- Details
- Benefits
- Eligibility
- Application Process
- Documents Required
- Frequently Asked Questions
- Sources And References
- Feedback
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Ministry Of Micro, Small and Medium Enterprises
Consortia & Tender Marketing Scheme
Goods And Services Marketing
Machinery And Technology
NSIC
Turnkey Projects
Details
Promotion of the product of Micro and Small Entrepreneurs is one of the major objectives of the Corporation. In the present competitive scenario a need has been felt to facilitate Micro and Small Enterprises to market their goods / services individually or collectively through ‘Consortium’. Accordingly, the scheme for promoting the products of the MSEs has been reviewed in 2011 & named as “Consortia and Tender Marketing Scheme”. This scheme will especially help the units to enlist themselves for participating in Govt. /private tenders.
Special features of the Scheme:
- The scheme will cover Micro & Small Enterprises registered with National Small Industries Corporation (NSIC) under its Single Point Registration Scheme (SPRS).
- It would also cover Micro & Small Enterprises who apply to get themselves registered with NSIC under the SPRS along with all required documents in terms of the scheme and their factory is inspected before filing of tender in terms of the Tender Marketing Scheme.
- The scheme shall not cover unit(s) engaging in ‘trading activities’ without value addition/packing/ branding.
- The scheme also covers the method of selection of the units for participation in the open tenders and single tenders on nomination basis.
- The scheme takes cares of providing Earnest Money Deposit (EMD) and security deposit on back to back basis.
- The scheme inter alia includes the procedures for formation of Consortium, Capacity Building of MSEs by formation of consortia of the units manufacturing similar products, participation in tenders on behalf of units in a ‘consortia’ to secure orders in ‘bulk’ quantities, distribution of orders amongst units in a ‘consortia’ as per their capacities, facilitate the ‘consortia’ members in meeting their raw materials requirements & facilitating ‘Credit’ for the supplies made.
- To accommodate provisions of this scheme, the legal document such as individual agreement by the units, agreement to be executed by the consortium, board resolution, power of attorney and other related document have been revised and simplified.
- For facilitating promotion and development of Micro & Small Enterprises, the Government of India, Ministry of MSME vide Gazette Notification No. S.O. 581(E) dated 23rd March, 2012 has circulated the Public Procurement Order 2012 for MSME. In the above Public Procurement Order, the Govt. of India has mentioned that “Annual goal of procurement also include sub-contracts to Micro and Small Enterprises by large enterprises and consortia of Micro and Small Enterprises formed by National Small Industries Corporation”.
- NSIC formed Consortia of Micro & Small Enterprises under its Consortia & Tender Marketing Scheme and is supplying the required stores / items and rendering the services as required by the Govt. Depts. / PSUs. NSIC offices continuously monitor the consortia and form new ones depending upon the requirements.
Fixation of Limit for Tender Participation:
In respect of enlisted units willing to participate in tender through NSIC, the branch office shall fix an overall limit up to which the tender(s) can be participated on behalf of such unit at any point of time. The limit shall be the higher of:
- 300% of the monetary limit fixed for the unit under the Single Point Registration Scheme, or
- Last year’s turnover, (The ‘Last year’s turnover’ should be turnover for a financial year and the same may either be as per the last audited accounts or as per the provisional results for a financial year, duly certified by the Chartered Accountants).
- Where during the financial year in progress the unit has recorded an appreciable hike in its turnover (duly certified by the Chartered Accountant) with which it exceeds its last year’s turnover or the overall limit as mentioned at (i) above, benefit shall be extended to such units and their overall limit may be fixed at the highest value amongst i, ii, or the value of turnover during the financial year in progress.
- While fixing the overall limit the operating and installed capacity of the unit may also be considered.
- The limit so fixed shall remain valid for a year and is subject to review/renewal annually.
- While deciding the overall limit to be fixed for units operating as a consortium, the limits fixed in respect of individual unit as per procedure mentioned above, shall be clubbed. The limit so fixed for a consortium shall remain valid for a year and is subject to review/ renewal annually.
- However, the limit of the unit shall get vacated to the extent of the order already executed. (For example a unit having a limit of ₹ 15,00,00,000/- and an order in execution for ₹ 10,00,00,000/- out of which it has already executed order worth of ₹ 3,00,00,000/-, the balance limit available for tender participation at this point shall be ₹ 8,00,00,000/- ).
