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Understanding the Procurement Process

As a default, the Government calls open tenders to ensure transparency and open and fair competition, as well as to derive the best public value. Information on the Government’s procurement opportunities can be found at the GeBIZ website (www.gebiz.gov.sg).

The procurement process requires approvals to be sought at key junctures. The segregation of key procurement roles and responsibilities serves to ensure there are checks and balances in the system.

The procurement process can be broadly broken down into the following stages:

govt-procurement-process

Table 1: Various Government Procurement Approaches

Estimated Procurement ValueProcurement ApproachDescriptionSourcing Methods
Not exceeding S$6,000Small Value Purchases (SVP)Buy directly from suitable suppliers or off-the-shelf, provided the prices assessed reflect fair market value
  • Verbal or written quotes
  • Off the shelf purchase
  • GeBIZ Mall Catalogues
More than S$6,000 but not exceeding S$90,000Quotation1. Open Quotation
Quotation notice published openly on GeBIZ inviting suppliers to quote
  • Invitation to Quote (ITQ)
  • Period Contracts
  • Framework Agreements
2. Limited Quotation
One or a few selected suppliers will be invited to quote
  • Quotation issued to selected suppliers
Exceeding S$90,000 Tender
  • Tender Lite (not exceeding S$1,000,000)
  • Tender (exceeding S$1,000,000)
1. Open Tender
Tender notice published openly on GeBIZ inviting any interested supplier to bid according to the specified requirements
  • Invitation to Tender (ITT)
  • Period Contracts
  • Framework Agreements
2. Selective Tender
A 2-stage process in which interested suppliers will be shortlisted based on their capabilities via an open prequalification exercise. The shortlisted suppliers will be invited to submit their bids
Expression of Interest in the pre-qualification exercise followed by Tender for qualified suppliers
3. Limited Tender
One or a few selected suppliers will be invited to Tender
Tender issued to selected suppliers
Note: All threshold values indicated in the table are exclusive of GST