Finance ministry relaxes ban on global tender enquiries of Rs 200 crore and below

The government has allowed global tenders to be floated for amounts under Rs 200 crore for supplies needed for health infrastructure or the manufacture of Covid-19-related materials. So far, only local suppliers could participate in such tenders.

The finance ministry said it would make this exception for projects involving health infrastructure or the manufacture of Covid-related materials.

The relaxation would be valid till October 31, and would be subject to the approval of Secretary (coordination) at the cabinet secretariat, the expenditure department under the finance ministry said in a memorandum dated June 11.

On Friday, the ministry extended till the end of October the exemption on Covid-related medical supplies from additional scrutiny on public procurement of goods and services from countries sharing a land border with India.

“Apart from medical equipment, government agencies who are involved in strengthening the health infrastructure/making efforts to fight with Covid-19 may also require manufacturing Covid-19 items/equipment,” the memorandum on tenders said.

In May last year, to spur business for micro, small and medium enterprises as part of the Atmanirbhar Bharat package, the government had banned public procurement of goods and services of up to Rs 200 crore from abroad.