What’s the NIGP Code and Why You Must Know About It

These are the most important numbers your products can have.

If you are a commodities' vendor, you’re probably interested in selling your products to government's buying agencies, just as to any other type of client. That’s exactly what NIGP Codes exist for and the reason why you should have an idea of which codes apply to your commodities. NIGP stands for National Institute of Governmental Purchasing, the organization that implements them. These codes are used by the US government to classify and identify products and services, as well as companies selling them at the moment.

Apart from enabling us selling to the government, NIGP codes are also used to analyze where money is spent in every district and to route requisitions from sellers to buyers efficiently. Understanding these codes can help you be identified more easily by potential clients. Also, it’s an excellent way to classify your own stock. If you’re the one who’s interested in purchasing, it can also help you track products you need.

Every local government should have its own NIGP Code Search & Commodity Provider Search. This system can be accessed via NIGP Living Codes, and when doing it you should be able to download a file with a codes' list as well. When you select and register your own codes, you’re giving the government an opportunity to hire your services and buy your products. It’s an essential part of public procurement.

Now, these codes might be a little complicated to understand. Its structure is essentially based on a series of digits that distinguish products and services by class and item. That way, the first three numbers indicate a general description of what you’re purchasing or selling and the last two a detailed description of the product. For example, the number 620 belongs to office supplies. So it would be shown like this:

620-00: Office supplies.

For general categorization, the last two numbers will always be two zeros. For specific products, numbers will change. This way, pens' code would look like this:

620-80: Pens.

62080 will then be your code if you’re selling this specific product. You might ask yourself if there is a limit to the codes you can register, but there isn’t. However, you should delimit your codes in the most precise way if you want to keep your solicitations relevant to your business. The code we just showed above has five digits, but you can actually add up to eleven digits to specify and classify products more accurately. So it could finally look like this:

620-80-21: Pens, ball tip, retractable, refillable, all plastic barrel with metal clip.

620-80-21-035-4: fine tip, black ink, 12/box.

For more information on how codes works, updates and search engines, you can go to their website at https://www.periscopeholdings.com/nigp. You can also use them in your stores to provide your clients a precise way to look for your products and get what they want instantly. This will also help you analyze which products are being sold the most, and it will optimize the whole process.

In Coagro Corp, we’re glad to find solutions to your everyday problems in the business. By implementing methods to improve your processes, your company can grow up efficiently over time. We want to guide you through, so contact us and let’s work together on the road to success!

This code is fundamental if you're working with importations.

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