ISLAMABAD: The Public Procurement Regulatory Authority (PPRA) is said to have exempted procurement of 0.2 million tons of urea from abroad from applicability of relevant PPRA Rules, well informed sources told Business Recorder.
Sharing the details, sources said Ministry of Industries & Production (MoI&P) in a letter on October 25, 2023 requested PPRA to allow exemption to Trading Corporation of Pakistan (TCP) from applicability of Rules 5, 8,9, 13, 35, 38 & 40 of Public Procurement Rules, 2004 for initiating the procurement of 200,000MT urea from abroad.
The Ministry stated that a summary on the measures to meet requirement of urea fertilizer for Rabi season 2023-24 was submitted to ECC of the Cabinet, which was discussed during the meeting of the ECC of the Cabinet held on October 23, 2023.
Govt decides to import urea on G2G basis
ECC in principle decided to allow import of 200,000 MT urea, which was ratified by the Cabinet in its decision on October 30, 2023.
In this regard, in the light of request of TCP of October 25, 2023, the Ministry requested grant of exemption to TCP from applicability of 5, 8, 9, 13, 35, 38 & 40 Rules of Public Procurement Rules, 2004 for initiating the procurement of 200,000 MT urea from abroad: (i) Rule-5 for procurement on G2G with nominated international Organisation through agreements; (ii) Rule 8 and 9 for exemption from procurement planning and limitation on splitting or regrouping of procurement; (iii) Rule-13 for response time which in otherwise would be 30 days; (iv) Rule-35 for hosting time of bid evaluation report before award of contract which is otherwise 15 days; (v) Rule-38 for exemption from award of the contract to only one supplier i.e. most advantageous bidder. Contract needs to be awarded to multiple bidders so to procure required quantity; and (vi) Rule-40, exemption from limitation on negotiation otherwise we could not do price-matching.
Earlier, in accordance with Section 21 of the PPRA Ordinance, 2002, on the recommendation of the PPRA Board (65th meeting held on September 30, 2022), the Federal Government, on October07, 2022, granted exemption to TCP from applicability of Rules 8, 9, 13, 35, 38 & 40 of the Public Procurement Rules, 2004 for import of 300,000 MT urea fertilizer.
The Ministry has provided reasons/justifications required for exemption under section 21 of PPRA Ordinance2002 for import of urea through TCP.
Foregoing in view, Ministry of Industries and Production sought exemption to TCP from applicability of Rules 5, 8, 9, 13, 35, 38 & 40 of Public Procurement Rules, 2004 for initiating the procurement of 200,000 MT urea from abroad submitted for the consideration and approval of the PPRA Board under section 21 of the PPRA Ordinance, 2002.
Copyright Business Recorder, 2023
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