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Growth with Equity in Mindanao Program is primarily for the delivery of high yielding

or open pollinated varieties of yellow and white corn sees in the Autonomous Region of Muslim
Mindanao. The procurement of the needed grains to commence the project is in partnership with the
Emergency Livelihood Assistance Program by USAid which gives former combatants of the Moro
National Liberation Front a new lifestyle with new sources of income.

The procurement process for this project includes indefinite quantity contracts meaning
that the selected suppliers shall bring their supplies on-site wherein there is a fixed unit per price
assigned. The indefinite part is that which the supplier will bring but there is a corresponding constant
price for every unit brought. The interested suppliers, or in the contract referred to as bidders, are
required to submit salient information about their company as well as technical evaluation. In order to
settle the issue on price per unit brought, such bidders are also required to fill out a pricing schedule.

USAid and Louis Berger International, the proponents of this project, are requiring the
bidders to indicate a point person to contact as regards this project. The bids must thereby be submitted
with a technical evaluation and references from prior clients as to performance and product quality.
Most importantly, a schedule of prices for the products must be provided therein. As per the
procurement specifics, delivery within five days from receipt of order must be had. Furthermore,
winning bidders must also be able to conduct training programs for farmer beneficiaries. It was also
found out that only 95% germination of seeds works best with the environment therefore the successful
bidders must be able to ensure such specific percentage germination. Bidders must also submit data as
to the seed yielding capacity in certain areas as well as grain recovery such that in shelling the grains,
what percentage can be recovered. It is required that such must not be less than 52%. The bidders must
also provide the reaction of their seeds to rots and other diseases.

There exists no discrepancy or manipulation as to domestic and foreign law. The only
issue that can be raised is that of the indefinite quantity contracts, which, upon perusal of the provisions
under Sales of the New Civil Code, is valid and binding. According to Art. 1472, The price of
securities, grain, liquids, and other things shall also be considered certain, when the price fixed is that
which the thing sold would have on a definite day, or in a particular exchange or market, or when an
amount is fixed above or below the price on such day, or in such exchange or market, provided said
amount be certain. Based upon the facts of the contract, a pricing schedule will be agreed upon based
on that which the bidder submitted and that of which was decided as most beneficial to the project by
the proponents. In other words, there will be a corresponding price for every unit thereby no
uncertainty as to the price nor the quantity exists. Furthermore, sufficient qualifications as to the
products were given by Louis Berger International and USAid and in the event that the supplier fails to
deliver the exact qualifications, or a portion of such delivery made fails to suffice to said qualifications,
the law on sales also provides a remedy such that Art. 1481 allows the rescission of the sale wherein the
buyer relies on the seller's description of the goods or when the seller presents a sample representing
the bulk.

Reference:
Growth With Equity in Mindanao Program and the Louis Berger Group. Volume II: Annex
Volume. Growth with Equity in Mindanao (GEM) Program. Retrieved last November 2, 2016.
From: http://pdf.usaid.gov/pdf_docs/Pdaby920.pdf
Civil Code of the Philippines Arts. 1458 to 1510

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