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ARTICLE · 27 SEPTEMBER 2021

Tender Negotiations With The Indian Government

Upon the award of a government tender, there is typically very limited scope for vendors to negotiate contractual terms.

IndiaGovernment, Public Sector

Upon the award of a government tender, there is typically very limited scope for vendors to negotiate contractual terms. In fact, under the general procurement rules and vigilance guidelines, post-tender negotiations are specifically discouraged, and even negotiations with the lowest cost bidder (L1) can only be undertaken for reasons to be recorded in writing.

That said, vendors may still have a small window to protest/clarify/negotiate tender terms:

  1. The procedure to request changes (protest) to tender terms is, in the first instance, available as part of the pre-bid clarifications procedure under the tender. While technically, the pre-bid clarification process is intended to be a clarificatory exercise and not a negotiation, it is not uncommon for bidders to use this procedure (due to lack of any other suitable platform) to obtain as many deviations as possible.

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