How to win government contracts and tenders in Sweden

Winning Government Contracts in Sweden: A Strategic Guide

Navigating Sweden's public procurement landscape requires careful adherence to legal frameworks, strategic alignment with national trade policies, and thorough preparation of technical and financial documentation. With annual procurements exceeding SEK 800 billion across municipalities, regions, and central agencies, numerous opportunities exist—but competition remains intense due to strict compliance with Sweden's Public Procurement Act (Lagen om Offentlig Upphandling, LOU).

Legal Framework Governing Public Procurement

Public Procurement Act (LOU) Compliance

Public procurements exceeding approximately SEK 1.5 million require competitive tendering as mandated by LOU. Core principles such as non-discrimination, transparency, cost-effectiveness, sustainability, and high ethical standards must be maintained. Deviations from published specifications can lead to disqualification unless formally clarified via procurement portals such as TendSign.

Thresholds and Procurement Procedures

Sweden applies clear thresholds dictating procedural requirements:

• Below SEK 600,000: Direct contracting is permitted without competitive procedures.
• SEK 600,000 – SEK 1.5 million: Simplified competitive quotation processes apply.
• Above SEK 1.5 million: Formal competitive tendering must be publicly advertised, typically requiring at least 40 days advertising, publication on EU platforms (e.g., TED), and clearly disclosed evaluation criteria.

It is recommended to factor in 6-8 month lead times for larger tenders due to detailed documentation and evaluations involved.

Supplier Registration Requirements

Mandatory Registrations and Portals

Companies aiming to bid on government contracts must register through procurement portals such as:

• TendSign: Utilized widely by Swedish governmental bodies for managing procurement communications and tender submissions.
• Kommers: Supplier management portal used by several government institutions, including universities, to issue Requests for Quotations (RFQs) and manage supplier interactions.

Key Compliance Documentation

To participate fully, be prepared to present documentation verifying regulatory compliance, including:

• Validated Economic Operator Registration and Identification (EORI) Number: Necessary for customs declarations involving international trade.
• Tax Compliance Certification: Issued by the Swedish Tax Agency (Skatteverket) confirming compliance with VAT and tax obligations.
• Financial Solvency Documentation: Audited financial statements proving company solvency and capability to fulfill potential contracts.

Trade Policies Influencing Procurement Opportunities

EKN Export Credit Guarantees

The Swedish Export Credit Agency (EKN) provides guarantees for companies exporting goods and services. Recently enhanced guarantees, including increased coverage for reconstruction efforts (e.g., Ukraine), offer Swedish businesses substantial financial backing, covering up to 95% of eligible transactions. To qualify, bidders must demonstrate a clear Swedish connection such as employment, local sourcing, or intellectual property contributions.

Promotion of Sustainable and Innovative Solutions

Sweden places considerable emphasis on environmentally friendly and innovative offerings in public procurement, particularly through sustainability criteria. Companies providing solutions aligned with circular economy principles—such as reducing environmental impact, clean energy, and sustainable production methods—are favored in procurement evaluations.

Preparing Documentation and Submitting a Winning Tender

Technical Proposal Best Practices

Successful bids typically address evaluation criteria explicitly laid out in tender documents. These criteria often include:

• Technical Quality (approx. 60% weighting): Expertise evidence, past performance cases, and technical capability.
• Cost Efficiency (approx. 30% weighting): Detailed lifecycle and cost analyses demonstrating economic benefits.
• Sustainability Factors (approx. 10% weighting): Alignment with Sustainable Development Goals (SDGs), such as waste reduction, energy conservation, and minimized environmental impact.

Financial Proposal Preparation

Common errors that companies should avoid include:

• Omitting critical financial details such as IBAN or SWIFT codes for international tender submissions.
• Failure to comply with customs regulations, such as not pre-applying for deferrals of customs duties if relevant to contract delivery.

Ethical and Compliance Obligations

Swedish procurement practices prioritize ethical standards highly. Companies must ensure compliance with regulations related to subcontractor management, transparent labor practices, and diligent anti-fraud measures. Compliance failures or ethical shortcomings can lead to immediate disqualification or contract termination.

Conclusion and Strategic Recommendations

Securing government contracts in Sweden requires businesses to navigate complex procurement laws, timely registrations, thorough documentation, and alignment with innovative, sustainable practices encouraged by national trade policy. Leveraging official support mechanisms like EKN guarantees and effectively addressing evaluation criteria can substantially increase success rates. Additionally, pursuing a proactive compliance strategy and maintaining robust ethical standards will further position companies positively in competitive tender evaluations.

[1] https://www.slu.se/en/about-slu/ongoing-procurements/
[2] https://www.staff.lu.se/support-and-tools/purchases-invoices-finances/purchasing-and-procurement/procurement-over-threshold-notice-obligation
[3] https://verksamt.se/en/import-export/trading-in-goods
[4] https://www.ekn.se/en/about-ekn/our-mission/this-is-ekn/
[5] https://www.lunduniversity.lu.se/about-university/contact-us/supplier-portal
[6] https://eurocard.com/products-and-services/corporate-card/swedish-government-chooses-eurocards-payment-solution/
[7] https://www.riksrevisionen.se/en/contact-us/official-documents-and-archives.html
[8] https://www.government.se/government-policy/trade-and-investment-promotion/
[9] https://digitalwellarena.se/en/digitalwell-demand-accelerator/
[10] https://www.esa.int/About_Us/Business_with_ESA/How_to_do/esa-star_registration_process
[11] https://www.government.se/government-policy/sweden-mobilising-efforts-to-boost-global-competitiveness-and-foreign-trade/
[12] https://www.riksdagen.se/sv/dokument-och-lagar/dokument/statens-offentliga-utredningar/arbetslivskriminalitet_hdb325/html/
[13] https://ec.europa.eu/info/funding-tenders/opportunities/portal/screen/opportunities/tender-details/docs/ec200395-d29e-4813-8a01-4b30b1482621-CN/03.%20HADEA2024OP0026_Tender%20specifications_update%201_V2.pdf