| Table: List of clarifications |
| S. No. | Particulars | Query | Clarification |
| 1 | Make in India | Whether as a local supplier who plans to enter into a JV with a foreign manufacturer after award of contract by RBI, they can bid in their own name or in the yet to be foreign partner's name. | As on date of submission of bid, local suppliers should qualify the capability equipment & manufacturing criteria as well as net worth and financial loss criteria. |
| Whether foreign bidders are required to submit auditor's certificate for percentage of local content. | Auditor's certificate for percentage of local content is applicable to local suppliers only. Foreign bidders need to give only an undertaking for "Make in India" as mentioned in point 30 (Annex I): “Bidder may note that their acceptance of the “Make in India Clauses described below is a mandatory requirement for considering the bidder eligible for technical and financial bid evaluation. The successful bidder is required to set up the manufacturing facility in India within 2 years from the date of signing of contract. The conditions governing manufacturing facility in India is as under: Domestic value addition in terms of cost of the product offered shall be
i. Year 3 - > 35%
ii. Year 4 - > 40%
iii. Year 5 - > 50% The bidder shall provide the undertaking for acceptance of the above condition failing which the bid will be summarily rejected. Failure of the bidder to meet the above conditions after signing the agreement will result in penalty as stipulated in the Contract which includes termination of the contract. The bidder may set up his manufacturing unit in India through a subsidiary or under license or through transfer of technology to any local manufacturer permitted by the purchaser. The bidder may indicate such tie ups for manufacturing in India if an arrangement is already in place." From the 3rd year onwards, foreign suppliers will need to submit the certificate from auditors to certify the percentage of local content. |
| What is percentage of local content - whether it refers to percentage of shareholding by Indian company. | Please be guided by paras 2 (definitions) & 5 of the Public Procurement (Preference to Make in India) Order 2017 dated June 15, 2017 by Department of Industrial Policy and Promotion, Ministry of Commerce and Industry, GoI |
| We have been approached to issue certificate showing the percentage of local content as mentioned in the Point no 30 (b) of Annexure 1 of the PQB read with provision 9 of Public Procurement (Preference to Make in India), Order 2017. No specific format of the certificate to be issued by Cost/Statutory auditor has been given either in the PQB or in Public Procurement (Preference to Make in India), Order 2017. | There is no prescribed format. In terms of the Procurement (Preference to Make in India), Order 2017 dated June 15, 2017; it is to be certified that the local content claimed by the bidder is in accordance with the para 2 (definition of local content and local supplier)and para 5 of the aforesaid order. |
| We are in a position to go for a tie-up with a company overseas, who has manufactured & supplied a feature but do not meet the minimum experience and past performance criteria required by the schedule. Can this tie-up qualify our company as an Indian manufacturer? | As on date of submission of bid, local suppliers should qualify the capability equipment & manufacturing criteria as well as net worth and financial loss criteria. |
| With reference to qualifying as a local manufacturer, we must have manufactured & supplied some quantity of the product to our own country but we should have the capablity, plant and machinary for manufacturing & suppying the minimum quantity as per the criteria for overseas suppliers, before the issuance of RFP. Please advice if this understanding is correct | Please be guided by paras 2 (definitions) and 5 of the Public Procurement (Preference to Make in India) Order 2017 dated June 15, 2017 by Department of Industrial Policy and Promotion, Ministry of Commerce and Industry, GoI for the definition of '' local supplier. |
| Whether a local supplier has to get the Pre Contract Integrity Pact notarised? | Yes |
| 2 | Collaboration of bidders after submitting separate PQBs | Suppose there are two companies, amongst others that participate in the PQB, and they both qualify for RFP. However, at the time of RFP submission the two companies decide to collaborate together and submit the RFP in one company’s name. The company in whose name the RFP is finally submitted happens to be a local supplier. As per the terms and conditions of the PQB, are the bidders eligible to enter into such collaboration after having submitted separate PQB's? The company who decides to opt out may be a foreign company. Would the local supplier who has finally submitted the RFP, still be entitled to the benefits available to it as per the “Make in India” clause in the PQB? | Yes, subject to all terms and conditions stated in the Global PQBN dated July 17, 2017; including para 8 (vi) [General Instructions], Page 6. |
| 3 | Certification by Accountants | The accountants may be required to certify only the financial contents of the bid as they may not be competent to certify other non-financial aspects. | The financial information to be submitted in the bid may be certified by Accountants as mentioned in Section 7 (x) under 'Other requirements' listed in the Global PQB Notice. The non financial information may be submitted under a self certification for correctness/ accuracy. |
| 4 | Persons to be present for bid opening | Two persons may be permitted to be present for bid opening | Yes, two authorized signatories of the bidder are permitted to be present. |
| 5 | Pre-Contract Integrity Pact | Does the bidder need to get the signature of the Purchaser (RBI) on the Pre Contract Integrity Pact prior to submission of the PQB? | No |
| Whether the bidder needs to execute separate Pre-Contract Integrity Pacts for each Security Features for which they are bidding or one Pre-Contract Integrity Pact for all Security Features will suffice. | Yes, in terms of Section 8 (viii) and (xii) notified in the Global PQBN dated July 17, 2017; separate sealed bids have to be submitted for each schedule. A pre- contract integrity pact is required to be submitted with each bid. |
| 6 | Whether the PQB should also include prices of offered Security Features. | If prices of offered security features are to be included in the bid for PQBN. | No, Price details of the offered security features should not be disclosed. |
| 7 | Microperforation | Offline options for microperforation machines should also be considered although the PQBN states only online options. | Yes |
| PQB document mentions "Micro- perforation designs adaptable for online incorporation in banknote printing are invited from Bidders inclusive of details of machinery, technology and process employed." Do we need just Micro- perforation designs, or both machinery and solution are what we seek. | Both the micro perforation designs as well as machinery will be required, but at different stages. |
| 8 | Size of foil patch | What is the size of foil patch under Schedule 6 of PQBN dated July 17, 2017. | The size of foil patch is yet to be finalized and shall be informed at a later stage. |
| 9 | Extension of deadline for submission of bids for PQB | Kindly extend the deadline for submission of bids for PQB | Last date and time for submission of bids has been extended till 1200 hrs on September 1, 2017. The bids will be opened at 1400 hours on September 1, 2017 |