Procurement of Condoms

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The Issue

Condoms must be of high quality to have their intended prophylactic effect, and production is technically demanding. While there are many manufacturers, relatively few companies are responsible for most international sales. As an alternative to purchasing directly from the manufacturer or supplier, condoms may be procured from or through UNFPA and other UN agencies (such as UNDP's Inter-Agency Procurement Services Office, IAPSO) offering relevant procurement services.

Distribution to target groups may require merchandising expertise not available locally. It can be furnished by specialized service providers, including social marketing enterprises, in which case the marketing services are bundled with the supply of condoms. Social marketing of condoms combines commercial sales techniques with the promotion of healthier behaviors.

Legal and Policy Considerations

The Bank strongly supports prequalification of condom suppliers. The Standard Bidding Documents for Procurement of Health Sector Goods contain provisions for condom procurement in the Special Conditions of Contract (Inspections and Tests; Delivery and Documents) and in the Sample Technical Specifications.

Condoms are considered a multisource product and large purchases are therefore typically handled under International Competitive Bidding (ICB). Specialized UN agencies may be used as direct suppliers under paragraph 3.9 of the Procurement Guidelines (May 2004 edition) or as procurement agents pursuant to paragraph 3.10 of the Procurement Guidelines (May 2004 edition), in which case they are hired as consultants pursuant to paragraph 3.15 of the Consultant Guidelines (May 2004 edition).

Social marketing enterprises selling condoms are hired under procedures explained in the Consultants Guidelines, Quality-and Cost-based Selection procedure.

Practice Examples

The Gambia, Participatory Health, Population and Nutrition Project:

* Project Appraisal Document (Rep. No. 17399 GM): Annex 6, Table A1, Component 1.2: Prevention of Unwanted Pregnancies: Social Marketing Program (Int. TA and Nat. TA): QCBS

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* Development Credit Agreement, May 15, 1998: "Goods, essential drugs and contraceptives may be procured from IAPSO, UNFPA, UNICEF, WFP, WHO or other UN agency acceptable to the Association, in accordance with the provisions of paragraph 3.9 of the Guidelines"...

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