Awarded contract

DHSC International Freight and Logistics Solutions

  • Department of Health and Social Care

F03: Contract award notice

Notice reference: 2021/S 000-027414

Published 2 November 2021, 1:22pm



Section one: Contracting authority

one.1) Name and addresses

Department of Health and Social Care

39 Victoria Street

London

SW1H 0EU

Contact

DHSC International Freight Team

Email

SPOC.NSDR@dhsc.gov.uk

Country

United Kingdom

NUTS code

UKI32 - Westminster

Internet address(es)

Main address

https://www.gov.uk/government/organisations/department-of-health-and-social-care

Buyer's address

https://www.gov.uk/government/organisations/department-of-health-and-social-care

one.2) Information about joint procurement

The contract is awarded by a central purchasing body

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

DHSC International Freight and Logistics Solutions

Reference number

C32971

two.1.2) Main CPV code

  • 60000000 - Transport services (excl. Waste transport)

two.1.3) Type of contract

Services

two.1.4) Short description

The Department of Health and Social Care has awarded contracts for the provision of international freight and logistics services to support the import and export of medical products to and from global locations. Contracts have been awarded following a competitive, open procedure and having observed the minimum 10-day standstill period. The contracts are zero-volume commitment contracts. Each contract will be for an initial 12-month period with an option to extend for up to a further 12 months in multiples of 3-month increments where the value of the contract has not been exhausted in the first 12 months. The authority will inform the successful supplier no less than 3 months before end of contract term on any decision to extend the contract. The total contract value is estimated to be up to GBP 382 000000. The contract value split by lot is as follows: Lot A- Air Charters - £248m, Lot B- Sea Freight Services - £66m, Lot C- Rail Freight Services - £62m, Lot D- International Warehousing

two.1.6) Information about lots

This contract is divided into lots: Yes

two.1.7) Total value of the procurement (excluding VAT)

Value excluding VAT: £382,000,000

two.2) Description

two.2.1) Title

Provision of International Warehousing Services

Lot No

D

two.2.2) Additional CPV code(s)

  • 63122000 - Warehousing services

two.2.3) Place of performance

NUTS codes
  • UK - United Kingdom

two.2.4) Description of the procurement

The Department for Health and Social Care is awarding this contract for the provision of warehouse services outside the UK. The successful organisation will be responsible for supplier collection, inbound warehousing process, storage and outbound warehousing process, and will work to the Authority’s given schedule to optimise export of freight from various global locations. The successful organisation will be required to mobilise a fully-staffed operation, running on a 24/7/365 basis where required, working in direct contact with the Authority’s freight teams, manufacturers and other third party organisations as required. The scope of this contract will not be limited to a specific global geography in order to allow the Authority to respond to any future global needs that may arise. As such, a flexible 'pay as you go', non-committal warehousing solution is required.

two.2.5) Award criteria

Quality criterion - Name: Mobilisation / Weighting: 7

Quality criterion - Name: Service Delivery / Weighting: 24.5

Quality criterion - Name: Scalability, flexibility and business continuity / Weighting: 21

Quality criterion - Name: Organisation and supply chain structure / Weighting: 10.5

Quality criterion - Name: Reporting and Data Management / Weighting: 7

Quality criterion - Name: Social Value: Increase supply chain resilience and capacity / Weighting: 5

Quality criterion - Name: Social Value: Effective stewardship of the environment / Weighting: 5

Cost criterion - Name: Price / Weighting: 20

two.2.11) Information about options

Options: Yes

Description of options

This Contract will be for an initial 12 month period with an option to extend for up to a further 12 months in multiples of 3 month increments. The Authority will inform the Successful Supplier no less than 3 months before end of contract term on any decision to extend the Contract.

two.2.13) Information about European Union Funds

The procurement is related to a project and/or programme financed by European Union funds: No

two.2) Description

two.2.1) Title

Provision of Rail Freight Management Services

Lot No

C

two.2.2) Additional CPV code(s)

