Tenders

It is the notice given to all concerns to enable them to give

quotations for the supply of stores as well as execution of

works.
Types of Tender

 Single Tender (ST)

 Limited Tender (LT)
Ordinary (OLT)
Special (SLT)
Bulletin Tender (BT)

 Open Tender
 Global Tender
Single Tender (ST)

 Tender is invited from only one firm

 Eliminates competition
 Called for the following(s)
 Only one single supplier,
 Emergency affecting repairs, maintenance out-turn operation,
etc ( due to accidents, out of stock) etc.
 Development items
 Petty value not economical to go for competitive offer.

 Power of purchase are very limited

Single Tender
Proprietary Article Certificate (PAC)
 Articles manufactured and supplied by a single manufacturer
 There are no suitable alternative items available.
When these articles are to be purchased
 The consuming department should submit necessary
certificate in the prescribed pro-forma
 Signed by competent authority.
a. Indenting officer up to Rs. 5000/-
b. JAG up to Rs. 25000/-
c. SAG up to Rs. 01 Lakh
d. PHOD Above Rs. 01 Lakh -
2. Limited Tender
 Invitation of Tenders from limited number of suppliers is called Limited tender
Ordinary (OLT)
Special (SLT)
Bulletin Tender (BT)

 Tender Enquiry is sent to approved firm only

 List of firm is approved by accepting authority with JAG
 More competition than Single Tender but restricted competition
 LT can be issued upto Rs.5 Lakhs case Value.
 Usually 21 days time is given
 Shorter opening can be considered if local firm.
Ordinary (OLT)
Special (SLT)
Bulletin Tender (BT)
Ordinary Limited tender (OLT)
 Normally such tenders are issued when estimated cost of supply is
less than Rs- 05 lakhs
 The enquiries are sent usually to a minimum of three firms and
maximum of eight firms.
 The enquiries are sent directly to the firms either by post or a
person.
 If it is sent through a person and quotations are also collected by
that person . it is called as Bearer Tender.
 Ordinary Limited Tender is resorted to in the following cases.
(i) When there is urgent need by consuming. Dept for
procurement on out of turn basis
(ii) When there are limited sources available for that item.
(iii) When the item is to be procured from approved sources
(DGS &D).
ii. Special Limited Tender (SLT)

 This is like an ordinary limited tender

but the estimated value is Rs - 05 Lakhs
and above.
 The value is more ,SLT is issued with
concurrence of FA&CAO with approval
of AGM.
 Tender opened in presence of suppliers
as in case of Open Tenders.
(iii) Bulletin Tender (BT)
 When the estimated value is below Rs - 05 Lakhs,
the purchase of items shall be made generally
through the issue of Bulletin Tenders.
 The COS office publishes in a fortnightly bulletin
containing details of about 100 to150 items.
 Dispatched to the registered suppliers
 Thus BT is one form of a L T used extensively for
purchasing non urgent, non safety items for which
more suppliers are available.
 The Bulletin gives details like description,.
specification, quantity, consignee. . delivery time etc.
3. Open Tender or Advertised Tender:

 Tenders by advertisement in the most public manner is called

Advertised tender/open tender.
 Tender notices are published in the leading newspapers.
 Supplier of the materials can purchase the tender document from the
COS office and can submit his tender.

1. Advertisement in most open matter

2. Opened In the presence of suppliers
3. The rates and conditions are used openly
4. It is open to all OT is issued for all item whose value is 5 lakhs and
above.
5. The main advantage is that we may get competitive prices However
the time taken may be long.
4. Global Tender
 This system is adopted by Railway
Board for purchases throughout the
world.
 GMs' are also empowered to call GT on
SL basis with permission from the
Railway Board.
Open tender

 Tender are invited by Public Advertisement

 Most open manner of tendering.
 This made has to be adopted if value exceeds Rs. 5 Lakhs.
 Sufficient time ( not less than 1 month) is given for opening.
Special Limited Tender

 If tenders are sent to selected firm only and value exceeds Rs.5
Lakh, the tender is Special Limited Tender.
 Issued when
 Sufficient reasons exist which indicate that it is not in public
interest to call for advertised tenders.
 Demand is so urgent that any additional expenditures involved
by elimination of competition.
 PAC certificate is given.
Tendering with Samples attached

 As far as possible specification must be given .

 Firm should be asked to submit samples with their offer.
 Offer not with samples should be rejected.
 The name of supplier , no of sample etc must be clearly marked
on the sample.
Tendering with specification

 Specification copy must be annexed to the TE or quoted on

tender forms.
 Where the specification contain drawing numbers
 The drg copy must be attached if drg was made by Railway.

 Drg. No. must be mentioned if drg. Ws made by

RDSO/DLW/CLW.
 Or, the tender must indicate where the drg/sketches can be
obtained from
• In case of brand, the reference should be followed by the word
“or similar”.
Tendering with specification – (contd)

 If this is not done, then a PAC has to be given.

 Specification cannot be altered after tenders have been invited.
 If specification need to be changed, fresh tenders should be
called,
Care to be taken while preparing TE

 Worded to permit and encourage free competition.

 Define work previously.
 Place of delivery
 Time and date of submission of tender.
 Method of inspection.
 Drawings should be consistent with tent of the specification.
 Enquiries must always be sent to the last supplier.
 LTs must be issued to minimum of 3 firms and a max. of 7 or 8
firm can be varied.
 If large number of firms are registered, LTC must be issued in
rotation to them.
Care to be taken while preparing TE – (contd)

 Sister concurrence – give TE one,by rotation.

 Prescribed period of time must be given to tenderers , in all
cased barring exceptional circumstances.
Tender Box Procedure

 Adequate Number of boxes.

 Clear marking of dates and time.
 BT/LT boxes should be prescribed time.
 Boxes opened at prescribed time.
 Tenders are machine numbered 4 digit No. And date .
 4 digit No starts from 1 daily.
 Initialed and date by Accounts and stores Rep.
 If a cover has tender for forward date, they are redropped, back
in a separate sealed cover.