Supply and distribution of duty free alcohols and other products for UNESCO headquarters in Paris

~United Nations Educational, Science and Cultural Organization (UNESCO) hereby invite qualified entities to submit their Expression of Interest for the supply and distribution of duty free alcohols and other products at its Headquarters in Paris.

Objectives and Scope

Supply and distribution of Duty- free alcohols in UNESCO Headquarters premises by the Supplier to entitled staff members of UNESCO (Lot 1) and other various products (perfumes, food, gifts, textiles, leather goods) subject to VAT to UNESCO officials and staff assimilated (Lot 2).
A framework agreement will be established for each lot for an initial period of two years. After this period, the contract may be renewed for another similar period for only once.

Expected Procurement Components

Lot 1: Duty- free alcohols and indirect taxes:

UNESCO in France is exempt from all taxes and duties on wines, champagnes and spirits, including the sales tax and value added tax (VAT), the Service Provider may charge the payment of these taxes to the organization. Prices will be set and reviewed by mutual agreement between UNESCO and the supplier.
UNESCO will provide the Service Provider (the Contractor) with a list of staff members entitled to purchase these alcohols and all relevant documents and information on a global franchise as awarded to UNESCO by the French authorities, to enable him proceeding with free clearance of customs duties.

The Contractor will have to provide a most suitable electronic ordering system to allow smoothest processing and control of individual quotas for wines champagne and spirits. Therefore, the Contractor will have the responsibilities to ensure that persons, who have ordered, appear clearly in the electronic list provided by the Organization and check that officials respect quotas reported for wines, champagne and spirits.

Based on detailed product information (catalogue) made available to all entitled officials and entities by the Contractor, orders will be placed individually. The Contractor makes available to UNESCO- HQ an electronic ordering/ sales site, where each staff member will be invited to visit to perform his/her own drink order.

Payments (through credit cards) will be made individually and directly to the Contractor by the customer. Depending on the ordering system, payments may be required in advance (on-line).
Furthermore,

The site will have a safe payment method (credit card);
The Contractor is fully responsible for update and maintenance of the site;

It is expected that all products listed in the Contractor’s catalogue are available at any time of ordering and that any special offer or promotions by the Contractor will be also extended to the individual customers.

LOT 2: Other consumer goods (perfume, domestic appliances, gifts, clothing, leather goods) subject to VAT.

UNESCO has a Commissary, established at the end of the Second World War with the aim, at that time, of offering to UNESCO staff, faced with serious shortages, goods and staple products at controlled prices. Until 2012, the Commissary also supplied duty-free tobacco, which was taxed in accordance with the privileges granted to the Director-General and UNESCO by the French authorities. In 2012, however, the Ministry of Foreign Affairs informed UNESCO of the end of its duty-free tobacco regime. The decision had serious consequences, as tobacco-related goods represented 27% of the total turnover. In 2014, turnover fell to €570,000 and the operating deficit rose to €197,000. Faced with this issue, UNESCO carried out a study on the available options: closure, internal revitalization and outsourcing.

To date, a total of 2,000 prospective clients, with potential for development, can shop at the Commissary: all UNESCO staff members at Headquarters; retired staff members; members and staff of Permanent Delegations to UNESCO; staff members of United Nations agencies and specialized institutions; members of accredited non-governmental organizations for whom UNESCO provides offices at Headquarters; interns; and visitors.

Outsourcing the Commissary – the subject of this notice – implies finding a potential external buyer ready to take on an activity that is, to date, in deficit, and to provide, preferably, a physical outlet at UNESCO Headquarters selling a range of consumer goods (perfume, domestic appliances, gifts, clothing, leather goods), the prices of which are subject to VAT and determined and revised by mutual agreement between UNESCO and the supplier. The buyer would need to pay rent to UNESCO for the space used (in 2015, the annual price per square metre is €619) and consider the possibility of taking on the Commissary staff. The chosen buyer would have to operate the service with its own employees and, in accordance with article L 1224-1 of the French Labour Law (Code du travail), recruit the Commissary staff required to take over the activity. In 2015, the Commissary employs five permanent staff at a total cost estimated at €235,000 (wages and social security contributions).

Special Procurement Conditions and Additional Information

In order to be considered, interested entities should submit their Expression of Interest including the following information:

Brief presentation of the company including number of staff, turnover related to 2012, 2013 and 2014 and years in business;
Reference list demonstrating qualification for participating in this possible upcoming solicitation process;

Express/ demonstrate potential interest for Lot 1, Lot 2 or for Lots 1 and 2;
Contact information (full name and address, country, telephone and fax numbers, e-mail address, website and contact person)

For Lot 2, describe the main lines on the level of proposed service, products and distribution channels (on-site, on-line, hybrid). In the case of a physical channel information