  • 60200000 - Railway transport services

two.2.3) Place of performance

NUTS codes
  • UK - United Kingdom

two.2.4) Description of the procurement

The Department of Health and Social Care is awarding this contract for the provision of outsourced managed services for international rail freight, incorporating co-ordination of ‘end-to-end’ rail freight logistics solutions. The successful organisation will work to the Authority’s given schedule to optimise import and export of freight to and from appropriate global locations where feasible to use rail. The Authority will use a different mode where not feasible. The successful organisation will be required to mobilise a fully-staffed operation, running on a 24/7/365 basis where required, working in direct contact with the Authority’s freight teams, manufacturers and other third party organisations as required. The Authority’s logistical arrangements may utilise intermediary warehousing facilities. The successful organisation may be responsible for the ex-works and/or ex warehouse collection of goods from the warehouse. Manufacturer to warehouse activity will be the responsibility of the Lot D provider. This contract is for a maximum value of £62m and the potential to extend for up to a further year.

two.2.5) Award criteria

Quality criterion - Name: Mobilisation / Weighting: 5

Quality criterion - Name: Service Delivery / Weighting: 17.5

Quality criterion - Name: Scalability, flexibility and business continuity / Weighting: 15

Quality criterion - Name: Organisation and supply chain structure / Weighting: 7.5

Quality criterion - Name: Reporting and Data Management / Weighting: 5

Quality criterion - Name: Social Value: Increase supply chain resilience and capacity / Weighting: 5

Quality criterion - Name: Social Value: Effective stewardship of the environment / Weighting: 5

Cost criterion - Name: Price / Weighting: 40

two.2.11) Information about options

Options: Yes

Description of options

This Contract will be for an initial 12 month period with an option to extend for up to a further 12 months in multiples of 3 month increments. The Authority will inform the Successful Supplier no less than 3 months before end of contract term on any decision to extend the Contract.

two.2.13) Information about European Union Funds

The procurement is related to a project and/or programme financed by European Union funds: No

two.2) Description

two.2.1) Title

Provision of Sea Freight Management Services

Lot No

B

two.2.2) Additional CPV code(s)

  • 63521000 - Freight transport agency services

two.2.3) Place of performance

NUTS codes
  • UK - United Kingdom

two.2.4) Description of the procurement

The Department of Health and Social Care is awarding this contract for the provision of outsourced managed services for international sea freight, incorporating co-ordination of ‘end-to-end’ sea freight logistics solutions. The successful organisation will work to the Authority’s given schedule to optimise import and export of freight to and from global locations, and will be required to mobilise a fully staffed operation, running on a 24/7/365 basis where required, working in direct contact with the Authority’s freight teams, manufacturers and other third party organisations as required. The successful organisation must have partner logistic companies or established presence in China and SE Asia and scope to provide global logistics solutions. The Authority’s logistical arrangements in some countries may utilise intermediary warehousing facilities. The successful organisation may be responsible for the ex works and/or ex warehouse collection of goods from the warehouse. Manufacturer to warehouse activity will be the responsibility of the Lot D provider

two.2.5) Award criteria

Quality criterion - Name: Mobilisation / Weighting: 5

Quality criterion - Name: Service delivery / Weighting: 17.5

Quality criterion - Name: Scalability, flexibility and business continuity / Weighting: 15

Quality criterion - Name: Organisation and supply chain structure / Weighting: 7.5

Quality criterion - Name: Reporting and Data Management / Weighting: 5

Quality criterion - Name: Social Value: Increase supply chain resilience and capacity / Weighting: 5

Quality criterion - Name: Social Value: Effective stewardship of the environment / Weighting: 5

Cost criterion - Name: Price / Weighting: 40

two.2.11) Information about options

Options: Yes

Description of options

This Contract will be for an initial 12 month period with an option to extend for up to a further 12 months in multiples of 3 month increments. The Authority will inform the Successful Supplier no less than 3 months before end of contract term on any decision to extend the Contract.

