Vietnam: What is a minor contract?

LawNet would like to answer your question as follows:

According to Article 63 of Decree No. 63/2014/ND-CP of Vietnam’s Government, a minor contract is a contract for provision of non-consulting services or goods purchase valued at up to VND 10 billion; a construction contract or mixed contract valued at up to VND 20 billion.

Selection of contractors for minor contracts

1. The contractor selection process applied to minor contracts is the same as that specified in Section 1 Chapter II and Chapter V of this Decree.

2. Contractor selection schedule:

- The invitation for bids shall be issued within the time limits in the bidding notice, which is not shorter than 03 working days from the day on which it is posted on the national procurement network or the Vietnam Public Procurement Review Journal;

- The time limit for preparing the bid-envelope shall not be shorter than 10 days from the date of issue of the invitation for bids;

- When the invitation for bids must be adjusted, the procuring entity must notify the bidders at least 03 working days before the deadline for submitting bids in order for them to have enough time to prepare their bid-envelopes;

- Bid-envelopes shall be evaluated within 25 days from the bid opening date, then the procuring entity shall submit a written request for approval for the contractor selection result, which is enclosed with a report on contractor selection result;

- The contactor selection result shall be verified within 10 days from the receipt of the request for verification;

- The result of contractor selection shall be approved within 05 working days from receipt of request for approval from the procuring entity and the verification report from the verifying unit;

- Other deadlines are specified in Clause 1 Article 12 of the Law on Bidding.

3. The value of tender guarantee varies from 1% to 1.5% of the contract value; the value of performance guarantee varies from 2% to 3% of the agreed price.

Relevant documents: Law on Bidding 2013

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE