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measures in public procurement to support domestic producers of GWS, which
explains the smallest share of local content in them. In this regard, the problems of
developing local content should be studied on the example of public procurement.
The share of public procurement in Kazakhstan's GDP is 6.6%, which is
relatively lower than the average level of this indicator in the states of the Organization
for Economic Cooperation and Development (OECD). At the same time, public
procurement accounts for 43% of total government spending, more than the OECD
average [ 5].
Using this volume of demand to develop local production will help to achieve
the goal of supporting the domestic manufacturing industry and accelerate the
achievement of the strategic goal of diversifying the economy.
Thus, the study of the problems of developing local content in public
procurement becomes even more relevant in the context of Kazakhstan's limitations
within the framework of international agreements.
Scientific development of the research problem. This thesis research touches
on two main aspects: public procurement and local content. If the field of public
procurement has been studied by many researchers in depth, then studies on the
development of local content are much less common.
Moreover, much of the research on local content development is related to the
oil industry, as the most capital intensive, hence creating a large volume of demand.
For example, studies Kragelund, Weldegiorgis, Dietsche, Franks, Nwapi, Heum, Abe,
Hassel, Kalyuzhnova, Azhgaliyeva, Belitski, Nygaard, Omarov, Saparbayev, Kazzazi,
Nouri and others [6-15].

One of the possible reasons for the relatively low interest of researchers in this
topic is its similarity with discrimination against foreign manufacturers, which
undermines competition ( Grossman, Evenett, Fritz, Yalcin, Kinzius, Felbermayr and
others) [16-18]. However, in the course of this dissertation research, opportunities for
the development of local content are identified that do not hinder, but, on the contrary,
develop competition.
When studying the sphere of public procurement, scientists mainly associate
their effectiveness with the level of bureaucratization, transparency and manifestations
of corruption (Nemec, Grega, Orviska, Basheka, Kabatereine, Junusbekova, Khamitov,
etc.) [19-22]. Also, more and more often, public procurement is considered by the
authors as a tool for implementing various government policies aimed at solving
problems in the field of environmental protection, social inequality, stimulating the
development of small and medium-sized businesses, etc. (Singh, Chan, Ponamoreva,
Sakleev, Ivanova and others) [23-26].
At the same time, the issues of developing local content in public procurement
remain insufficiently covered by modern science.
The purpose of the study is to develop specific recommendations for improving
the state regulation of the public procurement process in order to develop local content
in them, including the proposal of a model for the relationship of stakeholders in the
procurement process.
Stakeholders mean a customer, a supplier, a domestic commodity producer and
the population as a beneficiary.