- 1. Supply of a total of 15 million meters of spun bond (“Spun Bond”)
- 2. Supply of meltblown polypropylene width 175mm at 30gsm (“Meltblown”)
- 3. 15 million metres of 2.5mm round elastic (Polyester and Spandex) for face covering production
- 4. 3 month supply of recyclable clear film to package face coverings
- 5. Supply of 3.0mm wide and 0.45mm single ferric core PE nose wire (“Nose Bridges”)
Section one: Contracting authority
one.1) Name and addresses
The Minister for the Cabinet Office acting through the Cabinet Office
1 Horse Guards Road
London
SW1A 2HQ
marketsandsuppliers@cabinetoffice.gov.uk
Telephone
+44 3450103503
Country
United Kingdom
NUTS code
UK - UNITED KINGDOM
Internet address(es)
Main address
https://www.gov.uk/government/organisations/cabinet-office
one.4) Type of the contracting authority
Ministry or any other national or federal authority
one.5) Main activity
Health
Section two: Object
two.1) Scope of the procurement
two.1.1) Title
Supply of raw materials for the production of non-medical face coverings
two.1.2) Main CPV code
- 19000000 - Leather and textile fabrics, plastic and rubber materials
two.1.3) Type of contract
Supplies
two.1.4) Short description
The Cabinet Office will purchase raw materials for use in the production of UK-compliant non-medical face coverings (Type IIR medical-grade masks in extremis), which are required to support the national effort to combat Covid-19.
two.1.6) Information about lots
This contract is divided into lots: No
two.1.7) Total value of the procurement (excluding VAT)
Value excluding VAT: £3,005,630.05
two.2) Description
two.2.2) Additional CPV code(s)
- 19200000 - Textile fabrics and related items
two.2.3) Place of performance
NUTS codes
- UK - UNITED KINGDOM
two.2.4) Description of the procurement
Materials required for the production of Face Coverings
two.2.5) Award criteria
Price
two.2.11) Information about options
Options: No
two.2.13) Information about European Union Funds
The procurement is related to a project and/or programme financed by European Union funds: No
Section four. Procedure
four.1) Description
four.1.1) Type of procedure
Award of a contract without prior publication of a call for competition in the cases listed below
- Extreme urgency brought about by events unforeseeable for the contracting authority
Explanation:
1. The COVID-19 outbreak is a Public Health Emergency of International Concern as declared by the World Health Organisation on 30 January 2020. The WHO Director-General characterised COVID-19 as a pandemic on 11 March 2020. As of 6 April 2020, scientific knowledge regarding the disease and its transmission was still emerging, however the WHO advised that COVID-19 transmission can occur via ‘infective respiratory droplets’ and wearing a mask represented one prevention measure that can limit the spread of viral diseases such as COVID-19.
2. In April 2020 the UK did not possess any face covering manufacturing capability and was reliant on securing supplies from overseas producers. Problems were experienced in obtaining reliable supplies of medical PPE-grade masks in a global market due to increased global demand and the disruption to the supply chain caused by the pandemic. There was a concern that insufficient volumes of non-medical masks would become available or, if available, they would be of inferior quality or charged at exorbitant prices.
3. In May 2020 Cabinet Office (CO) considered it crucial in the public interest to source initial supplies of face covering raw materials as part of a wider Face Coverings Programme in order to secure the UK’s domestic manufacturing capacity to:
a. produce medical grade masks immediately (if necessary);
b. create an immediate and reliable supply of high-quality non-medical face coverings at affordable prices for the domestic market; and
c. create national resilience to supply chain shocks within a global market.
This was because in April 2020 there was a considerable shortage of medical and non-medical PPE globally, there was real fear that items available would be impounded at borders so domestic production was urgently required to mitigate the impact of COVID-19.
4. In May 2020 CO purchased 10 non-automated production machinery lines (see CAN 141-348171). This was followed later by the purchase of automated producion machinery lines (see CAN 2020-S/1430352966). In light of the urgent requirement to place the machinery with identified producers as soon as practicable and to commence their prompt operation, the CO also procured 13 weeks’ supply of the necessary raw materials to enable the immediate domestic production of non-medical face coverings. Due to the heightened international demand for raw materials utilised in the production of face masks/coverings, the long lead times, and the price volatility in the global market due to COVID-19, the CO procured the raw materials in order for them to be immediately available to the domestic producers. Waiting for the identified producers to be appointed and then for them to procure the raw materials individually would have caused delays of up to a month to the production commencement date, which would have severely impacted HMG’s effort to stimulate the urgent production of face coverings for the domestic market.
5. An accelerated PCR procurement was impossible if the supplies of raw materials were to be available in sufficient quantities in time for the domestic production of face coverings to commence. Any delay caused by having to engage the market through an open competition or restricted procedure ran the risk of failing to secure the necessary raw materials in the required timeframe (given the international demand for such materials and the lead times involved in procuring them). That would have caused knock-on delays to other aspects of the Face Coverings Programme, such as the manufacturers commencing production of the face coverings and their ability to produce sufficient volumes for the anticipated domestic demand, which would undermine HMG efforts to mitigate Covid-19 risks in the UK.
