BCPL follows clearly defined Purchase Procedure and Financial Powers of Competent Authorities. The Purchase is briefly described as follows:

All estimates are based on annual requirement and are prepared by departmental experts. Consultancy is resorted to only in case of complex projects beyond the expertise of departmental officers.

There might be certain items for which there are a fairly good number of suppliers. Limited Tender Enquiry (LTE) may be floated if considered advantageous. It should be ensured that enquiries are sent to all the listed suppliers and to all the manufacturers. LTE shall be issued over Fax/E-mail/Speed Post/ approved Courier, asking the intended suppliers to submit their quotations only under sealed cover within a specified date. In each case the details of posting and receipt of reply must be kept recorded. Enquiry shall be issued well in time so that it is possible to allow at least a clear fortnight for the receipt of offers. In case of urgency this time may be reduced to 7 to 10 days under approval of General Manager /Deputy GeneralManager(Production).

For an individual purchase of articles exceeding Rs 12 lakh in a year, sealed tenders will be invited by press advertisement except in case of canalised/ Govt.controlled items. As far as possible one clear fortnight from the date of publication of advertised notice shall be allowed for receipt of offers. This Tender must be made available in Company’s website.

Sometimes emergency purchase may be required for essential raw materials or stores, spares, engineering items, packing materials etc. There should not be any emergency purchase exceeding Rs 10,000=00 at a time.The reason for the emergency purchase should be given in writing and the respective Plant Procurement Committee shall be informed in their subsequent meeting and shall be ratified by the Committee.

Single Tender Enquiry is made in the following cases :

All sealed tenders /quotations shall be opened by a Committee, comprising of the following personnel:

1. Head of Finance and Accounts or his representative not below the rank of Officer of the respective Units
2. Material / Purchase Manager or his representative or Purchase Officer of respective Units
3. Chief Manager(Internal Audit) or his representative

After opening of tenders /quotations a comparative statement has to be prepared by the Purchase Department in the prescribed format.The Officers present during the opening of the tenders shall put their signature on each tender / quotation opened and in the comparative statement If the number of quotations received is less then three the Purchase Department shall analyse and indicate the reason in the covering note.

All tenders are evaluated by an expert committee called Plant Procurement Committee(PPC) of each Unit, comprising of the following :-

1. Plant Procurement Committee, Panihati (PPC-I)

General Manager/Deputy General Manager(Production) – Chairman
Chief Manager/Works Manager(Panihati) – Member
Materials/Purchase Manager – Member
Works Accountant or Head of Finance/Account of the Unit
Deputy Materials/Purchase Manager/Officer – Member-Secretary
Maintenance Manager by invitation as and when necessary
Representative of Corporate Finance not below the rank of Senior Officer


2. Plant Procurement Committee, Maniktala(PPC-II)

General Manager/Deputry General Manager(Production) – Chairman
Chief Manager/Works Manager(Panihati) – Member
Materials/Purchase Manager, Member-Secretary
Works Accountant ore Head of Finance/Accounts of the Unit
Deputy Materials/Purchase Manager/Sr.Officer/Officer – Member
Maintenance Manager by invitation as and when necessary
Representative of Corporate Finance not below the rank of Senior Officer
Head of Quality Assurance Department or his representative by invitation when necessary
Stores In- charge by invitation when necessary
Production Manager by invitation when necessary


3. Plant Procurement Committee, Mumbai(PPC-III)

Works Manager – Chairman
Production/Deputy Production Manager – Member
Head of Accounts – Member
Material/Purchase Officer,  Member-Secretary


4. Plant Procurement Committee, Kanpur (PPC-IV)

Works Manager – Chairman
Production/Deputy Production Manager – Member
Head of Accounts – Member
Material/Purchase Officer, Member-Secretary


5. Central Purchase Committee

Manager(Accounts) – Chairman
Company Secretary – Member
Senior Accounts Officer(Purchase Accounts) – Member
Materials Manager, Member-Secretary


6. Administrative Approval & Expenditure Sanction

Rates & terms of tenders are approved on the recommendations of the Plant Procurement Committee (PPC). The Competent authorities for normal tenders bids (at least 3 bids against formal call of tenders) are:

1. Managing Director for values above Rs. 5.00 lakhs
2. General Manager (Production/Marketing) for values above Rs. 0.25 lakhs and up to Rs. 5.00 lakhs
3.  Works Manager up to Rs. 0.25 lakhs.

For all Capital purchases, approval of the Board of Directors for values above Rs. 5.00 lakhs and of Managing Director for values above Rs. 0.10 lakhs and up to Rs. 5.00 lakhs are obtained.

Special  Power entrusted to Deputy General Manager(Production) by  Competent Authority under specified condition

For Loan Licence / TPM (Third Party Manufacture) Order : up to Rs 5.00 Crores

For Raw & Packing Material for in- house production : up to Rs 25 Lacs