DPIIT Registration for Vendor & Bidder – Process & Documents Required

Any bidder or vendor from a country that shares a land border with India will be eligible to bid in any procurement, whether of goods, services (including consultancy services and non-consultancy services) or works (including turnkey projects) only if it is registered with the Competent Authority.

The Competent Authority is the Registration Committee constituted by the Department for Promotion of Industry and Internal Trade (DPIIT). It approves the registration of companies having beneficial ownership in countries sharing land borders with India as per the Order of the Department of Expenditure.

• “Bidder” (including the term ‘tenderer,’ ‘consultant’ or ‘service provider’ in certain contexts) means any person, firm or company, including any member of a consortium or joint venture, every artificial juridical person, including any agency branch or office controlled by such person, participating in a procurement process.
• “Bidder or Vendor from a country which shares a land border with India” means:
1. An entity incorporated, established or registered in such a country
2. A subsidiary of an entity incorporated, established or registered in such a country
3. An entity substantially controlled through entities incorporated, established or registered in such a country
4. An entity whose beneficial owner is situated in such a country
5. An Indian (or other) agent of such an entity
6. A natural person who is a citizen of such a country
7. A consortium or joint venture where any member falls under any of the above

The bidders who have beneficial ownership in countries that share a land border with India and intend to participate in public procurement in India have to submit an application for “Registration” in the prescribed format. Bidders are also required to submit an application for “Security Clearance” in the proper format.

1. A complete application containing both “Registration” and “Security Clearance” formats, duly filled in, may be submitted in the Office of Joint Secretary (MKN), DPIIT, Room No. 236A, Udyog Bhawan, New Delhi. The soft copy (pdf) of the same has to be emailed at dpiit.144@gov.in.

2. On receipt of an application seeking registration from a bidder, the Competent Authority shall first seek political and security clearances from the Ministry of External Affairs and Ministry of Home Affairs, as per guidelines issued from time to time. Registration will not be given unless political and security clearance have both been received.

Note: The Ministry of External Affairs and Ministry of Home Affairs may issue guidelines for internal use regarding the procedure for scrutiny of such applications by them.

3. The Competent Authorit6. In transitional cases, where it is felt that it will not be practicable to exclude bidders from a country that shares a land border with India, a reference seeking permission to consider such bidders shall be made by the procuring entity to the Competent Authority, giving full information and detailed reasons. The Competent Authority shall decide whether such bidders may be considered and shall follow the procedure laid down above.y's decision to register such a bidder may be for all kinds of tenders or a specified type of goods or services, and maybe for a specified or unspecified duration of time, as deemed fit. The decision of the Competent Authority will be final.

4. Registration shall not be granted unless the representatives of the Ministries of Home Affairs and External Affairs on the Committee concur. Registration granted by the Competent Authority will be valid not only for procurement by the Central Government and its agencies/ public enterprises but also for procurement by State Governments and their agencies/ public enterprises.

5. The Competent Authority is empowered to cancel the registration already granted if it determines sufficient cause. Such cancellation by itself, however, will not affect the execution of contracts already awarded. Pending cancellation may also suspend a bidder's registration, and the bidder shall not be eligible to bid in any further tenders during the suspension period.

Note: For national security reasons, the Competent Authority is not required to give reasons for rejection/ cancellation of a registration.

6. In transitional cases, where it is felt that it will not be practicable to exclude bidders from a country that shares a land border with India, a reference seeking permission to consider such bidders shall be made by the procuring entity to the Competent Authority, giving full information and detailed reasons. The Competent Authority shall decide whether such bidders may be considered and shall follow the procedure laid down above.

Note: Periodic reports on the acceptance/ refusal of registration during the preceding period may be required to be sent to the Cabinet Secretariat.

• Covering Letter
• Letter of authority in favor of signatory
• Details of Bidder
• Details of Manufacturer/ Service provider/ Contractor, if different from bidder
• Details of item (goods/ services / works) for which registration is being sought
• Details of Bidder for security clearance
• Details of Manufacturer/ Service provider/ Contractor, if different from bidder, for security clearance

The validity period of registration would be 12 months from the date of issuance of the registration letter. The registration granted by the Registration Committee is only for participation in a bid under Rule 144(xi) of General Financial Rules, 2017.

However, in case of appointment of new directors/ shareholders with more than 10% shares/ change in controlling ownership interest or control through other means, the registration shall stand canceled.

In such cases, bidders will be required to apply for fresh registration. The list of bidders who have been registered with competent authority shall be displayed on the website of DPIIT.

The professional fee for registration of vendors with Competent Authority (DPIIT) is Rs. 2 lakhs.