--- title: "Contract for reimbursement of manufacturing costs with option to purchase goods" ocid: "ocds-h6vhtk-02895e" canonical_url: "https://d3tenders.com/contract/?ocid=ocds-h6vhtk-02895e" markdown_url: "https://d3tenders.com/contract/ocds-h6vhtk-02895e.md" json_url: "https://d3tenders.com/contract/ocds-h6vhtk-02895e.json" source: "Find A Tender Service" current_stage: "Award" buyer: "DEPARTMENT OF HEALTH AND SOCIAL CARE" published: "2021-01-11" --- # Contract for reimbursement of manufacturing costs with option to purchase goods Buyer: DEPARTMENT OF HEALTH AND SOCIAL CARE Current stage: Award OCID: ocds-h6vhtk-02895e [View canonical contract page](https://d3tenders.com/contract/?ocid=ocds-h6vhtk-02895e) [Download OCDS JSON](https://d3tenders.com/contract/ocds-h6vhtk-02895e.json) ## Summary The Department of Health and Social Care (DHSC) has completed a tender for the contract titled "Contract for reimbursement of manufacturing costs with option to purchase goods," primarily focused on the manufacture of Lateral Flow Antigen tests for Sars-Covid-2. This procurement falls under the goods category and is classified under diagnostic kits (CPV code: 33141625). The procurement process was carried out using a limited method, which allowed for an award without prior publication due to the extreme urgency stemming from the COVID-19 pandemic. The contract was signed on 3 December 2020, with a total value of £6,000,000, and involved delivery within the UK. This tender represents a significant opportunity for businesses involved in the healthcare or diagnostic manufacturing sectors, especially those specialising in quick-response testing solutions. With the urgency and necessity for rapid testing capabilities, companies that can efficiently produce or supply diagnostic kits are well-positioned to compete. Such businesses may range from small and medium enterprises (SMEs) to larger firms with established manufacturing capabilities that can respond quickly to fluctuating supply demands in a competitive market environment. ## Notice Manufacture of Lateral Flow Antigen tests for Sars-Covid-2, with the option to purchase further tests. ### Lot Information Lot 1 Manufacture of Lateral Flow Antigen tests for Sars-Covid-2, with the option to purchase further tests. ### Procurement Information 1. The COVID-19 outbreak is a Public Health Emergency of International Concern as declared by the World Health Organisation on 30 January 2020. The WHO Director General characterised COVID-19 as a pandemic on 11 March 2020.2. A key element of ensuring an effective response to the pandemic is ensuring that there is adequate testing. Therefore, ensuring surge LFT capacity, including sufficient availability of Lateral Flow Tests, is critical. 3. Mass testing of the UK Population is a key step in bringing the Pandemic under control. (Lateral Flow Tests produce quicker results than the current PCR (Polymerase Chain Reaction) test, and do not require a lab processing step.) LFT tests have only recently become viable as a means of testing, with multiple tests being progressed through to certification and approval. This was unforeseen by the DHSC and outside its control.4. Market analysis data demonstrates that the global market for LTF is volatile and highly competitive. Global manufacturing capability is limited to circa 120m units per day. Demand often outstrips supply. DHSC requirement is driven by the progress of the pandemic (including emerging variants), the changing efficacy of available LTF products and the severity of the second wave/national R-number. Evolving clinical field experience, changes to treatment and testing strategy, supply market volatility and disruption has led to urgency in securing capability at volume. Market engagement identified SureScreen as being capable to manufacture the volumes within the required deadline, having availability of materials and test validation status.5. DHSC is satisfied the tests permitting use of the Negotiated procedure without prior publication (Regulation 32(2)(c)) are met:A. As far as is strictly necessary: The surge LFT capacity was identified as strictly necessary to meet the demand to scale up the testing programme in the UK.B. There are genuine reasons for extreme urgency: It is responding to COVID-19 immediately because of public health risks presenting a genuine emergency.C. The events that have led to the need for extreme urgency were unforeseeable: The Commission itself confirmed: "The current coronavirus crisis presents an extreme and unforeseeable urgency - precisely for such a situation our European rules enable public buyers to buy within a matter of days, even hours, if necessary." (Commissioner Breton, Internal Market, 01.04.2020).D. It is impossible to comply with the usual timescales in the PCR: It is not possible to comply with the timescales of another procedure due to the urgent requirement to ensure effective surge capacity.E. The situation is not attributable to the contracting authority - DHSC has not done anything to cause or contribute to the need for extreme urgency" ## Key Details | Field | Value | | --- | --- | | Publication source | Find A Tender Service | | Latest notice | https://www.find-tender.service.gov.uk/Notice/000522-2021 | | Notice type | Award Notice | | Procurement type | Standard | | Procurement category | Goods | | Procurement method | Limited | | Procurement method details | Award procedure without prior publication of a call for competition | | Tender suitability | Not specified | | Awardee scale | SME | | All stages | Award | ## Dates | Field | Value | | --- | --- | | Publication date | 11 Jan 2021 | | Submission deadline | Not specified | | Future notice date | Not specified | | Award date | 3 Dec 2020 | | Contract period | Not specified | | Recurrence | Not specified | ## Values | Field | Value | | --- | --- | | Tender value | Not specified | | Lots value | Not specified | | Awards value | Not specified | | Contracts value | £6,000,000 | ## Status | Field | Value | | --- | --- | | Tender status | Complete | | Lots status | Cancelled | | Awards status | Active | | Contracts status | Active | ## Buyer | Field | Value | | --- | --- | | Main buyer | DEPARTMENT OF HEALTH AND SOCIAL CARE | | Locality | LONDON | | Post town | South West London | | Postcode | SW1H 0EU | | Country | England | | ITL 1 | TLI London | | ITL 2 | TLI3 Inner London - West | | ITL 3 | TLI35 Westminster and City of London | | Local authority | Westminster | | Electoral ward | St James's | | Westminster constituency | Cities of London and Westminster | | Delivery location | Not specified | ## Supplier | Field | Value | | --- | --- | | Number of suppliers | 1 | | Supplier names | SURESCREEN DIAGNOSTICS | ## CPV Codes ### Divisions - 33 - Medical equipments, pharmaceuticals and personal care products ### Codes - 33141625 - Diagnostic kits ## Release History - 11 Jan 2021 at 16:24 - Award - Award Notice - https://www.find-tender.service.gov.uk/Notice/000522-2021 ## Notice URLs - https://www.gov.uk/courts-tribunals - https://www.gov.uk/government/organisations/department-of-health-and-social-care ## Provenance This Markdown file is an alternate public rendering of the D3 Tenders contract record. The canonical page is https://d3tenders.com/contract/?ocid=ocds-h6vhtk-02895e. The underlying structured data is available as OCDS JSON at https://d3tenders.com/contract/ocds-h6vhtk-02895e.json.