44-FZ or 223-FZ: What is the Difference for Suppliers
Suppliers often refer to “government procurement,” encompassing both 44-FZ and 223-FZ. For buyers, the difference is not significant, but for participants, these are two different worlds: distinct rules, different platforms, varying predictability, and different costs of mistakes. We will explore the differences practically from the perspective of a company deciding where to go.
In Brief: Who Procures Under Which Law
- 44-FZ — state and municipal customers: schools, hospitals, administrations, state and budgetary institutions. The law describes the procedure in detail and leaves the customer with minimal freedom.
- 223-FZ — state corporations, companies with state participation, natural monopolies, unitary enterprises, autonomous institutions. The law sets the framework, while specific rules are established by the customer in the procurement regulation.
This leads to the main practical conclusion: under 44-FZ, you study the law once; under 223-FZ, you read the regulations of each customer.
Comparison by Key Parameters
| Parameter | 44-FZ | 223-FZ |
|---|---|---|
| Procedure Rules | Strictly established by law | Established by the customer in the procurement regulation |
| Methods of Procurement | Closed list (auction, competition, request for quotations, procurement from a single supplier) | Customer’s list: in addition to competitive methods — requests for proposals, prices, and other methods |
| Platforms | Federal ETPs selected by the Government | Practically any platform; for procurement from SMEs — federal ETPs |
| Participant Requirements | Unified, established by law | Defined by the customer, can be broader |
| Bid Security | For NMCK over 1 million ₽, 0.5–5% | According to customer rules; for procurement from SMEs — limited |
| Evaluation Criteria | Established normatively | Set by the customer, can include many non-price criteria |
| Appeals | To the FAS, terms and grounds specified by law | To the FAS on a limited list of grounds, plus customer procedures |
| Predictability for Suppliers | High | Depends on the customer |
What This Means in Practice
Entry Threshold
Under 44-FZ, the entry is the same for everyone: registration in the EIS, inclusion in the ERUZ, automatic accreditation on federal platforms. Under 223-FZ, this is supplemented by accreditation on a specific customer platform, sometimes requiring the supplier’s own verification and qualification confirmation.
Bid Evaluation
In an auction under 44-FZ, the lowest price wins if it meets the requirements — the outcome is predictable. Under 223-FZ, the customer often evaluates experience, resource availability, and business reputation. Winning can occur without the lowest price, but the preparation of the bid becomes more serious: confirmed references, certificates of completed contracts, and information about personnel and equipment are required.
Deadlines
Under 44-FZ, the deadlines for submission and consideration are regulated. Under 223-FZ, they are determined by the customer’s regulations and can be short — sometimes just a few days from publication to the end of submission. This necessitates monitoring: the procurement must be seen on the day of publication, not a week later.
Procurement from Small and Medium Enterprises
Under 223-FZ, large customers have a mandatory share of procurement from SMEs. Such procedures are conducted on federal electronic platforms, under stricter and clearer rules, with payment deadlines limited. For a small company, this is usually the most rational entry point into 223-FZ.
Where a Specific Company Should Go
- New suppliers find it easier to start with 44-FZ: the rules are uniform, the procedure is transparent, and deviations are formalized. Plus, there are auctions with a low NMCK, where competition is less.
- Companies with strong expertise and a portfolio of projects benefit more from 223-FZ: qualification is valued, not just price.
- Manufacturers and suppliers with registered products should work under both laws, relying on confirmation of Russian origin.
- Those already working under 44-FZ should gradually add 223-FZ: first procurements from SMEs on familiar federal platforms, then individual customer platforms.
What to Check in Any Procedure
- which law the procurement is conducted under and, if it is 223-FZ, the customer’s regulation;
- requirements for participants and the list of confirming documents;
- evaluation criteria and their weight;
- amount and method of security;
- draft contract or agreement: deadlines, acceptance, payment procedure, penalties;
- the platform and your accreditation on it;
- submission deadline with at least a day’s buffer.
Working under both laws manually is challenging due to their diversity: different platforms, different formats, different deadlines. Atlas Zakupki consolidates procurements under 44-FZ and 223-FZ from the EIS and commercial tenders into a single stream, selects suitable companies based on their profile, and reminds them of deadlines. View your procurements →
Related topics: how not to miss your tender, why bids are rejected, how much money is frozen for security.
The comparison is based on the current versions of 44-FZ and 223-FZ. The rules for a specific procurement can be found in the notice, documentation, and customer’s procurement regulation.