Awarded contract

Express Freight Service

  • Department of Health and Social Care

F03: Contract award notice

Notice reference: 2021/S 000-027510

Published 3 November 2021, 10:07am



Section one: Contracting authority

one.1) Name and addresses

Department of Health and Social Care

39 Victoria Street

London

SW1H 0EU

Contact

Joyce Angoma

Email

joyce.angoma@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.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

Express Freight Service

Reference number

C33038

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 Express Freight Service (EFS) forms part of the Department of Health and Social Care’s (DHSC’s) National Supply Disruption Response, which is part of the multi-layered approach to help mitigate the impact of disruption to supply of medicines, medical products & ancillary health services. The EFS was originally designed to help mitigate disruption in the event of a no deal exit from the EU and has since been used as part of COVID 19 response arrangements when all other options have been exhausted. It is DHSC’s intention to re-procure a similar service to ensure continued contingency in case of any unforeseen event. The new solution is designed to incorporate all 3 current services into one agile solution. The key elements of the new service will include: - continuity of flow to and from the UK (mainly from Europe but with capability to extend its reach globally); flexibility & responsiveness; value for money.

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: £2,484,056

two.2) Description

two.2.2) Additional CPV code(s)

  • 60100000 - Road transport services
  • 60100000 - Road transport services
  • 63521000 - Freight transport agency services
  • 60600000 - Water transport services
  • 64000000 - Postal and telecommunications services
  • 64100000 - Post and courier services
  • 64121000 - Multi-modal courier services
  • 64120000 - Courier services
  • 60420000 - Non-scheduled air transport services
  • 60161000 - Parcel transport services
  • 63521000 - Freight transport agency services
  • 60421000 - Non-scheduled airmail transport services
  • 60400000 - Air transport services
  • 60423000 - Air-charter services
  • 60140000 - Non-scheduled passenger transport

two.2.3) Place of performance

NUTS codes
  • UK - United Kingdom
Main site or place of performance

UK & Europe

two.2.4) Description of the procurement

The service requirement is for a managed service to provide access to a Premium freight service for the transportation of medicines, medical products, and any related ancillary health services. The service will be available for use by Crown Bodies and Crown Dependencies utilising any mode of transport subject to these being compatible with the transit timescale requirements, conditions of carriage, and the effective mitigation of foreseeable disruption to services. The nature of the majority of goods for which the Authority wishes to facilitate transport for will be standard, non-temperature controlled, non-hazardous and require no extra security measures. The Provider will also be expected to handle the following goods: • active temperature-controlled products(e.g. Frozen below -15 °C; Chilled or refrigerated 2 to 8°C; Cold/Cool 8-15°); • controlled drugs – which will require compliance with Home Office requirements in relation to their storage and transit; and • medicines – where compliance with Good Distribution Practice (GDP) is required. And provide access to a Specials delivery service. “Specials” meaning anything outside of a standard parcel or pallet dimension and/or requires specialised conditions of carriage, which include: • time sensitive shipments (e.g. within24hrs); • substances of human origin (e.g. blood cell cultures, human tissues and organs); • hazardous materials - being any item or agent (biological, chemical, radiological and/or physical) which has the potential to cause harm to humans, animals or the environment, either by itself or through interaction with other factors (such as but not limited to: - medical gases; radioactive isotopes and flammable liquids; • Oversize Products; and • Half and full trailer load deliveries To note: The stated contract value in this notice is the cost of mobilisation and the total management fee payable by the Authority for the duration of the contract. This cost does not include payments that will be made directly by suppliers for use of the express delivery network. The anticipated value of direct payments by suppliers for use of the network is unknown and impossible to predict as this solution is purely for contingency. For this reason, we have separated the managed service element (control tower) which continues to be paid for the duration of the contract, from the supplier service charge which is paid directly by the supplier for usage of the service volume of service is based on unforeseen events.

two.2.5) Award criteria

Quality criterion - Name: Quality / Weighting: 70

Quality criterion - Name: Social Value / Weighting: 10

Price - Weighting: 20

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

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 000-015082

four.2.9) Information about termination of call for competition in the form of a prior information notice

The contracting authority will not award any further contracts based on the above prior information notice


Section five. Award of contract

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: 1

Number of tenders received from tenderers from other EU Member States: 0

Number of tenders received from tenderers from non-EU Member States: 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

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: £3,600,000

Total value of the contract/lot: £1,242,028

five.2.5) Information about subcontracting

The contract is likely to be subcontracted

Value or proportion likely to be subcontracted to third parties

Proportion: 44 %

Short description of the part of the contract to be subcontracted

CTS (GB) Ltd: Special Logistics Solution (Dangerous Goods), Premium parcel service and International Road Transport (11%).FedEx UK Limited: Premium Parcel Services (33%)This makes a total percentage of 44% to be subcontracted.


Section six. Complementary information

six.3) Additional information

NB: The figure in the notice at II.7.1 is for year one, but there is an option to extend. The figure at V.2.4.1 is the original estimate for year one. PS: The Contract Notice includes an estimated value of £6,700,000 over a two year period).

six.4) Procedures for review

six.4.1) Review body

High Court and Court of Appeal of England and Wales

Strand

London

WC2A 2LL

Email

InternationalRelationsJudicialOffice@judiciary.uk

Country

United Kingdom

Internet address

https://www.judiciary.uk/

six.4.2) Body responsible for mediation procedures

High Court and Court of Appeal of England and Wales

Strand

London

WC2A 2LL

Email

InternationalRelationsJudicialOffice@judiciary.uk

Country

United Kingdom

Internet address

https://www.judiciary.uk/

six.4.3) Review procedure

Precise information on deadline(s) for review procedures

Information for the procedure can be obtained from https://www.judiciary.uk/

six.4.4) Service from which information about the review procedure may be obtained

High Court and Court of Appeal of England and Wales

Strand

London

WC2A 2LL

Email

InternationalRelationsJudicialOffice@judiciary.uk

Country

United Kingdom

Internet address

https://www.judiciary.uk/