Procurement related activities are divided into two general categories within the governance area of the Ministry of Defence.

The Ministry organises strategic procurement (military and battle equipment, communication and surveillance systems), which are required to create new capabilities and promote the qualitative development of the Defence Forces, while procurements related to the acquisition of clothing and training supplies, ammunition, and maintenance of existing equipment are the task of the Defence Forces Logistics Centre.

The priorities of Estonia’s defence-related procurement, the financial limits for the procurement, and the time framework have all been determined in the Military Defence Development plan 2009-2018 and the Military Defence Action Plan. The priorities include the purchase of equipment for units participating in international operations and the Infantry Brigade. The new capabilities created also include new communications, air defence and anti-tank systems.

The special equipment procurement budget in 2009 is 1,053.7 million Estonian kroons. 751.8 million Estonian kroons of this amount comes from the budget of the Estonian Ministry of Defence and 301.9 million Estonian kroons from the budget of the Defence Forces Logistics Centre. The budget of research and development activities is 3.6 million Estonian kroons.

Procurements that are aimed at the creation of new capabilities are mostly organised by the Procurement Department of the Estonian Ministry of Defence.

A smoothly working legal and information system is required for large-scale procurements. This work is co-ordinated and developed by the Procurement Policy Bureau of the Procurement Department. Legal acts and procurement information system (PIS), including the planning, terms of reference, procurement documents, standard formats for contracts, and reporting are developed for the procurement activities within the Ministry’s area of governance in the “Procurements and Investments” project. The project must be implemented by the end of the 2010.