Bulgarian Army Hires Private Co to Sell Surplus

The Bulgarian Defense Ministry plans to sell thousands of surplus automatic guns, machine guns, and shells by the end of the year. File photo by Sofia Photo Agency

Bulgaria's Defense Ministry is planning to assign a private company with the task of selling unneeded weapons, ammunition and specialized equipment.

The information was reported Monday by the Bulgarian Sega daily.

The Ministry announced it is prepared to sign a 4-year contract with a company to accept, organize and sell everything the army no longer needs against a commission of 2% of the sales for the private merchant.

Currently, the above activities are assigned to the "Supply and Trade" company, which is owned by the Defense Ministry. Since the beginning of the year, it had sold 2 freight AN-26 planes, 6 tank tows, about 80 special vehicles, 24 rockets without warheads. The latter were purchased mostly for scrap.

The company has launched recently a second for 2011 sale of 6 MI-24 helicopters with slightly reduced prices, compared to the first one – between  BGN 340 550 and BGN 290 000 from BGN 409 000. 10 companies announced their interest during the first sale attempt, but later withdrew over the high prices. The Ministry wishes to sell the old choppers and use the money to repair 6 other MI-24, the Bulgarian Dnevnik daily writes.

Another 6 MI-24s, nearly 100 T-72 tanks, 80 fusillade systems, 120 armored machines, several thousands of automatic guns, machine guns, shells and others will be listed for sale by the end of the year.

A private company with good management can bring the Defense Ministry some BGN 50 M in revenues from the sales. The State-owned company, according to reports receives a 3% commission.

The announcement of the public tender includes a clause where it is written the money from any sale has to be wired to the Ministry in 10 days while the seller company will receive its payment within 90 days.

So far there is only one candidate – Ammunition Group, Dnevnik informs, citing their own sources at the Ministry.

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