Annual Fee Structure of Enlistment & Renewal under Consortia & Tender Marketing Scheme:
| S.No. | Category | Annual / Renewal Fee |
| 1. | If Monetary Limit under Single Point Registration Scheme (SPRS) is up to ₹ 1,00,00,000/- | ₹ 1000+Service Tax |
| 2. | If Monetary Limit under Single Point Registration Scheme (SPRS) is more ₹ 1,00,00,000/- and up to ₹ 5,00,00,000/- | ₹ 2500+Service Tax |
| 3. | If Monetary Limit under Single Point Registration Scheme (SPRS) is above ₹ 5,00,00,000/- | ₹ 5000+Service Tax |
| 4.. | Units owned by SC/ST entrepreneurs are exempted from the enlistment fee | N/A |
| 5. | There will be no fee for the formation of new / renewal of Consortia. However, while at the time of participation in tender by consortia members, enlistment fee mentioned above will be applicable. | N/A |
Service Charges (on line/off line) Open Tender/Limited Enquiries/Nomination Basis/Repeated Orders etc.:
The service charges for various types of above said tenders are proposed on the basis of value of tender irrespective of their category:
| Type | Service charges on Bill value before GST (%) |
| Individual | 2.5 |
| Consortia | 2 |
Note:
- In case of micro units, the service charges may be reduced by 0.5% on the above-mentioned charges.
- In case EMD and/ or Security Deposit are arranged by NSIC 1% Additional Service Charges would be charged. The said service charges are excluding GST. The services charges shall be deducted from the payment receipt from the buying department and after deducting eh service charges balance amount may be released to the MSE/Consortia.
- Where the NSIC is required to participate in pre-dispatch inspection team along with the buyer department or other agency, a higher rate of service charge can be levied on case to case basis.
Validity of Consortia Agreement:
- Consortium agreement entered into between the Corporation and Consortiumshall be valid till officially liquidated by all members and the intimation being served on the respective branch that they (Consortium) do not want to continue as a Consortia members. However, in case of inclusion of new member/s or member/s leaving the consortia of change in Constitution of any member , fresh agreement may be obtained. In order to ascertain the change in the Constitution or addition/deletion of the members, a declaration to the effects to be taken from consortia members that their consortium is alive and there is no change.
Benefits
- Enlistment of the Unit for participating in Government/Private tenders.
- Benefit of 0.5% in service charges to consortium members.
Eligibility
- Micro & Small Enterprises registered with NSIC under its Single Point Registration Scheme (SPRS).
Or,
- Micro & Small Enterprises who apply to get themselves registered with NSIC under the SPRS along with all required documents in terms of the scheme.
- Their factory/unit should be inspected before filing of tender in terms of the Tender Marketing Scheme.
Application Process
Offline
Step 01: The application form, in the prescribed format (Annexures – A and A-1) for enlistment under the Tender Marketing Scheme is to be submitted by the applicant Micro & Small Enterprise (MSE), duly signed by the authorized signatory i.e. Proprietor/Partner(s)/Director(s) of the firm /company /society along with the documents mentioned in the application form.
Step 02: Fill the form properly and attach all the necessary documents and send it to the Concerned/Regional NSIC branch office.
Documents Required
- A passport size photograph of each of the Proprietor/Partner/Director/Society office bearers along with residential proof
- Self-attested copy of G.P. Registration Certificate
- Power of Attorney (Annexure – B)/Board Resolution (Annexure – C)/Society Resolution (Annexure – H) authorizing the Partner/Director /Executive to deal with NSIC for enlistment/tender participation and consortium formation.
- Bank attested specimen signature of authorized persons.
- Copies of recent supply orders.
- Enlistment Fee.
Frequently Asked Questions
What is Consortia & Tender Marketing Scheme?
Micro & Small Enterprise in their Individual Capacity faces problems to procure and execute large order, which inhibit and restrict their growth. NSIC accordingly, adopts Consortia approach and forms consortia of units manufacturing the same products, thereby easing out marketing problems of MSEs.
What is the minimum size of a consortia?
Minimum two number of MSEs.
Whether pre-inspection of the unit is mandatory?
Yes, to physically verify the MSEs who wants to supply their goods/services are in production and have the infrastructure to execute the tender in which they want to supply their goods/services.
Whether commitment of the consortia leader with NSIC will be binding on the consortium members?
Yes, Consortium leader so elected would be empowered to interact with NSIC office for participation in tenders and related matters.
Whether Security Deposit is exempted under Public Procurement Policy?
After issuing of Public Procurement Order 2012 for MSEs, the Security Deposit has been abolished.
What is the provision if Security Deposit/Performance Bank Guarantee, deposited by NSIC?
