Contracts & Investments
Ludhiana media owners seek lower reserve price
It was cited that the tender provisions have to be in tune with the scope of outdoor advertising in the city
During the recent pre-bid tender meeting with Punjab Government, Ludhiana-based media owners have requested for the reserve price to brought down to Rs 10 crore for the media rights tender. A few of the media owners who attended the meeting reckoned that as the total outdoor business in the city adds up to only Rs 12 crore, the reserve price for the tender had to be in tune with the business reality.
Also, construction of fresh infrastructure as per the new ad policy will incur huge costs. The media owners also believe that 75% of the locations identified for outdoor advertising in the city are not viable.
Considering the continuing failure of the current tendering process, the state government has relaxed some of the tender clauses — such as the minimum 3-year experience, which has been deleted, as also the minimum company turnover of Rs 10 crore, which has been reduced to Rs 5 crore.
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