Tender Details
Description / Scope of Work
Pakistan Agricultural Storage and Services Corporation Limited (PASSCO) is inviting offers from eligible commercial banks for commodity operation financing of wheat for the quarter October to December 2026. The maximum borrowing facility is PKR 494 billion, intended to regularize outstanding loans and support fresh commodity operations. This is a nationwide procurement administered by PASSCO's Finance Wing at its head office in Lahore, Federal Province. The financing facility is structured as a three-month cash credit arrangement against hypothecation of wheat stocks and receivables, backed by a federal government guarantee. PASSCO will accept bids through the PPRA's EPAD System and will select the winning bank based on the lowest markup spread quoted against the three-month KIBOR benchmark rate.
Eligibility is open to all commercial banks, both conventional and Islamic, regulated by the State Bank of Pakistan. Bidders must adhere strictly to PASSCO's prescribed bidding format; any bid submitted in a different format will be declared non-responsive. Conditional or slab-based markup rates are not permitted; each bank must quote a single fixed spread (percentage per annum) for the entire quarter. There is no explicit bid security requirement stated in the notice, though all bids must be submitted electronically via the EPAD platform. Beneficial ownership information is mandatory for contracts valued at Rs 50 million and above, as per the Declaration of Beneficial Owners' information Regulations.
A pre-bid meeting is scheduled for Thursday, 24 September 2026 at 11:00 AM at PASSCO Head Office, 11 Kashmir Road, Lahore. Bids must be submitted through the EPAD System on or before 11:00 AM on Tuesday, 29 September 2026 and will be opened the same day at 11:30 AM in the presence of bidders or their authorized representatives. Bidding documents and the prescribed proforma are available on PPRA's EPAD portal (www.ppra.org.pk) and PASSCO's website (www.passco.gov.pk). No commitment fees, advisory charges, or bank commissions for disbursement services will be borne by PASSCO.
For Bidders: Our Analysis PAKISTANTENDER INSIGHT
Independent analysis by PakistanTender — not part of the official notice. Always confirm details against the original tender document.
PASSCO seeks financing bids for a PKR 494 billion wheat commodity operation facility covering October–December 2026.
The procurement is confined to interest-rate bidding; banks compete solely on spread margin over the three-month KIBOR set on 30 September 2026. The quarter-long tenure, federal guarantee backing, and hypothecation security (wheat stocks and receivables) signal a structured, low-risk arrangement typical of government agricultural financing. Strict format compliance and same-day bid opening create a high-discipline environment; any deviation from the proforma risks automatic rejection. This is a recurring seasonal facility for PASSCO.
Who can bid: Eligible bidders are commercial banks—conventional or Islamic—licensed and regulated by the State Bank of Pakistan. Consortia are permitted if led by one named bank. No PEC certification or SECP registration is required for banks, as banking regulation is handled by SBP. Bidders must comply fully with the prescribed EPAD proforma and benefit-ownership disclosure for contracts ≥ Rs 50 million.