two.2.13) Information about European Union Funds

The procurement is related to a project and/or programme financed by European Union funds: No

two.2) Description

two.2.1) Title

Provision of Air Charter Services

Lot No

A

two.2.2) Additional CPV code(s)

  • 60423000 - Air-charter services

two.2.3) Place of performance

NUTS codes
  • UK - United Kingdom

two.2.4) Description of the procurement

The Department of Health and Social Care is awarding this contract for the provision of outsourced managed services for international air charter to enable the movement of medical goods to and from any global location. Medical products include but are not limited to, Covid testing kits from factory gate or warehouse to distribution facilities in the UK and globally. Air Charter in this procurement lot refers only to the end to end management of charter bookings and excludes all wraparound services such as ground handling, customs brokerage, and collection/delivery charges to/from the airport which will be provided by the Authority’s ground handling provider. The successful Lot A provider will work with the Authority’s existing ground handling provider to the schedule provided by the Authority to optimise import of freight. The successful organisation will be required to mobilise a fully staffed operation, running on a 24/7/365 basis, working in direct contact with the Authority’s freight teams, producers and other third-party organisations as required. This contract has a maximum value of £248m and potential to extend for up to a further year.

two.2.5) Award criteria

Quality criterion - Name: Mobilisation / Weighting: 7

Quality criterion - Name: Service Delivery / Weighting: 24.5

Quality criterion - Name: Scalability, flexibility and business continuity / Weighting: 10.5

Quality criterion - Name: Organisation and supply chain structure / Weighting: 7

Quality criterion - Name: Air Charter Cost Effectiveness / Weighting: 21

Quality criterion - Name: Social Value: Effective stewardship of the environment / Weighting: 5

Quality criterion - Name: Social Value: Increase supply chain resilience and capacity / Weighting: 5

Cost criterion - Name: Price / Weighting: 20

two.2.11) Information about options

Options: Yes

Description of options

This Contract will be for an initial 12 month period with an option to extend for up to a further 12 months in multiples of 3 month increments. The Authority will inform the Successful Supplier no less than 3 months before end of contract term on any decision to extend the Contract.

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

Open procedure

four.1.8) Information about the Government Procurement Agreement (GPA)

The procurement is covered by the Government Procurement Agreement: Yes

four.2) Administrative information

four.2.1) Previous publication concerning this procedure

Notice number: 2021/S 000-011826


Section five. Award of contract

Contract No

C49444

Lot No

D

Title

Contract for the Provision of International Warehousing Services

A contract/lot is awarded: Yes

five.2) Award of contract

five.2.1) Date of conclusion of the contract

29 October 2021

five.2.2) Information about tenders

Number of tenders received: 5

Number of tenders received from SMEs: 0

Number of tenders received by electronic means: 5

The contract has been awarded to a group of economic operators: No

five.2.3) Name and address of the contractor

Kuehne + Nagel Limited

1 Roundwood Avenue, Stockley Park

Uxbridge

UB11 1FG

Country

United Kingdom

NUTS code
  • UK - United Kingdom
National registration number

01722216

Internet address

http://uk.kuehne-nagel.com/en_gb

The contractor is an SME

No

five.2.4) Information on value of contract/lot (excluding VAT)

Initial estimated total value of the contract/lot: £6,000,000

Total value of the contract/lot: £248,000,000

five.2.5) Information about subcontracting

The contract is likely to be subcontracted

Short description of the part of the contract to be subcontracted

Kuehne and Nagel Ltd. have identified two pre-established subcontractors to deliver services if so required in certain territories. The movement of goods is likely to be subcontracted in whole or part. It is currently estimated that more than 50% will be sub-contracted. Due to the nature of the contract, it may be subject to change dependent on Authority requirements over the term of the contract.