The participating MSEs will provide either Back-to-Back Bank Guarantee or deposit 100% value of Security Deposit for the period of which Bank Guarantee given by NSIC to the Buying Department.
Whether all the consortia members shall be jointly and severally responsible for penalty / damage or only defaulted unit?
Yes.
How much %age of the Monetary Limit under SPRS will be fixed for limit under Consortia & Tender Marketing Scheme?
300% of the monetary limit fixed for the unit under the Single Point Registration Scheme. While participating in a tender as consortia, the overall limit to be fixed for units operating as a consortium, the limits fixed in respect of individual units, shall be clubbed.
What is the validity period of monetary limit fixed under Consortia & Tender Marketing Scheme?
The limit fixed shall remain valid for a year and is subject to review/ renewal annually.
Who will bear the charges while participating in the tender under Consortia & Tender Marketing?
All the charges for Bank Guarantee, Security Deposit, Performance Bank Guarantee etc. will be borne by the unit.
Whether NSIC finance under Consortia & Tender Marketing?
Yes. MSEs willing to avail financial assistance for the supplies against each tender made by them can apply under the Bill Discounting Scheme of the Corporation.
What is the minimum percentage for overall procurement of Central Govt. Department/PSUs from MSEs?
Every Central Ministries / Departments / PSUs shall set an annual goal of minimum 20% of the total annual purchases of the products or services produced or rendered by MSEs.
How much percentage is earmarked for MSEs owned by SC/ST under Public Procurement Policy?
Out of annual requirement of 20% procurement from MSEs, 4% is earmarked for units owned by Scheduled Castes / Scheduled Tribes.
Whether Public Procurement Policy allow purchases through NSIC under consortia?
Yes. As per Public Procurement Order 2012 for MSEs which is mandatory from 2015, annual goal of procurement also includes consortia of MSEs formed by NSIC.
How many item are reserved for under Public Procurement Policy?
358 items.
Whether medium enterprises are eligible to avail the benefits under Public Procurement Policy?
No.
What is the price preference (price band) available to MSEs under Public Procurement Policy?
In tender participation, MSEs quoting price within the price band of L1+15 percent shall also be allowed to supply a portion up to 20% of requirement by bringing down their price to L1 price where L1 is non MSEs.
What action can be taken by NSIC in case of default?
The enlistment certificate under the Tender Marketing Scheme can be revoked in case the unit failed to supply/comply order including specification, size, quantity, quality and/or wrong delivery, non delivery, short-delivery, delayed delivery, defective delivery etc. of goods/services.
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You have already submitted an application for this scheme. You may apply again only after 30 days i.e. after
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Check Eligibility
Ministry Of Micro, Small and Medium Enterprises
Consortia & Tender Marketing Scheme
Goods And Services Marketing
Machinery And Technology
NSIC
Turnkey Projects
Details
Benefits
Eligibility
Application Process
Documents Required
Frequently Asked Questions
Promotion of the product of Micro and Small Entrepreneurs is one of the major objectives of the Corporation. In the present competitive scenario a need has been felt to facilitate Micro and Small Enterprises to market their goods / services individually or collectively through ‘Consortium’. Accordingly, the scheme for promoting the products of the MSEs has been reviewed in 2011 & named as “Consortia and Tender Marketing Scheme”. This scheme will especially help the units to enlist themselves for participating in Govt. /private tenders.
Special features of the Scheme:
- The scheme will cover Micro & Small Enterprises registered with National Small Industries Corporation (NSIC) under its Single Point Registration Scheme (SPRS).
- It would also cover Micro & Small Enterprises who apply to get themselves registered with NSIC under the SPRS along with all required documents in terms of the scheme and their factory is inspected before filing of tender in terms of the Tender Marketing Scheme.
- The scheme shall not cover unit(s) engaging in ‘trading activities’ without value addition/packing/ branding.
- The scheme also covers the method of selection of the units for participation in the open tenders and single tenders on nomination basis.
- The scheme takes cares of providing Earnest Money Deposit (EMD) and security deposit on back to back basis.
- The scheme inter alia includes the procedures for formation of Consortium, Capacity Building of MSEs by formation of consortia of the units manufacturing similar products, participation in tenders on behalf of units in a ‘consortia’ to secure orders in ‘bulk’ quantities, distribution of orders amongst units in a ‘consortia’ as per their capacities, facilitate the ‘consortia’ members in meeting their raw materials requirements & facilitating ‘Credit’ for the supplies made.
- To accommodate provisions of this scheme, the legal document such as individual agreement by the units, agreement to be executed by the consortium, board resolution, power of attorney and other related document have been revised and simplified.
