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United Kingdom-London: Freight transport agency services
Contract award notice
Results of the procurement procedure
Section I: Contracting authority
Section II: Object
The Provision of Freight Services for the Supply of Personal Protective Equipment Medical Equipment
The provision of freight services for the supply of personal protective equipment medical equipment.
Direct award under Reg 32 of the Public Contracts Regulation 2015 for Covid-19 response.
Section IV: Procedure
1) The consequences of not responding rapidly to the pandemic to meet the exceptional increases in demand for PPE to protect care providers and key workers, and medical products to treat patients, would be a significant excess illness and deaths in the UK.
2) Huge increases in global demand, export restrictions from various nation states all contributed to a shortage of product availability. Where product could be sourced it was imperative that this product was moved at the earliest opportunity to prevent it being sold to higher bidders.
3) The urgent need for PPE and medical products in the UK created a requirement for the fastest mode of transport. Air freight transit times were in the region of 4-5 days whereas sea freight was between 56-84 days.
4) The disruption to freight and exports from China following their lockdown and export restrictions led to the severely restricted availability of freight capacity.
5) The market for air freight was particularly disrupted by the cancellation of many scheduled passenger airline flights (removing significant air freight capacity from the market). This created a situation where there was severe lack of physical air freight capacity and dramatic cost inflation in this market.
6) No pre-existing government commercial agreements were identified which covered the nature and scale of the services required.
7) This contract was awarded to British Airways PLC to meet a specific urgent need to transport PPE to the UK, utilising flights from Shanghai to the UK during May 2020.
Section V: Award of contract
Section VI: Complementary information