Israel is a party of the Government Purchase Agreement of WTO. The Israel government undertakes that those public engineering projects with no less than 5 million SDRs of government investment should only be open to the other parties of the Government Purchase Agreement. Companies from non-member countries are not allowed to participate. In the contract engineering market of Israel, projects involving matters like national defense, national security and public safety forbid the entrance of foreign companies. There are also limitations to some degree on foreign companies’ participation in construction in the fields of tourism agency, hotel industry, international communication and wireless telecommunication service
The bidding methods and their applicable scope of Israel’s engineering construction projects is determined according to the Mandatory Bidding Act formulated and implemented in 1992 and its extending secondary laws and regulations including Regulations on Mandatory Biding (1993), Mandatory Bidding Regulations on Preferring the Product of Israel and Mandatory Commercial Cooperation (1995), Mandatory Bidding Regulations on National Defense Facility Contract (1993), Mandatory Bidding Regulations on Preferring Products of the Country’s Prioritized Regions (1998). In addition, a bidding committee should be formed by related parties of the project to implement the bid. Special explanation is needed for those projects not open for public bidding.