Central Procurement Body in Procurement Law

Definition: A central procurement body is a public entity that permanently carries out central procurement activities for other public contracting authorities by acquiring supplies and services, concluding framework agreements or operating dynamic purchasing systems on which other contracting authorities can draw.

Last updated: January 2026 · Legal status: Art. 37 Directive 2014/24/EU, § 2 no. 25 BVergG 2018

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What is a central procurement body?

A central procurement body takes over the procurement function for other public contracting authorities and bundles their demand in order to achieve more favourable conditions through economies of scale and to reduce the administrative effort for the individual demand carriers.

Central procurement bodies conclude framework agreements or operate dynamic purchasing systems on which other public contracting authorities can draw directly without having to conduct a full procurement procedure themselves. They are thus an important instrument for the professionalisation and efficiency improvement of public procurement.

The concept is recognised and widespread in European and national procurement law: in Austria, the Federal Procurement Agency (BBG) takes on this function for the federal government; in Germany, the Procurement Office of the Federal Ministry of the Interior (BeschA) is the federal central procurement authority.

Significance and function

Central procurement bodies enable public contracting authorities to draw on already tendered and legally compliant framework agreements without having to conduct their own procurement procedures – this saves time and resources and minimises procurement-law errors.

Functions of central procurement bodies:

• Framework agreements: The central body concludes framework agreements with one or more contractors; other contracting authorities can make individual call-offs within these agreements
• Direct procurement: The central body purchases goods or services and passes them on to demand carriers
• Dynamic purchasing systems: Operation of electronic systems through which contracting authorities award individual contracts

Advantages:

• Bundling of procurement volumes → more favourable prices
• Professionalisation of procurement → lower risk of error
• Relief for small contracting authorities from complex procedures

Limits and risks:

• Uniform solutions do not always cover the specific needs of all users
• Dependence on the design of the framework agreement
• For call-offs outside the conditions of the agreement, procurement-law violations may arise

Legal basis

Art. 37 of Directive 2014/24/EU regulates central procurement bodies at EU level; in Austria, the definition is found in § 2 no. 25 BVergG 2018, in Germany in § 120 (4) GWB.

Art. 37 (1) of Directive 2014/24/EU provides that Member States may stipulate that public contracting authorities may acquire supplies and/or services from central procurement bodies. Use of a central procurement body generally relieves the calling-off contracting authority of the obligation to conduct its own procurement procedure, provided that the procedure of the central body complies with the applicable procurement law.

AT: Federal Procurement Agency (BBG) The BBG is the federal central procurement body and serves all federal agencies as well as optionally joining states, municipalities and other public contracting authorities. It concludes framework agreements in numerous product categories (IT, office supplies, vehicles, energy, etc.) and operates the federal e-shop.

DE: Procurement Office of the BMI (BeschA) The Procurement Office of the Federal Ministry of the Interior (BeschA) is the federal central award body for supply and service contracts. In addition, many federal states operate their own central procurement bodies.

Related terms

• Framework agreement
• Dynamic purchasing system
• Contracting authority
• Procurement procedure
• Call for tenders
• Thresholds
• Direct award
• Electronic procurement
• Notice
• Restricted procedure

FAQ

Must public contracting authorities in Austria use the BBG? For federal agencies, use of BBG framework agreements is mandatory in certain product categories. For states, municipalities and other public contracting authorities, joining is voluntary; they can benefit from the framework agreements without having to conduct their own procurement procedures.

Does call-off from a BBG framework agreement exempt from procurement law? Yes, in principle. If the BBG has concluded a framework agreement in accordance with procurement-law rules, other contracting authorities can make call-offs within the defined framework without conducting their own procurement procedure. The condition is that the call-off complies with the conditions of the framework agreement.

What happens if a call-off is made outside the conditions of the framework agreement? If an individual call-off exceeds the subject matter or value of the framework agreement, this constitutes an unlawful de-facto award. The contracting authority must in that case conduct an independent procurement procedure.

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Last updated: January 2026 All information without guarantee. For legally binding advice, please contact a law firm specialising in procurement law.