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Para 4.8 - Limited Tender Enquiry | KartavyaDesk

Goods Manual

Original Rule Text

4.8.1 Terms and Conditions 1. The shortlist of vendors from the list of registered suppliers for the subject matter of procurement to whom it is proposed to send tender documents shall be approved by the competent authority before floating the tender. 2. In case the number of registered bidders for an item is large and unwieldy, a transparent system of rotation of invitation to bid may be used to keep the invited shortlist to a manageable number (say 8 to 12). 3. In the off-line tendering, copies of the tender documents should be sent free of cost (except in case of priced specifications/ drawings) directly by speed post/courier/e-mail to the panel of vendors on the list of registered suppliers for the subject matter of procurement. Further, the Procuring Entity should also mandatorily publish its limited tender enquiries on GeM as well as on GeM- Central Public Procurement Portal (CPPP). Apart from GeM and GeM- CPPP, the organisations should publish the tender enquiries on the Department’s or Ministry’s website. 4. The minimum number of bidders to whom LTE should be sent is more than three. In case less than three approved vendors/contractors are available, LTE may be sent to the available approved vendors/contractors with the approval of the CA, duly recording the reasons. Efforts should then be made to identify a higher number of approved suppliers by the Supplier Registration section to obtain more responsive bids on a competitive basis. 5. A simplified Tender Document with brief terms and conditions (Annexure 8) should be used instead of a detailed Tender Document. In any case, all registered vendors, who

What This Means

Para 4.8 of the Manual for Procurement of Goods, 2017, outlines the procedures for Limited Tender Enquiry (LTE). Think of LTE as a mini-tender process used when you already have a list of approved suppliers for a specific item. This rule ensures fairness and transparency when inviting these suppliers to bid. It dictates how you select vendors to invite, how you send them the tender documents, and how many vendors you need to include to ensure a competitive process. It applies when the procuring entity already has a list of registered suppliers for the required goods.

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Key Points

  • A competent authority must approve the shortlist of vendors before sending out tender documents.
  • If the registered bidder list is large, a transparent rotation system can be used to manage the number of invited bidders (aim for 8-12).
  • Tender documents should be sent free of cost (except for priced specifications) via speed post/courier/email to shortlisted vendors.
  • Limited tender enquiries must be published on GeM, CPPP, and the Department/Ministry website.
  • A minimum of three bidders should be invited for LTE. If fewer are available, seek approval from the competent authority and document the reasons.

Practical Example

The Ministry of Textiles needs to procure 500 cotton bedsheets. They have a list of 20 registered suppliers. Ms. Sharma, the procurement officer, first gets approval from her Director to shortlist vendors. Since 20 is a large number, she decides to use a rotation system, inviting a different set of 10 suppliers each time a similar requirement arises. She sends the simplified tender document (Annexure 8) via email to the selected 10 suppliers, also publishing the LTE on GeM, CPPP, and the Ministry's website. If only two suppliers were registered, Ms. Sharma would need to get approval from the Director, document the reason for the limited number, and then send the LTE to those two suppliers, while also initiating a process to register more suppliers.

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Frequently Asked Questions

What is a Limited Tender Enquiry (LTE)?
LTE is a procurement method where tender documents are sent only to a limited number of registered suppliers.
What if we have fewer than three registered vendors for a particular item?
You can proceed with the LTE with the available vendors, but you need approval from the competent authority and must document the reasons. Efforts should be made to increase the number of registered suppliers.
Do we need to publish LTEs on GeM and CPPP?
Yes, it is mandatory to publish limited tender enquiries on GeM and CPPP, as well as on the Department/Ministry's website.
Can we charge for tender documents?
Generally, no. Tender documents should be sent free of cost, except in the case of priced specifications or drawings.
What is Annexure 8?
Annexure 8 refers to a simplified tender document format with brief terms and conditions, as mentioned in the Manual for Procurement of Goods, 2017.

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Test Your Knowledge

Question 1 of 3

According to Para 4.8 of the Manual for Procurement of Goods, 2017, which of the following approvals is required before floating a limited tender enquiry (LTE) to shortlisted vendors?

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