Iraq’s Immediate Need for Used Transit Buses Creates Ideal Opening to Break Into a Long-Term Supply Opportunity with Certain Growth

Iraq’s Ministry of Transportation (MoT) seeks to expand the country’s surface transportation network in a cost-effective means. To that end, the Ministry would like to purchase 200 or more used commercial buses with a capacity of 40 to 60 persons each. The buses must be turnkey: serviceable and capable of running 240,000 Km without additional major service or overhaul.

The buses must deliver sustained operation using fuel locally available in Iraq. A source of spare parts is also necessary to continue bus operations for one year with options for an additional ten years. The Ministry also seeks initial maintenance training to support the buses purchased. Partial delivery of turnkey buses is allowed, however, all buses tendered must be delivered, ready for use, within six months after award of the contract. Delivery is FOB destination at the roll-on roll-off pier at Umm Qasr, in the south of Iraq.

Interested suppliers should note that the Government of Iraq’s funds this year are limited. Aggressive pricing or other creative arrangements (perhaps to involve public-private partnerships based in the U.S. and Iraq), will likely determine which supplier gains the chance to get into the express lane of a growing market. Based on land area, urbanization patterns, demographics and the existing transport infrastructure, Iraq will be requiring transit buses in numbers well in excess of this initial, substantial need in the coming years.

This message constitutes an early invitation to express interest and fashion a creative solution for the Ministry of Transportation, as a formal tender has not yet been released.
The offices of the Transportation (USDOT) and Commercial Counselors (USFCS) are actively supporting the MoT in their sourcing and structuring efforts to meeting their need for used transit buses. Both offices stand ready to provide suppliers of U.S. origin buses with additional information, assistance, and introduction to the MoT decision makers, as well as help obtaining any forthcoming tender documentation. This is an exciting and worthwhile business and developmental opportunity not to be missed.

For further information on some of the most important active tenders in Iraq, American companies and their overseas partners should visit http://www.export.gov/iraq, the Commerce Department’s link to information on rebuilding Iraq, and visit the “Tenders” pages.

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