Indian, Foreign Firms Bid To Supply Polymer Sheets For Indian Banknotes

The Reserve Bank of India is moving ahead with the procurement process for polymer substrate that could be used in banknote production, with its currency-printing subsidiary seeking eligible manufacturers and suppliers for the specialised material.

The Bharatiya Reserve Bank Note Mudran Pvt Ltd (BRBNMPL) had invited global expressions of interest from manufacturers and suppliers for polymer substrate sheets embedded with security features for printing Indian banknotes. The EOI was issued in July, with the deadline for submitting bids set for August 18.

Who Has Bid For Polymer Banknote Supply

According to a report by The Indian Express, at least two foreign polymer currency manufacturers and an Indian substrate manufacturer partnered with UK-based banknote maker De La Rue have submitted bids in response to the EOI.

The bidding process includes several security-related requirements. Companies have been required to sign an integrity pact, a confidentiality agreement and a no-agent undertaking. They must also declare that their India operations related to the contract will be firewalled from any operations they may have in China or Pakistan.

The bidders are also required to certify that the polymer substrate supplied to BRBNMPL does not contain animal tallow or its DNA. The Indian Express report noted that controversies surrounding the presence of animal tallow in banknotes in countries such as the UK have been cited as one factor behind concerns over the introduction of polymer currency in India. BRBNMPL’s EOI indicated an approximate requirement of 68,000 reams of polymer substrate. Each ream is to contain 500 sheets of polymer film, with bidders required to submit samples as part of the qualifying process.

How Will The Polymer Substrate Be Tested

The submitted samples will be tested across different climatic zones to assess their suitability. Companies whose samples meet the required standards will then be eligible to participate in the final BRBNMPL tender. BRBNMPL also clarified through a corrigendum issued before the bidding deadline that bidders did not need to provide proof of their financial standing at this qualifying stage.

According to the report, Mumbai-based Cosmo First is among the companies that have entered the process. The company has partnered with De La Rue, which is expected to act as its technical partner and provide the required security features for the polymer substrate.

Australia-based CCL Secure is also reported to have submitted a bid. The company specialises in polymer banknote solutions and supplies polymer products to central banks in several countries. The report also identified Vietnam-based Q&T Hi-Tech Polymer Company as another potential bidder. The company began supplying banknotes domestically in Vietnam and is now looking to expand its presence in the international polymer banknote market.

The bids represent the next stage of BRBNMPL’s procurement process. The companies and their materials will have to clear the required testing before they can proceed to the final tender stage.