Procurement

Preference Points (80/20 or 90/10)

Supply Chain & Logistics Glossary — South Africa

Definition

The unique South African procurement scoring system where 80 or 90 points are for price and 20 or 10 points are for B-BBEE/Locality status. Public sector contracts above R50 million use the 90/10 split; those below use 80/20. Logistics providers competing for government tenders must understand and maximise their B-BBEE score.

Frequently asked questions

What is Preference Points (80/20 or 90/10)?

The unique South African procurement scoring system where 80 or 90 points are for price and 20 or 10 points are for B-BBEE/Locality status. Public sector contracts above R50 million use the 90/10 split; those below use 80/20. Logistics providers competing for government tenders must understand and maximise their B-BBEE score.

Which glossary terms are related to Preference Points (80/20 or 90/10)?

Preference Points (80/20 or 90/10) is a procurement term in the South African import/export industry. Related terms in the same area include Advance Payment, Bank Guarantee, CSD (Central Supplier Database), Designated Sectors, Documentary Collection — each has its own plain-English definition in the TradeCaravan glossary.

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