Agreement on Internal Trade

The Agreement on Internal Trade (AIT) came into effect July 11, 1995 and was established to provide a framework to reduce and eliminate barriers to the inter-provincial movement of goods, services, labor and investment, and to bring about a more open and stable domestic trade within Canada.

The AIT has 18 chapters (sectors) and deals with 11 different aspects of the economy - from Labour Mobility, Agricultural and Food Goods to Procurement. To find out more about the individual chapters of the AIT visit the Department of International, Intergovernmental and Aboriginal Relations website.

Roles of Government

Service Alberta, Procurement Services is responsible for the overall administration and implementation of the obligations of the AIT as it relates to the purchase of goods, services and construction. This includes the interpretation of the procurement provisions set out in the AIT Chapter 5 (pdf) and the MASH Annex 502.4 (pdf), and involvement in the dispute resolutions process. Procurement Services, Supplier Development and Trade provides information to Alberta businesses regarding AIT awareness and how to do business with the Government of Alberta.

The department of International, Intergovernmental and Aboriginal Relations, Internal Trade is responsible for the negotiation and administration of the Agreement on Internal Trade in Alberta, and ensures compliance by public bodies covered by the AIT.

Who is covered by the AIT procurement provisions?

The AIT was signed on July 18, 1994 by the First Ministers of all 10 provinces, two of the territories and the federal government (referenced as the "Parties" in the context of the AIT) and came into effect July 1, 1995. Since then, the Province of Alberta's position has been that all its entities such as departments, boards, councils, commissions, and commercial enterprises are covered under the procurement provisions of Chapter 5.

Effective July 1, 1999, Annex 502.4 (MASH Annex) extended the procurement provisions of the AIT to MASH Sector entities, which includes municipalities, municipal organizations, school boards and publicly-funded academic institutions (includes universities and technical educational facilities), health (includes hospitals and regional health authorities) and social service entities, as well as any corporation or entity owned or controlled by one or more of the preceding. Since 1999, all MASH Sector entities in the Province of Alberta are subject to the procurement provisions of this Annex.

Elements of the AIT Procurement - Chapter Five and MASH Annex

The key elements of the AIT Procurement - Chapter Five and MASH Annex include:
  • A non-discriminatory, fair and open tendering process

  • A transparent and fair method of evaluation disclosed in the original call for tender

  • Chapter 5 covers the procurement of goods over $25,000 and services and construction over $100,000

  • MASH Annex applies to procurement values over $100,000 for goods and services and $250,000 or greater for construction

  • The use of a Electronic Tendering System as a means of providing fair and equal access to all suppliers as it relates to public sector contract opportunities

Dealing With Disputes

The AIT Procurement Chapter 5 and MASH Annex has provisions for suppliers to resolve bid disputes:  Article 513 Chapter 5 and Section M Annex 502.4.  The department of Alberta International, Intergovernmental and Aboriginal Relations also has a website where businesses may register their complaint or feedback on AIT.  Visit the Problem Registration Form for AIT.

Contact Us

Contact us for inquiries and disputes related to the AIT Procurement Chapter 5 and MASH Annex:

Trade and Vendor Development
Procurement Services
Service Alberta
Phone: 780-427-0233
Fax: 780-415-4764

To find more information on International Trade Agreements Covering Government Procurement visit the following websites: