e-PG9 Direct Procurement Goods Preparation Guideline

01When to Use e-PG9

Use e-PG9 when the Procuring Entity (the Purchaser) wants to select only one supplier for goods and related services under the Direct Procurement Method (DPM). Instead of an open tender, you send one supplier an invitation, receive its offer, negotiate and sign.

Nature

Goods and related services

Method

Direct Procurement (DPM)

Competition

None: one invited supplier

Value

Any value, where DPM is permitted

Award basis

Satisfactory negotiation

Currency

Bangladesh Taka

02How the Document Works

e-PG9 is short. You fill in the bracketed items, delete the italic guidance notes, and remove rows marked "if applicable" that you do not need.

Once signed, the Contract Agreement prevails over every other document. The rest are read in this order:

1. Minutes of Negotiations
2. The Supplier's offer
3. Conditions of Contract
4. PE's Requirements (Schedule of Requirements and Technical Specifications)
5. Completed schedules, including Price Schedules
6. Any other document listed as part of the Contract

03Key Time Limits

04Fill In the Invitation Letter

Before sending, check the supplier is not disqualified by a conflict of interest (para 6). It has one if it or an affiliate:

• helped prepare the design or specifications of these goods as a consultant;
• has been, or is proposed to be, hired by the PE to implement the contract;
• would supply goods, works or services resulting from consulting services it or a controlled affiliate provided for this project; or
• has a close business or family tie with PE staff involved in the invitation, specifications, evaluation, or implementation and supervision, unless resolved to the PE's satisfaction.

A state-owned enterprise may be invited only if it shows it is legally and financially autonomous, operates under commercial law, and is not a dependent agency of the PE (para 5).

05Annex 1: PE's Requirements

• Technical Specifications and Compliance form: for each item, fill in the item number, name, detailed specification and standards required, and the inspections or tests required with the test place. The supplier fills in country of origin, make and model or brand, and the specification offered.
• Rule 38: prepare specifications under Rule 38 of PPR 2025. State the national or international standards, require new, unused, current-model goods, and say what inspections and tests you need and where.
• Same item numbers in the price schedule and the specification form.
• Price and Delivery Schedules: one for goods (point of delivery, delivery period in days) and one for related services (point and period of completion). Prices are in Taka, in figures and words. No credit is given for early completion.
• Specification summary: optional table (1.3.1) plus detailed specifications (1.3.2) where necessary. Cover standards, related services, tests and inspections, and functional guarantees under the warranty.
• Drawings: optional; insert "the following" or "no" drawings and list them with number, name and purpose.
• Inspection, Examination and Tests: list each test with its nature, frequency, location and procedure, and name any inspection agency you use with its scope of services (see CC 25).

06Fill In the Conditions of Contract

The CC have no separate PCC: fill the blanks directly and delete all italic text before signing.

Example: liquidated damages per week Suppose CC 29.1 sets 0.5% per week (an illustrative rate, not one from the STD) and goods worth Tk. 8 lakh arrive 10 days late. Ten days is one week plus part of a second week, so two weeks count: 2 × 0.5% × Tk. 8,00,000 = Tk. 8,000. Once the total reaches the CC cap, you may terminate under CC 33.

07Securities and Retention

Tender security

Not required

Performance security

10% of the contract price

Retention

10% of payments, until warranty expiry

Contractual security

10% of the contract value

• Form: Bank Draft, Pay Order or irrevocable unconditional Bank Guarantee in the STD format, without alteration, from a scheduled bank of Bangladesh acceptable to you.
• Verify it by writing to the issuing bank branch.
• Claims: you may claim if the supplier is in breach, or has not paid an amount due, for 14 days or more after notice. If compensation due equals or exceeds the security, call the full amount. Notify the supplier of any claim.
• Return within 7 days of the final payment, subject to the Acceptance Certificate.
• Government supplier: the performance security may be kept as the contractual security instead of retention money until the warranty expires.
• Release retention only after the warranty, if the goods are free of patent defects (obvious, like a pen that does not write) and latent defects (hidden, like a pen that writes 0.75 km instead of 1.5 km) and all conditions are met.

CC 23.1 sets the contractual security at 10% of the contract value, while CC 23.4 and 23.9 add a 10% performance security and 10% retention. Agree how these fit together during negotiation and record it in the minutes.