- For facilitating promotion and development of Micro & Small Enterprises, the Government of India, Ministry of MSME vide Gazette Notification No. S.O. 581(E) dated 23rd March, 2012 has circulated the Public Procurement Order 2012 for MSME. In the above Public Procurement Order, the Govt. of India has mentioned that “Annual goal of procurement also include sub-contracts to Micro and Small Enterprises by large enterprises and consortia of Micro and Small Enterprises formed by National Small Industries Corporation”.
- NSIC formed Consortia of Micro & Small Enterprises under its Consortia & Tender Marketing Scheme and is supplying the required stores / items and rendering the services as required by the Govt. Depts. / PSUs. NSIC offices continuously monitor the consortia and form new ones depending upon the requirements.
Fixation of Limit for Tender Participation:
In respect of enlisted units willing to participate in tender through NSIC, the branch office shall fix an overall limit up to which the tender(s) can be participated on behalf of such unit at any point of time. The limit shall be the higher of:
- 300% of the monetary limit fixed for the unit under the Single Point Registration Scheme, or
- Last year’s turnover, (The ‘Last year’s turnover’ should be turnover for a financial year and the same may either be as per the last audited accounts or as per the provisional results for a financial year, duly certified by the Chartered Accountants).
- Where during the financial year in progress the unit has recorded an appreciable hike in its turnover (duly certified by the Chartered Accountant) with which it exceeds its last year’s turnover or the overall limit as mentioned at (i) above, benefit shall be extended to such units and their overall limit may be fixed at the highest value amongst i, ii, or the value of turnover during the financial year in progress.
- While fixing the overall limit the operating and installed capacity of the unit may also be considered.
- The limit so fixed shall remain valid for a year and is subject to review/renewal annually.
- While deciding the overall limit to be fixed for units operating as a consortium, the limits fixed in respect of individual unit as per procedure mentioned above, shall be clubbed. The limit so fixed for a consortium shall remain valid for a year and is subject to review/ renewal annually.
- However, the limit of the unit shall get vacated to the extent of the order already executed. (For example a unit having a limit of ₹ 15,00,00,000/- and an order in execution for ₹ 10,00,00,000/- out of which it has already executed order worth of ₹ 3,00,00,000/-, the balance limit available for tender participation at this point shall be ₹ 8,00,00,000/- ).
Annual Fee Structure of Enlistment & Renewal under Consortia & Tender Marketing Scheme:
| S.No. | Category | Annual / Renewal Fee |
| 1. | If Monetary Limit under Single Point Registration Scheme (SPRS) is up to ₹ 1,00,00,000/- | ₹ 1000+Service Tax |
| 2. | If Monetary Limit under Single Point Registration Scheme (SPRS) is more ₹ 1,00,00,000/- and up to ₹ 5,00,00,000/- | ₹ 2500+Service Tax |
| 3. | If Monetary Limit under Single Point Registration Scheme (SPRS) is above ₹ 5,00,00,000/- | ₹ 5000+Service Tax |
| 4.. | Units owned by SC/ST entrepreneurs are exempted from the enlistment fee | N/A |
| 5. | There will be no fee for the formation of new / renewal of Consortia. However, while at the time of participation in tender by consortia members, enlistment fee mentioned above will be applicable. | N/A |
Service Charges (on line/off line) Open Tender/Limited Enquiries/Nomination Basis/Repeated Orders etc.:
The service charges for various types of above said tenders are proposed on the basis of value of tender irrespective of their category:
| Type | Service charges on Bill value before GST (%) |
| Individual | 2.5 |
| Consortia | 2 |
Note:
- In case of micro units, the service charges may be reduced by 0.5% on the above-mentioned charges.
- In case EMD and/ or Security Deposit are arranged by NSIC 1% Additional Service Charges would be charged. The said service charges are excluding GST. The services charges shall be deducted from the payment receipt from the buying department and after deducting eh service charges balance amount may be released to the MSE/Consortia.
- Where the NSIC is required to participate in pre-dispatch inspection team along with the buyer department or other agency, a higher rate of service charge can be levied on case to case basis.
Validity of Consortia Agreement:
- Consortium agreement entered into between the Corporation and Consortiumshall be valid till officially liquidated by all members and the intimation being served on the respective branch that they (Consortium) do not want to continue as a Consortia members. However, in case of inclusion of new member/s or member/s leaving the consortia of change in Constitution of any member , fresh agreement may be obtained. In order to ascertain the change in the Constitution or addition/deletion of the members, a declaration to the effects to be taken from consortia members that their consortium is alive and there is no change.
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