Railway Ministry Streamlines Procurement, Approved Vendor To Be Eligible Across All Units

Ministry of Railways takes an important decision to ease procurement norms and improve ease of doing business.

A Vendor, approved for an item by any of the Vendor Approving Agency of Indian Railways shall be considered as Approved vendor by all Railway Units in the country for that particular item.

This decision will impact vendors favorably as it will save time and do away the need of approaching multiple vendor approving agencies

New Delhi, 21st  June, 2020

Indian Railway, in a series of its continuous endeavors in enhancing transparency, efficiency and ease of doing business in all its activities, has taken one more important step to ease the procurement system in the network. As per extant procurement norms of Indian Railways, identified Safety and Critical items where quality is of paramount importance, are procured from Vendors approved by its nominated vendor approving agencies for the item.

Recently decision has been taken that a Vendor, approved for an item by any of the Vendor Approving Agency of Indian Railways shall be considered as Approved vendor by all Railway Units for that particular item.

This decision shall not only save the time and effort of vendors significantly doing away with need of approaching multiple vendor approving agencies for participating in tenders of all Railway units but also increase the competition in public procurement making it more economical and efficient. 

This shall also promote better utilization of manufacturing capacity of Industry in India, helping the cause of “Make in India.”

Previously vendor-approved at one establishment was not automatically eligible to be considered for procurement at other establishments and they had to apply for approval at multiple establishments to get considered. Now even the Railways would have more options to choose from in a transparent manner.

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5 Comments

    1. Nothing will change as this process is old now. Corruption is there in railway procurement

  1. Procurement of material through limited fenders is a corruption in railway. Behind limited tenders SSE and officers with some vendors are procuring material in high price till the board will not take action on limited tenders corruption will not end and railway will get losses in procurement

  2. Very correct. All over the world, corruption is in all places. You bring any good changes, people know how to mis handle and do corruption. Instead,we may give some good and valuable suggestions. Hope people may agree.

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