08Receive and Check the Offer

The supplier replies with Annex 2. Check that it contains:

• The Supplier's Offer Form, signed, with the invitation reference and date.
• Declarations on conformity, eligibility and no conflict of interest.
• The suspension and debarment statement for the right source of funds: GoB (PEs and development partners) or development partner (World Bank Group and cross-debarment).
• The professional misconduct certificate under Rule 149 (GoB) or the fraud and corruption certificate (development partner).
• A stated validity period and the commitment to provide a performance security.
• The completed compliance form and priced schedules, with a grand summary.
• A Manufacturer's Authorisation on the manufacturer's letterhead, if you required one.

The offer form confirms you may accept or reject the offer and may annul the direct contracting process at any time before award.

09Negotiation, Award and Publication

1. Invite the supplier to negotiate using the Sample Letter of Invitation for Negotiations, with the logistics, date and time.
2. Negotiate price, delivery, securities, payment and any open CC points. Sign Minutes of Negotiations; they rank first among the contract documents.
3. Conclude the contract only if negotiations end satisfactorily (para 14), and obtain approval from the Approving Authority.
4. Within 3 working days of approval, issue the NOA with the contract price, the performance security amount and deadline, and the signing deadline. Send the draft Contract Agreement and all contract documents with it.
5. Receive and verify the performance security, then sign the Contract Agreement. The supplier may start supplying only after both are done.
6. Within 3 days of signing, publish the contract information on your notice board or website, and on the BPPA website or portal with beneficial ownership details. Keep it posted for at least 30 days.

Beneficial ownership Required for any contract above Tk. 10 lakh: the names and NIDs of the owners, partners, CEO or MD, directors and shareholders holding 10% of issued shares. State-owned enterprises are excused.

The NOA form refers to "CC Clause No 16" for the performance security and "ITT Clause 23" for signing. e-PG9 has no ITT 23, and the security is in CC 23. Correct these references when you issue the NOA.

10Contract Management

• Acceptance: the TEAC starts within 24 hours of delivery; process acceptance within 14 working days. If defects are found, certify only the accepted parts.
• Inspection: tests are at the supplier's cost. Your attendance is at your own cost. You may order extra tests and reject goods that fail; the supplier rectifies or replaces them and retests at no cost.
• Price: fixed. Taxes are the supplier's responsibility, but if a tax rate changes by law, adjust the price, with HOPE's approval, so the supplier's net amount is unchanged.
• Change orders: you may change specifications of specially made goods, shipment or packing, quantities within the CC range, the delivery place, extra tests, or related services. Make an equitable adjustment and amend the contract in writing.
• Extensions: the supplier must apply before the original delivery date. Decide within 21 days; extensions on justifiable grounds carry no LD. Up to 30% by the PE; over 30% up to 100% needs HOPE or an authorised officer; over 100% needs the Secretary.
• Warranty: starts when you accept the delivery chalan; earlier deliveries expire earlier. If the supplier does not fix a notified defect in time, remedy it at the supplier's risk and expense.
• Liability: capped at the total contract price, except criminal negligence, wilful misconduct, repair or replacement of defective equipment, and patent indemnity.

11Termination and Disputes

• Default: late delivery, failure of any other obligation, or professional misconduct. Buy the undelivered goods elsewhere; the supplier pays the extra cost and continues any part not terminated.
• Insolvency: terminate without compensation once a court finally declares the supplier bankrupt or insolvent.
• Convenience: by notice, at any time. Goods ready for shipment within 21 days are accepted at contract prices; for the rest, have them completed or cancel and pay an agreed amount.
• Force majeure: if performance is blocked for more than 60 days at once or 120 days in total, try to agree a solution; failing that, either party may terminate.
• Disputes: settle amicably first, then refer to the Adjudicator within 14 days of the first written correspondence. Foreign supplier: final settlement under the Arbitration Act 2001. National supplier: adjudication or arbitration under Bangladesh law.

12Issuing Checklist

• The DPM justification is recorded and approved under PPR 2025.
• The supplier has no conflict of interest; an SOE meets the autonomy test.
• Reference, eligible countries, clarification contact and deadline, offer deadline and address are filled in.
• Manufacturer's Authorisation kept or marked "Not Applicable".
• Specifications follow Rule 38, with matching item numbers in the price schedules.
• Tests, inspection agency and drawings (if any) are listed.
• CC blanks filled: site, notices, documents, quantity range, packing, transport, payment, insurance, warranty, delivery, LD rate and cap.
• All italic guidance text is deleted.

13Common Questions