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Three companies bid for the manufacture of 44 Vande Bharat type trains | India News

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NEW DELHI: Only three companies – BHEL, Medha Servo Drives and CRRC-Pioneer Electric India – have submitted bids for the manufacture of 44 Vande Bharat type train rakes. The sources said that the railways will begin evaluating technical bids for this nearly Rs 1,800 crore contract.
Ministry sources said that it is an indigenous tender with a stipulation of a minimum local content of 75%. They said that only after scrutiny of these technical bids will be finalized who will be allowed to submit financial bids or participate in the reverse auction. While industry sources said the reverse auction requires the participation of more than three bidders, ministry officials said it is up to the committee set up to process the bids to take the last call.
In the reverse auction model, qualified bidders can quote their prices online and live. “Price discovery is better in the reverse auction model,” said a senior official from an infrastructure ministry.
While BHEL is a government PSU and Medha is an Indian company, CRRC-Pioneer Electric India is a joint venture between Beijing based at CRRC Yongji Electric Ltd and Pioneer Fil-Med Ltd of India, which has its plant in Haryana. It applied for registration here after it was made mandatory for companies with beneficial owners in countries that share land borders with India to register to participate in public procurement contracts.
The destination of the company’s offer will be known after the evaluation.
Meanwhile, sources at the rail ministry said that any company, whether autonomous or joint venture, that is not eligible under the well-established rules of indigenous tenders will be automatically eliminated. They added that the bid evaluation process has not yet started.
They said that the eligibility of a bidder from a country that shares a land border with India to participate in the tender will be according to the public procurement orders of the Ministry of Finance and the bidders must submit a required certificate, otherwise the offer will be summarily rejected.

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