Section five. Award of contract

Contract No

C49445

Lot No

C

Title

Contract for the Provision of Rail Freight Management Services

A contract/lot is awarded: Yes

five.2) Award of contract

five.2.1) Date of conclusion of the contract

21 October 2021

five.2.2) Information about tenders

Number of tenders received: 3

Number of tenders received from SMEs: 0

Number of tenders received by electronic means: 3

The contract has been awarded to a group of economic operators: No

five.2.3) Name and address of the contractor

CEVA Logistics

PO BOX 8663, Ceva House, Excelsior Road

Ashby De La Zouch

LE65 9BA

Country

United Kingdom

NUTS code
  • UK - United Kingdom
National registration number

01146292

Internet address

www.cevalogistics.com

The contractor is an SME

No

five.2.4) Information on value of contract/lot (excluding VAT)

Initial estimated total value of the contract/lot: £62,000,000

Total value of the contract/lot: £66,000,000

five.2.5) Information about subcontracting

The contract is likely to be subcontracted

Short description of the part of the contract to be subcontracted

The movement of goods is likely to be subcontracted in whole or part. It is currently estimated that more than 50% will be sub-contracted. Due to the nature of the contract, it may be subject to change dependent on Authority requirements over the term of the contract.


Section five. Award of contract

Contract No

C49446

Lot No

B

Title

Contract for the Provision of Sea Freight Management Services

A contract/lot is awarded: Yes

five.2) Award of contract

five.2.1) Date of conclusion of the contract

21 October 2021

five.2.2) Information about tenders

Number of tenders received: 7

Number of tenders received from SMEs: 0

Number of tenders received by electronic means: 7

The contract has been awarded to a group of economic operators: No

five.2.3) Name and address of the contractor

CEVA Logistics

PO BOX 8663, Ceva House, Excelsior Road

Ashby De La Zouch

LE65 9BA

Country

United Kingdom

NUTS code
  • UK - United Kingdom
National registration number

01146292

Internet address

www.cevalogistics.com

The contractor is an SME

No

five.2.4) Information on value of contract/lot (excluding VAT)

Initial estimated total value of the contract/lot: £66,000,000

Total value of the contract/lot: £66,000,000

five.2.5) Information about subcontracting

The contract is likely to be subcontracted

Short description of the part of the contract to be subcontracted

The movement of goods is likely to be subcontracted in whole or part. It is currently estimated that more than 50% will be sub-contracted. Due to the nature of the contract, it may be subject to change dependent on Authority requirements over the term of the contract.


Section five. Award of contract

Contract No

C49447

Lot No

A

Title

Contract for the Provision of Air Charter Services

A contract/lot is awarded: Yes

five.2) Award of contract

five.2.1) Date of conclusion of the contract

29 October 2021

five.2.2) Information about tenders

Number of tenders received: 10

Number of tenders received from SMEs: 1

Number of tenders received by electronic means: 10

The contract has been awarded to a group of economic operators: No

five.2.3) Name and address of the contractor

Kuehne + Nagel Limited

Waterview House 1 Roundwood Avenue, Stockley Park

Uxbridge

UB11 1FG

Country

United Kingdom

NUTS code
  • UKI32 - Westminster
National registration number

01722216

Internet address

http://uk.kuehne-nagel.com/en_gb

The contractor is an SME

No

five.2.4) Information on value of contract/lot (excluding VAT)

Initial estimated total value of the contract/lot: £248,000,000

Total value of the contract/lot: £248,000,000


Section six. Complementary information

six.4) Procedures for review

six.4.1) Review body

High Court

39 Victoria Street

London

SW1H 0EU

Country

United Kingdom

Internet address

https://www.gov.uk/government/organisations/department-of-health-and-social-care

six.4.2) Body responsible for mediation procedures

The High Court

Strand

London

WC2A 2LL

Email

generaloffice@administrativecourtoffice.justice.gov.uk

Country

United Kingdom

Internet address

https://www.gov.uk/courts-tribunals