Rejection of all Bids
The Ethiopian Maritime Authority (EMA) has recently rejected bids from seven logistics companies seeking multimodal operating licenses. This surprising decision includes the disqualification of Bollore Transport Logistics, a company with extensive experience in the field. The EMA had previously floated a tender in November, aiming to increase the number of multimodal providers from four to five. Despite the submission of requisite documents by the bidders showing they met the requirements, the authority dismissed all the bids.
Initial Selection Overturned
Initially, the EMA had selected Tikur Abay Transport as the successful bidder. However, this decision was later reversed on the grounds that Tikur Abay had failed to meet minor criteria concerning its board structure. This reversal brought about significant disappointment and confusion, especially since Tikur Abay had already invested substantial resources to launch the multimodal service. The company has voiced its dissatisfaction with the EMA’s inconsistent decisions, emphasizing that they had fulfilled the board requirements.
Stringent Criteria for Multimodal License
To obtain a multimodal license, bidders are required to establish a new company with a minimum paid-up capital of 25 million birr. Of this capital, at least 10 million birr should be deposited in a blocked account in cash. In addition to this financial threshold, the company must also obtain a trade license and a certificate of competence, along with meeting several other stringent criteria set by the EMA.
As reported by EBENEZER MENSAH