DoD Awards $13.1M Contract for Grocery Products to Supreme Foodservice GmbH

Contract Overview

Contract Amount: $13,134,000 ($13.1M)

Contractor: Supreme Foodservice Gmbh

Awarding Agency: Department of Defense

Start Date: 2007-12-10

End Date: 2007-12-12

Contract Duration: 2 days

Daily Burn Rate: $6.6M/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: 4506286277!TRANSPORT

Plain-Language Summary

Department of Defense obligated $13.1 million to SUPREME FOODSERVICE GMBH for work described as: 4506286277!TRANSPORT Key points: 1. Contract awarded for grocery products, indicating a need for food supplies within the Defense Logistics Agency. 2. Supreme Foodservice GmbH, a German company, secured the contract, highlighting international supplier involvement. 3. The contract value of $13.1 million suggests a significant procurement for food-related goods. 4. Awarded under full and open competition, indicating a competitive bidding process. 5. The short duration (2 days) suggests an urgent or specific need for these supplies.

Value Assessment

Rating: fair

The contract value of $13.1 million for a short duration is difficult to benchmark without specific product details. However, the firm fixed-price structure aims to control costs.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Full and open competition was utilized, suggesting a robust process for price discovery and selection of the most advantageous offer. This method generally leads to better pricing.

Taxpayer Impact: The competitive nature of the award is expected to yield fair market value, minimizing unnecessary taxpayer expenditure.

Public Impact

Ensures food supply for military personnel or operations. Supports international trade relationships through procurement. Potential impact on domestic food suppliers if international options are consistently preferred.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Short contract duration may indicate an emergency or a gap-filling measure, potentially leading to higher prices.
  • Reliance on a single awardee for a critical supply chain component.
  • Limited information on the specific goods procured makes it hard to assess value.

Positive Signals

  • Awarded through full and open competition, suggesting a fair process.
  • Firm fixed-price contract provides cost certainty.

Sector Analysis

This contract falls under the wholesale trade of groceries, a sector critical for logistical support. Spending benchmarks for such specific procurements are highly variable based on quantity and type of goods.

Small Business Impact

The data does not indicate whether small businesses were involved in this procurement, either as prime contractors or subcontractors. Further analysis would be needed to determine small business participation.

Oversight & Accountability

The award was made under full and open competition, implying adherence to standard procurement regulations. Oversight would focus on contract performance and delivery.

Related Government Programs

  • Other Grocery and Related Products Merchant Wholesalers
  • Department of Defense Contracting
  • Defense Logistics Agency Programs

Risk Flags

  • Short contract duration.
  • Potential for price inflation due to urgency.
  • Limited visibility into specific product details.
  • Reliance on a single supplier for the specified period.

Tags

other-grocery-and-related-products-merch, department-of-defense, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $13.1 million to SUPREME FOODSERVICE GMBH. 4506286277!TRANSPORT

Who is the contractor on this award?

The obligated recipient is SUPREME FOODSERVICE GMBH.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Logistics Agency).

What is the total obligated amount?

The obligated amount is $13.1 million.

What is the period of performance?

Start: 2007-12-10. End: 2007-12-12.

What was the specific nature of the grocery products procured and their intended use?

The specific nature of the grocery products is not detailed in the provided data. However, given the awarding agency (Defense Logistics Agency) and the contractor (Supreme Foodservice GmbH), it is highly probable that these were food items intended for consumption by military personnel, support staff, or potentially for humanitarian aid or operational sustenance in a specific region. The short duration suggests a focused, possibly urgent, requirement.

What risks are associated with a short-duration contract for food supplies?

Short-duration contracts for food supplies can pose risks such as inflated pricing due to urgency, potential for lower quality if suppliers rush production, and difficulties in ensuring consistent supply chains. There's also a risk that the selected supplier may not be the most cost-effective in the long run, as the focus might be on immediate fulfillment rather than sustained value.

How effective was the full and open competition in achieving the best value for taxpayers?

Full and open competition is generally effective in achieving best value by fostering a competitive environment that drives down prices and encourages innovation. However, the effectiveness in this specific case depends on the number and quality of bids received, the clarity of the solicitation requirements, and the evaluation criteria used. Without bid details, it's presumed effective, but actual value realization requires further scrutiny.

Industry Classification

NAICS: Wholesale TradeGrocery and Related Product Merchant WholesalersOther Grocery and Related Products Merchant Wholesalers

Product/Service Code: SUBSISTENCE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Supreme Group Holding Sarl (UEI: 400210806)

Address: ZIEGELBRUECKSTRASSE 66, ZIEGELBRUECKE

Business Categories: Category Business, International Organization, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $13,134,000

Exercised Options: $13,134,000

Current Obligation: $13,134,000

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: SPM30008D3153

IDV Type: IDC

Timeline

Start Date: 2007-12-10

Current End Date: 2007-12-12

Potential End Date: 2007-12-12 00:00:00

Last Modified: 2008-04-14

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