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 Trade › Grocery and Related Product Merchant Wholesalers › Other 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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