Section 2 in Store Purchase Preference Policy, 2002
2.
Accordingly it has been resolved that following concessions shall be given with immediate effect to the industries located in the State of Bihar in purchase of stores by all Govt. Department./Corporations/Board/Authorities/autonomous institutions, and all the following provisions shall apply: -2.1In order to obviate any loss to local industries arising out of tax differences prevailing in other States as well as to ensure uniform tax compliance, in all the tenders called by each Govt. Department there will be a mandatory provision that units located in Bihar or Corporate offices/local agent/authorized dealer of the manufacturing units located outside the State and registered with the Commercial Taxes Department Bihar only can participate.Note. - "Units situated in the State" means such units that are located and registered in the State of Bihar."2.2All the Govt. departments/Corporations/ Boards/Authorities/and autonomous institutions in the purchase of stores shall accord:(i)a maximum of 2% price preference to the stores produced by medium/ large units (including public sector enterprises) vis-a-vis stores manufactured by medium/large units located outside the State of Bihar; and(ii)a maximum of 7% price preference to the stores produced by operative small units permanently registered in Bihar, including the stores produced by Public Undertakings/Corporations/Khad/Board as compared to the stores produced by small/medium and large units located outside the State of Bihar.2.3If the quotations of two or more small units located within the State or their quotations are identical, the purchase orders shall be proportionately divided amongst the participating units in accordance with their production capacities.2.4.1. All quotations/tenders must be submitted on FOR destination basis inclusive of all local taxes.2.4.2. Subject to the provisions mentioned above, whenever stores are purchased from units located outside the State, the supply against such purchase orders shall be executed only through their local branches/agents/authorized dealer and it will be ascertained that all the applicable taxes of the State have been paid.2.4.3. After completion of the supply, while making payment the purchasing department shall ensure that the supplier has paid all the commercial taxes and send a confirmation to this effect to the Commercial Taxes Department2.4.4. It is resolved that only price preference shall be accorded in processing tenders and placement of purchase orders for stores produced by local units. There shall be no relief or compromise in the quality of stores and the schedule of supply.2.5Separate registration under the "Stores purchase preference policy" shall no longer be required and such practice be deemed as abolished. All the units in production located in the State and having permanent registration shall be eligible for benefits under this policy in respect of the items of their registration.2.6While according price preference to local units, it would also be in the interest of the State to ensure that the stores are purchased only from those units which conform to prevalent National Standard/Recognized Standard of quality. Hence all tenders shall have an imperative condition that the quality of stores to be supplied must be in total conformity with the specifications laid down for the item by the National/International Standard Organizations (i.e. ISO/ISI/Agmark etc.). The tenders must also incorporate a condition that technical tenders and financial tenders shall be received in separate envelopes and firstly the envelopes containing technical tenders be opened and processed and only in the cases where they are acceptable/admissible as per corresponding terms of tenders, the accompanying financial quotation of the competing supplier shall be opened for consideration and finalization.2.7For the purpose of Govt, contract, the small industrial units located in the State of Bihar will not be required to deposit 'earnest money'. However, they will have to deposit only 20% of the general security amount. After obtaining the purchase orders the units which fail to supply as per conditions laid down, actions will be taken for their black listing.2.8Each department/Corporation/Board/Authority/Autonomous institution will constitute purchase committee at district level upon whose recommendation the concerned authority will finalize purchases.2.9Unless otherwise decided at the appropriate level in the interest of the work the purchasing department shall allow to the small industrial units a minimum period of 30 days from the receipt of the order to deliver the ordered items.2.10A copy of the order for purchase shall promptly be made available to the Department of Industries while another shall be prominently displayed upon the Notice Board of the purchasing department.
