Save Search

Note: Where available, the PDF/Word icon below is provided to view the complete and fully formatted document
 Download Current HansardDownload Current Hansard    View Or Save XMLView/Save XML

Previous Fragment    Next Fragment
Tuesday, 10 March 1998
Page: 916


Mr Bevis asked the Minister for Defence, upon notice, on 20 November 1997:

(1) Has his Department contracted Sirway Asia Pacific under contract reference 2580040AC to supply china dinner plates for $160 754.

(2) Has Sirway previously been contracted by his Department; if so, what was the value of each contract.

(3) What items will be supplied under the contract referred to in part (1).

(4) In which country will the items be manufactured.

(5) When will the items be delivered.

(6) During the tendering process did Sirway provide a sample of each item with the brand/model name and number attached in accordance with Request for Tender No. 2570026; if not, (a) why was it awarded the contract and (b) did it subsequently provide a sample; if so, when.

(7) Is his Department ensuring that Sirway maintains effective quality control at all stages and provides test facilities performing necessary tests, whether specified in the contract or not, to meet contract requirements; if so, how.

(8) Is his Department ensuring that Sirway's inspection, measuring and test equipment is calibrated and associated documentation is maintained in accordance with AS3912.1-1993; if so, how.

(9) Did his Department ensure that Sirway complied with sections (a) 15.4 and (b) 21.3 of the Request for Tender documentation; if so, how.

(10) Did Australian Fine China also provide samples; if so, what Australian Standard tests were performed on the Sirway and Australian Fine China samples.

(11) Did his Department organise a laboratory to perform durability tests on china samples supplied by tenderers; if so, which laboratory tested the Sirway and Australian Fine China samples; if not, who organised the testing and where was it performed.

(12) Did the (a) Sirway and (b) Australian Fine China samples pass all tests; if not, what tests were failed in each case.

(13) Did the Sirway tender offer the lowest price; if not, what was the lowest tender.

(14) How long did it take his Department to evaluate all tenders.

(15) Is Sirway a QA endorsed supplier; if so, what accreditation does it hold; if not, why was it awarded the contract.

(16) What arrangements has his Department made with Sirway to attend to product defects.

(17) Has the Inspector-General been directed to review the contract; if so, (a) at whose direction and (b) will the Inspector-General's report be released; if not, why not.


Mr McLachlan (Defence) —The answer to the honourable member's question is as follows:

(1) Purchase Order 2580040AC for $160,754 was awarded to Sirway Asia Pacific Pty Ltd on 18 August 1997, in accordance with Standing Offer FB27007.

(2) Sirway Asia Pacific Pty Ltd had not been awarded a contract prior to Purchase Order 2580040AC.

(3) Purchase Order 2580040AC is for the supply of:

. Platter, Food Serving, Oval, 290mm long;

. Platter, Food Serving, Oval, 360mm long;

. Platter, Food Serving, Oval, 420mm long;

. Bowl, Food Serving, Soup, 230mm diameter;

. Saucer, Cup, Breakfast, 150mm diameter;

. Bowl, Food Serving, Cereal, 200mm diameter;

. Cup, Drinking, Breakfast, 280ml capacity;

. Cup, Drinking, Tea, 200ml capacity; and

. Plate, Eating, Dinner, 255mm diameter.

(4) The sourcing information of Sirway Asia Pacific Pty Ltd is commercial-in-confidence.

(5) The due date for delivery is 20 January 1998.

(6) (a) and (b) Tenders were not called for Purchase Order 2580040AC as it was raised in accordance with Standing Offer FB27007. As a condition of the Request for Tender for that standing offer, all tenderers submitted samples.

(7) Prior to delivery, goods supplied under Purchase Order 2580040AC must meet inspection requirements in accordance with the specification DEF(AUST)5192C quoted in the contract.

(8) Goods offered for inspection must meet the conditions of the contract and the requirements of the Department's inspection authority.

(9) (a) and (b) Prior to the awarding of the standing offer, the Department was satisfied that the company complied with clauses 15.4 and 21.3 of the Request for Tender 2570026. Officers of the Department have undertaken visits to Sirway Asia Pacific Pty Ltd's Melbourne sites and will continue to do so for the duration of the standing offer.

(10) All tenderers supplied samples for Request for Tender 2570026. Testing to Australian Standard AS/NZS 4371:1996 assessed water absorption, chipping and thermal shock.

(11) Testing was conducted by Scientific Services Laboratory, a business unit of Australian Government Analytical Laboratories.

(12) (a) Samples provided by Sirway Asia Pacific Pty Ltd passed all tests.

(b) Samples provided by Australian Fine China failed the chipping resistance test.

(13) Sirway Asia Pacific Pty Ltd offered the lowest price.

(14) Request for Tenders closed on 18 September 1996 and the standing offer was awarded on 1 August 1997.

(15) Sirway Asia Pacific Pty Ltd is not accredited to an Australian standard, however, this was not an evaluation criterion published in the Request for Tender. QA clauses are part of the standing offer and are being monitored by the Department.

(16) The standing offer provides performance, warranty and default clauses to protect the rights of the Commonwealth.

(17) (a) and (b) No. The Inspector-General has not reviewed the contract nor has he been directed to review the contract. His staff did examine the tender process leading to the contract. This examination confirmed that the contract was awarded to the tenderer offering the lowest price and the best value for money.