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Construction Development Board

Circular

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Posted on 31st May, 2011

Based on Executive Order No. C-2/49 dated 12the July 2010 of the Hon’ble Prime Minister and in pursuance to the Economic Development Policy 2010; the Construction Development Board is pleased to revise the contractors’ classification to three classes’ viz. Large (L), Medium (M) and Small (S) in order to make it more flexible and better suited to the needs of the fast growing construction sector. The revised classification is introduced to provide, amongst others, to join higher grades, instead of gradual rise, as long as they fulfill the conditions of machinery and human resources prescribed by the CDB from time to time.  Consequently, the revised ‘Allowable Contract Range’ and ‘Upper Ceiling’ of projects that a firm/contractor can undertake simultaneously, subject to fulfilling other requirements during the process of procurement, are also revised as shown in the table below:

Sl.No. Class  Allowable Contract Range (Nu.) Upper Ceiling (No. of contracts) 
 1  Large  > 15 million  5 Nos.
 2  Medium  > 4 – 15 million  4 Nos.
 3  Small  ≤ 4 million  2 Nos. provided the total amount is ≤ 4mn

Therefore, all concerned procuring agencies / contractors are hereby notified of this revision of contractors’ classification which comes into immediate effect, for procurement of works henceforth. In this context, it is to inform that all the registered contractors have already been reclassified as per the new revision explained above.

Yeshey Zimba

Hon’ble Chairman, CDB

19th May 2011