6. CO is satisfied the tests permitting use of the urgent direct award procedure (Regulation 32(2)(c)) t as set out in section VI 1.3 (Additional Information) above are met.
four.1.8) Information about the Government Procurement Agreement (GPA)
The procurement is covered by the Government Procurement Agreement: Yes
Section five. Award of contract
Contract No
11-HOLDE-108
Title
Supply of a total of 15 million meters of spun bond (“Spun Bond”)
A contract/lot is awarded: Yes
five.2) Award of contract
five.2.1) Date of conclusion of the contract
17 June 2020
five.2.2) Information about tenders
Number of tenders received: 1
The contract has been awarded to a group of economic operators: No
five.2.3) Name and address of the contractor
Tame Valley Padding Co. Limited t/a Holden Laminates
Moss Rose Mill Springfield Road
Kearsley
BL4 8JW
Country
United Kingdom
NUTS code
- UK - UNITED KINGDOM
National registration number
00643830
Internet address
http://www.john-holden.co.uk/division_johnholdenandsons.php
The contractor is an SME
No
five.2.4) Information on value of contract/lot (excluding VAT)
Total value of the contract/lot: £1,350,000
Section five. Award of contract
Contract No
7-NPS S-106
Title
Supply of meltblown polypropylene width 175mm at 30gsm (“Meltblown”)
A contract/lot is awarded: Yes
five.2) Award of contract
five.2.1) Date of conclusion of the contract
16 June 2020
five.2.2) Information about tenders
Number of tenders received: 1
The contract has been awarded to a group of economic operators: No
five.2.3) Name and address of the contractor
NPS Worldwide – UK Limited
10 Orange Street
London
WC2H 7DQ
Country
United Kingdom
NUTS code
- UK - UNITED KINGDOM
National registration number
02985506
Internet address
The contractor is an SME
No
five.2.4) Information on value of contract/lot (excluding VAT)
Total value of the contract/lot: £1,130,141.25
Section five. Award of contract
Contract No
10-TEXTI-105
Title
15 million metres of 2.5mm round elastic (Polyester and Spandex) for face covering production
A contract/lot is awarded: Yes
five.2) Award of contract
five.2.1) Date of conclusion of the contract
23 July 2020
five.2.2) Information about tenders
Number of tenders received: 1
The contract has been awarded to a group of economic operators: No
five.2.3) Name and address of the contractor
Textile Enterprises Ltd
26 The Square
Dungannon
BT71 7SG
Country
United Kingdom
NUTS code
- UK - UNITED KINGDOM
National registration number
NI029772
Internet address
https://www.textileenterprises.co.uk/
The contractor is an SME
No
five.2.4) Information on value of contract/lot (excluding VAT)
Total value of the contract/lot: £337,500
Section five. Award of contract
Contract No
12-NATIO-111
Title
3 month supply of recyclable clear film to package face coverings
A contract/lot is awarded: Yes
five.2) Award of contract
five.2.1) Date of conclusion of the contract
26 June 2019
five.2.2) Information about tenders
Number of tenders received: 1
The contract has been awarded to a group of economic operators: No
five.2.3) Name and address of the contractor
National Flexible Limited
2 Battlefield View
Birkenshaw
BD11 2PT
Country
United Kingdom
NUTS code
- UK - UNITED KINGDOM
National registration number
03486101
Internet address
https://www.nationalflexible.co.uk/
The contractor is an SME
No
five.2.4) Information on value of contract/lot (excluding VAT)
Total value of the contract/lot: £138,403.36
Section five. Award of contract
Contract No
SR20017-9
Title
Supply of 3.0mm wide and 0.45mm single ferric core PE nose wire (“Nose Bridges”)
A contract/lot is awarded: Yes
five.2) Award of contract
five.2.1) Date of conclusion of the contract
12 June 2020
five.2.2) Information about tenders
Number of tenders received: 1
The contract has been awarded to a group of economic operators: No
five.2.3) Name and address of the contractor
Shenzhen Sinrui Technology Co., Ltd
Floor 4, Building 7, Huafeng Science and Technology Park, FengWei Community FuHai Street Baoan District
Shenzhen
Country
China
NUTS code
- 00 - Other NUTS code
Internet address
http://en.sinruitech.com/products.aspx?typeid=10
The contractor is an SME
No
five.2.4) Information on value of contract/lot (excluding VAT)
Total value of the contract/lot: £26,584.94
Section six. Complementary information
six.3) Additional information
The text below is a continuation of paragraph 6 of Annex D1
a. There are genuine reasons for extreme urgency: CO has responded to Covid-19 immediately due to public health risks presenting a genuine emergency. The raw materials were critical for the production of face coverings, it would not be possible to commence production without the raw materials.
b. The events that have led to the need for extreme urgency were unforeseeable: The European Commission (Commissioner Breton – April 2020) has confirmed that the coronavirus crisis presents an extreme and unforeseeable urgency.
c. It is impossible to comply with the usual timescales in the PCR: There was no time to run an accelerated procurement under the open, restricted or competitive procedures with negotiation that would allow CO to secure all of the raw materials in the immediate term. That is particularly so in light of the likely delays to any procurement timeline – for example, drafting the technical documents required for the ITT stage – and the operational and commercial risks for the other inter-related aspects of the Face Coverings Programme that would arise as a result of any hold-up with sourcing the raw materials. Each individual component would require a separate tender process and delays to one element could delay production entirely.
d. The situation is not attributable to the Contracting Authority: It has not done anything to cause or contribute to the need for extreme urgency.
e. As far as is strictly necessary: The CO needed to act promptly as there is a substantial lead in time for the sourcing and delivery all of the raw materials, with some materials procured from China. A delay in sourcing and delivery of any of the raw materials has the risk of delaying production entirely. There was also price volatility to contend with due to international demand for face mask/covering associated raw materials, therefore CO needed to secure orders as soon as possible.
six.4) Procedures for review
six.4.1) Review body
The Minister for the Cabinet Office acting through the Cabinet Office
1 Horse Guards Road
London
SW1A 2HQ
marketsandsuppliers@cabinetoffice.gov.uk
Telephone
+44 3450103503
Country
United Kingdom