facilitating the establishment and interconnection between electronic public procurement platforms.
According to Jingdong Cooperation Agreement, in relation to their cooperation in:
(i) The incorporation of the electronic market system into different types of public procurement platforms under the China Public Procurement Platform（www.china-cpp.com）. Jingdong agreed to provide to the Company, and the Company agreed to incorporate into the various electronic public procurement platforms under the China Public Procurement Platform, the Electronic Market API Standard (which is a set of standard protocols for data processing systems and terminals, for building an electronic market.) Jingdong also agreed, among others, to provide the Company with business and technical support and to assist the Company in the adjustments of the electronic public procurement platforms to cater for requirements of procurers. The Company agreed to provide assistance in enlisting Jingdong as an eligible supplier and one of the first batch of electronic merchants on the public procurement platforms under the China Public Procurement Platform after incorporating the electronic market systems.
(ii) The promotion and market development of such platforms. The Company and Jingdong agreed to cooperate in the promotion and market development of the application of electronic public procurement platforms and electronic market systems under the China Public Procurement Platform, and share client-related resources and information relating to public procurement organisations with each other. The Company also agreed to, in cooperation with the relevant cooperating company, complete the development and trial operation of the respective electronic public procurement market of the central government institutions of the PRC and the Shenzhen People's Government, with a view to building a standardised model for the electronic markets to be constructed in the future. CPPA agreed, among others, to assist the Company and Jingdong in promoting their model of setting up electronic public procurement platforms in combination with electronic markets among members of the CPPA and the public procurement industry.
(iii) The formulation and application for certification of the Public Procurement API Standard. The Company and CPPA are in the course of formulating the Public Procurement API Standard. The parties to the agreement agreed to incorporate the Electronic Market API Standard into the Public Procurement API Standard, and jointly apply for the certification of the Public Procurement API Standard (with the Electronic Market API Standard incorporated) as a set of national standards in the PRC.
(iv) The establishment of a public procurement electronic market for small and medium-sized procurers on the China Public Procurement Platform. The Company intends to set up a public procurement electronic market for small and mediumsized procurers on the China Public Procurement Platform. The Company will be responsible for its operation and maintenance and Jingdong will cooperate with the Company in the incorporation of the electronic market system to the public procurement electronic market. Further implementation agreements are expected to be entered into in relation to the establishment of such public procurement electronic market. The Company and Jingdong will further cooperate in relation to, among others, supply the categories of chain financing and logistics services on the China Public Procurement Platform in the futures.
About China Public Procurement Limited
China Public Procurement Limited is listed on the Main Board of The Stock Exchange of Hong Kong (stock code: 1094). The Group is principally engaged in the development of the public procurement services which involves the provision of procurement services to general public and government in the PRC, and the development of EMC service.
