Overview

The commercial policy of the DGA is based on competition whenever possible. At the same time due to consolidation in the Defence industry on the one hand, and on the other hand to the initiative to make Primes responsible for overall results, a significant number of contracts let by the DGA for Defence equipment are let without competition for the prime.

In this context, the DGA negotiates with the Prime the terms for competition at sub-contract level, which is called a "Procurement plan".

This procedure fulfils the following objectives:

  Contract prices will reflect the effect of competition organised by the Prime,
  Equality of treatment of sub-contractors,
  Promotion of technical innovation in the case of research and technology.

In the case of contracts issued for specific defence needs with a single source supplier (without competition), according to article 9 of the 2004-16 decree of 7th January 2004 (also called "Specific defence decree"), the application of provisional prices when sub-contract prices are not known at the time of contract prices negotiation is allowed. Provisional prices only apply to sub-contract elements for wich the results of competition organised by the Prime are not known.

Moreover taking into account the disposition of article 10 disposition of the above mentionned decree, procurement plan procedure is not essentially limited to negociated procedure without competition.

Who does what in a procurement plan ?

1) The DGA negotiate with the Prime:

  The decomposition of the system into products and/or functions and the list of subsystems, functions or service provisions which will be competed.
  The conditions in which the procurement plan will be put on line on “IXARM.COM”, IXARM.COM being a source of information for all potential subcontractors.
  The selection criteria for sub-contractors.
  The condition for submitting and opening the bids.
  Bid selection procedure and criteria.
  Costs resulting of running the competition.

During the competition process, the DGA makes sure that the Prime respects the agreed process; however the DGA does not participate directly in the negotiation. The Prime keeps responsibility for running the negotiations and choosing sub-contractors.

2) The Prime, once he has been notified of the contract:

  Puts the procurement plan on line on « IXARM.COM » in order to collect candidatures.
  For each competition, produces a bid pack and a list of suppliers to be consulted. So as to issue this list, the prime will consider the candidates who have applied via the armaments portal.
  Conducts negotiations and provides the selection reports to the DGA.
  When stipulated in the contract, supervises the execution of the subcontracted work.

The bid pack and the selection reports are contract deliverables which need to be accepted by the contracting authority if they are a prerequisite to.

3) Potential sub-contractors

If you are already a defence supplier or would like to become one, the section “Contracts and opportunities, procurement plans” will allow you to be informed of subcontract competitions being run by Primes working on current DGA contracts.

If your company has the necessary competencies, you can reply to the procurement plan and become a candidate via the portal by completing the information form for the attention of the prime. In order to do this, all you have to do is be a member of the portal and have a password. Only the prime and the DGA will be aware that you are a candidate. Without registration and a password, it is only possible to consult the section “procurement plans”.