Republic of Mauritius · National Assembly2024–2026 · 26ᵉ THERE MAY BE ERRORS OR INCONSISTENCIES Wednesday, 20 May 2026

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Private Notice Question · No. B/428 · Series B Answered

the contract for the procurement of petroleum products from Mercantile & Maritime Group, he will, for the be…

Asked by
Mr Duval
Fourth Member · Port Louis North and Montagne Longue
Addressed to
Commerce and Consumer Protection
Minister of Commerce and Consumer Protection
Sitting
Tuesday, 6 May 2025
Question 34 of 73
The question, as placed

(No. B/428) Mr A. Duval (Fourth Member for Port Louis North & Montagne Longue) asked the Minister of Commerce and Consumer Protection whether, in regard to the contract for the procurement of petroleum products from Mercantile & Maritime Group, he will, for the benefit of the House, obtain from the State Trading Corporation, information as to the terms and conditions thereof, including the financial cost and table a copy thereof.

Deferred from this sitting to: tuesday-06-may-2025

The exchange, in full
Mr Yeung Sik Yuen

Mr Deputy Speaker, Sir, I am informed that on 05 May 2023, the State Trading Corporation (STC) launched an open international bidding exercise for the supply of white oil for the period of 01 August 2023 to 31 July 2024. At opening of bids, on 26 May 2023, seven bids were received wherein the lowest offer was from OQ Trading Ltd. On 07 June 2023, the Board of STC approved that the contract for the supply of white oil, for the period of 01 August 2023 to 31 July 2024, be awarded to OQ Trading Ltd, the lowest substantially responsive bidder. I am further informed that prior to the award of the contract, the STC received a direct offer from Mercantile and Maritime Holdings W.L.L., offering lower premiums on all four categories of white oil products and several competitive advantages, according to the then STC Board and the then government. Following the due diligence done by the STC and the then government, the contract was awarded to the Mercantile & Maritime Group. Mr Deputy Speaker, Sir, I wish to inform the House that a few days ago, at their request, I met with the two representatives of OQ Trading Ltd, in presence of my Permanent Secretary, wherein they informed of disturbing facts with regard to the above-mentioned procurement exercise. This is a matter of concern and gives rise to many doubts regarding the way things were done under the previous government. This gives additional justification as to why a few months ago, Government had requested that the Financial Crimes Commission (FCC) investigate the whole process.

72 In parallel, I have already instructed for an audit exercise to be carried out at the STC and in particular, on all major procurement exercises done for the last ten years. Mr Deputy Speaker, Sir, with respect to the above-mentioned direct procurement exercise for petroleum products from Mercantile and Maritime Group – a) I am advised that the whole procurement process is currently under investigation by FCC, in this regard, I stand advise that it would not be appropriate to disclose the requested details at this stage so as not to prejudice the integrity of the ongoing investigative process; b) in addition, given the ongoing FCC investigation, any tabling of contractual documents is deferred pending the outcome of the said enquiry. I wish to assure the House that my Ministry and the State Trading Corporation are fully cooperating with the relevant authorities and stand committed to upholding transparency, accountability and the rule of law.

The Deputy Speaker

Thank you. The Minister has stated that there is an enquiry at the FCC and we don’t want to prejudice the enquiry. You can put your question but then the Minister will decide whether he wants to answer or not.

Mr A. Duval

Yes, the hon. Minister will remember when he was sitting in the Opposition that this was a subject of a Private Notice Question at the time for making public the contract. The financial cost to this day has never been made public, forget the contract, the financial cost. So, can the Minister at least, like the question asked, give to the people of Mauritius an indication as to the financial cost of this contract, how much was the contract value for, whether it was for the acquisition of petroleum product together with the transport and other cost and what was the amount for that? We have the right to know.

Mr Yeung Sik Yuen

Mr Deputy Speaker, Sir, I believe that the contract was amounted to almost Rs30 billion.

(Interruptions)

The Deputy Speaker

Last question, please!

Mr Jhummun

Mr Deputy Speaker, Sir, I have heard the hon. Minister referring to disturbing facts while he had a meeting with the representatives of OQ Trading. For the

73 benefit of this House and the whole nation, can he tell us what he meant by disturbing facts? Thank you.

Mr Yeung Sik Yuen

M. le président, quand j’ai rencontré les deux représentants de OQ Trading Ltd, j’étais choqué. Ce que les deux représentants m’ont confirmé, ils m’ont dit qu’il y a eu quelqu’un qui a pris contact avec eux depuis Dubaï, ils ont demandé de l’argent en échange…

(Interruptions)

An hon. Member: Voler ! Dan valiz!

Mr Yeung Sik Yuen

Et je suis content d’avoir eu cette question pour que je puisse répondre et puisque OQ Trading n’a pas accédé à la demande de cette personne, malheureusement, il n’a pas eu le contrat.

The Deputy Speaker

Last one!

Mr Beechook

Mr Deputy Speaker, Sir, I wish to ask the Minister whether, it is an established or admissible practice to set aside a tender exercise and go for direct bidding, however low the offer may be, in history or in the usual practice at the STC?

Mr Yeung Sik Yuen

Mr Deputy Speaker, Sir, this is not a good practice as we know how the previous government was working. Everything was possible with them.

The Deputy Speaker

Just one last question!

Mr A. Duval

Mr Deputy Speaker, Sir, may I ask the hon. Minister in the name of change…

(Interruptions)

…does the Minister now undertake, because he has said because of an enquiry, he cannot make it public even though a few months ago he had himself requested that…

The Deputy Speaker

Put your question!

Mr A. Duval

The question is in the name of change; does he undertake to answer Parliamentary Questions for future contracts for the acquisition of petroleum product and to give all details and not to hide behind confidentiality clauses? Do you give that undertaking?

74

Mr Yeung Sik Yuen

I cannot give undertaking or whatever. I will answer whenever it is possible to answer. An hon. Member: Linn diman kas ta!

The Deputy Speaker

Okay! The hon. Third Member for Montagne Blanche and Grand River South East! TROU D’EAU DOUCE VILLAGE – ROAD TRAFFIC CONGESTION – PARKING FACILITIES