Issuance of certificate

Direct Production Confirmation Certificate

small and medium-sized enterprises

1. What is a direct production confirmation certificate?

직접생산확인증명서란 공공기관이 중소기업자간 경쟁제품을 구매하고자 할 때,
This is a system to verify whether a small or medium-sized enterprise actually manufactures the product.
Supplying products from large corporations or importers under the name of small and medium-sized enterprises, or,
By fundamentally blocking the act of winning a bid through simple subcontracting production,
It is a key device to protect honest small and medium-sized enterprises with a domestic manufacturing base.

 

2. Practical overview and requirements

1. Legal basis

  • Articles 9 to 11 of the Act on Promotion of Purchase and Distribution Support for Small and Medium Enterprise Products

  • Guidelines for the Operation of the Public Procurement System for Small and Medium-Sized Enterprise Products (Ministry of SMEs and Startups Notice)

2. Key Requirements

  • Direct production verification verifies the following four key elements according to detailed standards announced for each product.

    • Production plant: Whether business registration and factory registration (or suitability for building use) are available.

    • Production facilities: Whether the equipment essential for product production is in possession and operating normally.

    • Production workforce: Whether permanent workers covered by the four major insurances are secured

    • Production process: Whether the necessary processes from purchasing raw materials to producing the final finished product have been implemented.

    • Other: Recent electricity usage records, proof of purchase of raw materials, etc.

3. Type

  • The target products are those designated by the Minister of SMEs and Startups as products subject to competition among SMEs. Currently, approximately 600 specific items have been designated, with the main categories being as follows:.

    • Furniture and Office Supplies

    • Electrical and electronic products

    • Information and Communications and Software

    • Machinery and equipment

    • Textiles and Clothing

    • Other manufactured goods and service items



4. Issuance period and required documents

Duration

It typically takes 10 to 14 days from application to issuance. (This may be shorter for products that have not undergone a field survey, but may be extended if additional requirements arise.)

Key required documents
  • Business registration certificate and factory registration certificate (or building management ledger)

  • Lease Agreement (if not your own factory)

  • List of production facilities and purchase documentation (tax invoices, contracts, depreciation expense statements, etc.)

  • List of subscribers to the four major social insurance programs

  • Electricity bill payment record for the past 3 months

  • Proof of purchase of raw materials

  • Production process diagram or work process chart

3. Direct verification procedure

  • 1
    Advance preparation

    Confirmation and supplementation of direct production confirmation criteria for each product (equipment, personnel, etc.)

  • 2
    application

    Registering production plants and products through the SMPP (Smart Procurement Platform)

  • 3
    Document submission

    After applying, upload relevant supporting documents and pay the fee.

  • 4
    fact-finding survey

    Visit and inspection of business sites by assigned field investigators (related associations, etc.)

  • 5
    Final approval

    Approval after review by the Korea Federation of SMEs

  • 6
    Certificate issuance

    Print out the direct production confirmation certificate (validity period: 2 years from the date of issuance)

Why Public Procurement Administrators Are Needed

  • 1. Accuracy of the diagnosis

    Factory code, building use, separation of independent spaces when renting, etc.
    Eliminate the risk of rejection by pre-reviewing demanding legal requirements.

  • 2. Close response to the fact-finding investigation

    Demonstration and documentation of the production process confirmed by the investigator during the on-site investigation
    Avoid embarrassing situations by designing response scenarios.

  • 3. Administrative Risk Management

    Manages re-application obligations that arise when a factory is relocated or a representative is changed;,
    Prevents potential bid restriction risks in advance.

  • 4. Legal representation:

    Administrative scriveners can act as agents for licensing and national qualification-related affairs according to the Administrative Litigation Act.
    As the only qualified person, we ensure the safety of your business from illegal consulting.

Seum Administrative Law Firm has extensive practical experience and legal expertise.
We are a reliable partner that helps small and medium-sized enterprises enter the public procurement market.
By accurately designing the direct production confirmation procedure
We save your valuable time and money.
Beyond simple document processing, your manufacturing competitiveness is credible.
We will be with you until the end so that you can see the results in the form of a certificate.

If you need to review detailed criteria for each product,
Please feel free to contact us at any time.

January 2, 2026
Seum Administrative Attorney Firm
Written by: Sangyoon Kim, Administrative Scrivener

Frequently Asked Questions (FAQ)

Q: Can I not participate in the bid without a direct production verification certificate?

A: If an item is designated as a competitive product between small and medium-sized enterprises, there is no certificate.
The bidding itself is restricted or excluded from the bidding process.

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Business Registration Number: 741-87-03680

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