PROCUREMENT SYSTEM

RNTA and MTK periodically launch tenders to procure raw materials, manufacturing supplies, and equipment. These Tenders are administered by the Tunisian Public Contracts Legislation.

Companies fulfilling conditions required by Tender documents are authorized to participate and supply RNTA and MTK. These purchases are regrouped at the level of the sector and are made on the basis of samples for manufacturing supplies and raw materials, and on detailed technical documents for facilities.

PROCUREMENT PRODUCTS

Based on international tenders, RNTA and MTK regroup their purchases in tobacco leaves, manufacturing supplies and finished products.

1 – Tobacco leaves :
Purchases of tobacco leaves for RNTA and MTK take place three times a year and generally in March, June and November. They take place according to special procedures governed in decree n°1934 dated August 29, 2000. Only short-listed suppliers approved by the Tobacco Acquisition Commission are allowed to participate to tenders. To enrich this list, RNTA and MTK periodically launch an international tender for applicants interested in being short-listed.
Varieties tobacco imported are: Virginia-Burley-Orient-Various blacks-Java & Bahia. They come from several origins of which notably: Zimbabwe, Malawi, Brazil, India, China, Italy, Greece, Turkey and Indonesia.

2 – Manufacturing supplies :
RNTA and MTK periodically purchase manufacturing supplies from world famous suppliers in the tobacco industry: cigarette paper, Overhead paper, polypropylene, filter baguettes, aluminum paper, and carton boxes.
The yearly amount of purchases manufacturing supplies is about 15 million Tunisian Dinars (hence the equivalent of 8,8 million Euros).

3 – Finished products :
RNTA and MTK sub-contract the production of some products such as playing cards, matches and a proportion of 20 Mars International cigarettes with local companies. They also ensure the supply of the market in foreign cigarettes and in hunting powder by resorting to foreign companies. For these products, RNTA and MTK look after storage and distribution. The budgetary envelope allocated to these purchases is about 79 Million dinars (approximately 47 Million Euros).

SERVICES
To guarantee an efficient market supply, RNTA and MTK resort to service providers to mainly ensure the transport and insurance of their products, upstream and downstream the production process.

1 – Transport :

Upstream
To fulfill their needs in terms of raw materials and manufacturing products, RNTA and MTK resort to imports.

As opposed to manufacturing products which imports are always carried out in C.F.R, raw materials (Tobacco leaves) are imported from different sources, often in F.O.B. this mode of delivery implies resorting to maritime transportation service providers, according to legislation in force based on Tender competition procedures. The annual raw imported tonnage amounts to nearly 3,500 tons, while the annual amount allocated to freight is approximately 600 thousand TD (360 thousand euros).

This maritime transportation is complemented by a ground transportation to ensure the transfer of goods from ports to RNTA’s and MTK’s headquarters.

Downstream :
The distribution of finished products from the warehouses of RNTA and MTK to the different regional storage houses spread throughout the country is performed by designated ground carriers, selected through national tenders.

2- Maritime Insurance :

All transports sub-contracted by RNTA and MTK make the object of insurance policies to their loads. Goods are insured by operation of import. The yearly amount paid by RNTA and MTK for maritime insurance equals approximately 100 thousand DT (60 thousand euros).