International competitive bidding requirement bars export assistance for later limited-tender risk purchase supplies.

Export assistance under the import policy was confined to supplies made by Indian firms for IBRD/IDA aided projects through international competitive bidding, a process requiring global publicity, competitive participation and formal bidding safeguards. A later risk purchase award made on limited tender after default of the original contractor did not satisfy that requirement, and a default clause in the original global tender did not transform the subsequent limited tender into international competitive bidding. The petitioner was therefore not entitled to replenishment licence or cash assistance, and the authorities' refusal was upheld.

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Issues: Whether supplies made pursuant to a risk purchase contract concluded through a limited tender could qualify for replenishment licence and cash assistance under the import policy governing supplies against IBRD/IDA aided projects, which required supplies to be made under the procedure of international competitive bidding.

Analysis: The policy framed under Section 8 of the Imports and Exports (Control) Act, 1947 extended export assistance only to supplies made by Indian firms against IBRD/IDA aided projects when such supplies were made under the procedure of international competitive bidding. That procedure contemplated global publicity, competitive participation and formal bidding safeguards. The petitioner's contract, however, arose after the original contractor defaulted and was subsequently awarded on a limited tender basis under a risk purchase arrangement. Such a limited tender was not equivalent to procurement under international competitive bidding, and the fact that the original global tender contained a default clause did not convert the later limited tender into an international competitive bid.

Conclusion: The petitioner was not entitled to replenishment licence or cash assistance on the footing claimed, and the refusal by the authorities was upheld.

Ratio Decidendi: Eligibility for export assistance under a policy expressly confined to supplies made under international competitive bidding cannot be established by a later risk purchase or limited tender arrangement that does not itself satisfy that bidding procedure.

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