Research

2024 Public Procurement Hub Q1 Report: Pipeline Conversion and Faster Order Intake

Q1 2024 Activity Overview

The first quarter of 2024 marked the opening quarter of the third year of operations for the public procurement hub and focused on converting the pipeline carried over from 2023 into actual contracts. By leveraging the networks built with BPDB, PGCB, and RHD in the prior year, the hub secured five contract awards worth USD 65 million, equivalent to 32.5% of the annual target of USD 200 million.

During the quarter, the team collected and delivered 95 tender notices and completed 22 buyer matchmaking cases. It also held 48 local meetings to strengthen relationships with key officials at procuring entities and produced six market reports to provide Korean companies with up-to-date procurement intelligence.

5
Confirmed Wins
USD 65M
32.5%
Target Achieved
vs. USD 200M goal
95
Tender Notices
collected and shared
22
Buyer Matching
Korea-local links
48
Local Meetings
with procuring entities
6
Market Reports
two per month
USD 320M
New Pipeline
identified in Q1
72%
Power Share
of award value

Key Procurement Activities

Procurement activity in Q1 was driven by two tracks: power and energy, and transport and construction. In the power segment, the hub concentrated on supporting BPDB's gas turbine replacement project and PGCB's 230kV substation expansion tender. In transport, it helped a Korean supplier win a bridge bearing supply contract for an RHD national highway bridge rehabilitation project.

Confirmed Contract Awards in Q1 2024
ProjectProcuring EntityValue (USD M)Korean FirmItemContract Date
Gas Turbine ReplacementBPDB28Company AGas turbine parts1/15
Substation ExpansionPGCB19Company BTransformers and GIS2/20
Bridge BearingsRHD7Company EBridge bearings1/28
Solar InvertersSREDA6Company DInverters and panels3/10
Road EquipmentLGED5Company FCompactors and loaders3/22

Pipeline Development

Power and Energy Pipeline (USD 220M)
BPDB 600MW CCPPUSD 200M - ADB financed
PGCB 400kV TransmissionUSD 120M - tender prep
BAPEX Drilling EquipmentUSD 15M - Q3 tender
Solar Phase 2USD 25M - SREDA
Transport and Construction Pipeline (USD 100M)
RHD Highway ExpansionUSD 45M - WB financed
Railway ModernizationUSD 35M - JICA financed
LGED Rural RoadsUSD 12M - GOB
BRTC Bus PartsUSD 8M - Q2 tender

The newly identified pipeline in Q1 totaled USD 320 million. Power and energy accounted for USD 220 million, or 69% of the total, and the BPDB 600MW combined-cycle power plant project at USD 200 million was the largest single opportunity. The project is expected to go to tender in the second half of 2024 with ADB financing. Transport and construction represented USD 100 million, or 31%, led by the RHD highway expansion and railway modernization projects. The portion of the pipeline that could realistically be converted into signed contracts within 2024 is estimated at around USD 80-120 million.

Issues and Q2 Action Plan

01
Monitoring the Post-Election Environment
Following the January 2024 general election, the new government has been formed, but possible shifts in procurement policy still need to be monitored. Particular attention is being paid to appointments to the BPDB board and any changes in PGCB procurement plans. So far, ADB- and World Bank-funded projects are proceeding regardless of political developments.
02
Ramadan Response Plan (March-April)
During Ramadan in 2024, from March 12 to April 10, shorter working hours and slower decision-making at government institutions are expected. The team plans to submit core tender documents in advance of Ramadan and schedule follow-up meetings immediately after the fasting period to minimize delays. This window will also be used to update market intelligence reports and buyer profiles.
03
Priority Tasks for Q2
In the second quarter, the top priority is preparation for the BPDB 600MW CCPP tender. Support will focus on technical specification review for Company A of Korea, selection of a local joint-venture partner, and issuance of the bid bond. At the same time, the team will prepare participation in the PQ process for the PGCB 400kV transmission line project.
04
Network Expansion into Defense and ICT
In addition to power and transport, the hub will start monitoring procurement in defense, including army and navy equipment, and ICT, such as e-government and data center projects. In defense, it will secure an official channel through DGDP, and in ICT, it will identify procurement plans under the A2I program.
Transition from Q1 to Q2 2024
Q1 Awards
Five wins worth USD 65M
Pipeline
USD 320M newly identified
Ramadan
Advance prep and analysis
Q2 Focus
CCPP and transmission tenders
Expansion
Defense and ICT added
2024 Public Procurement Hub Q2 ReportReview the Q2 Ramadan response and progress on the CCPP tender
2024 GPPM Final Performance ReportSee the annual performance summary for 2024 and the outlook for 2025

The first quarter of 2024 marked a strong opening for the third year of public procurement hub operations. By converting the 2023 carried-over pipeline into five wins worth USD 65 million, the hub secured 32.5% of the annual target at an early stage and built a new pipeline valued at USD 320 million. Power accounted for 72% of award value, confirming BPDB and PGCB as the central procuring entities. In Q2, the priority will be preparation for the BPDB CCPP tender alongside expansion into defense and ICT opportunities.

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2024 Public Procurement Hub Q1 Report: Pipeline Conversion and Faster Order Intake | Dhaka Trade Portal