Changing Practice
Lotting to attract local supply
Lotting of contracts is used to attract local supply. For example, in the previous iteration of the requirement to supply and fit windows there was a single supplier framework. However, following a review of the market, an alternative approach was implemented in May 2022, with the requirement now fulfilled through individual contracts as follows:
Contract |
Strategy |
Supplier Location |
Annual Spend |
|---|---|---|---|
|
Window Fitting |
Quick Quote with local suppliers (unregulated) |
Based outwith Fife but major Fife depot |
£1.37 million |
|
Survey, Design & Supply and Delivery of Windows & Doors |
Mini-competition from DPS |
Fife |
£2.28 million |
|
Storage and sorting of windows and doors |
Direct negotiation with local supplier (unregulated) |
Fife |
£0.05 million |
|
Communal Doors |
Direct negotiation as result of failed open tender 2021 |
Glasgow |
£0.176 million |
|
Glazing framework |
Open |
Fife |
£0.4 million |
Local Food Procurement
In relation to food procurement a significant portion of spend on food by Fife Council is already with Fife based businesses:
Contract |
Strategy |
Supplier Location |
Annual Spend |
Implementation Date |
|---|---|---|---|---|
|
Food – frozen, chilled, ambient |
Direct call-off (via Scotland Excel framework) |
Fife |
£4.5 million |
October 2022 |
|
Confectionery |
Direct call-off (via Scotland Excel framework) |
Fife |
£0.8 million |
July 2025 |
|
Coffee and related products |
Direct call-off (via Scotland Excel) |
Fife |
£0.15 million |
August 2025 |
|
Fresh Fish |
Direct negotiations with local providers |
Fife |
£0.03 million |
May 2022 |
|
Bakery |
Low value, local sourcing |
Various - local bakers used for small value purchases |
£0.005 million |
|
In addition to the above, and not reflected in Fife Council’s spend figures, the Council encourages their providers to utilise local supply chains and have started to obtain information to quantify impacts. For example:
- Food to Go (pre-packed sandwiches) - The supplier uses local producers within their supply chain and purchase bakery products from a supplier that uses flour from Kirkcaldy. They spend over £1.2 million a year with a Fife wholesaler, who in turn use local producers in their supply chain. Fife Council spend with this supplier is £0.9 million per annum.
- Fresh fruit and vegetables – approx. 10% of produce is sourced from Fife producers, namely root veg and berries (potatoes, unwashed carrots, cabbage, cauliflower, broccoli, asparagus, turnip, brussels sprouts, strawberries, raspberries, blueberries and blackberries).
- Milk – The contractor uses 16 farms within Fife for the milk that they supply to the Council
Fife Council Procurement actively participate in the Fife Partnership wide working group that is tasked with the delivery of the Food for Fife Strategy. Procurement is working with key services to identify opportunities for food swaps, to identify potential local producers and support development to allow their integration into the supply chain. Procurement have also worked with the Council Catering Team to include produce that is locally grown into school menus where possible.
In 2025, Fife Council were in the process of renewing the Sandwiches and ‘Food to Go’ contract. To maximise opportunities for local businesses, the food-to-go contract was promoted to local suppliers and structured into separate lots. While only one local bid was received and it did not meet the required standards, this highlighted that the main barrier for many local suppliers is the SALSA Food Safety accreditation needed to supply pre-packed foods. As part of their community benefits commitment, the successful supplier has agreed to support and train local businesses to achieve this accreditation, helping build local capacity and increase participation in future procurement opportunities. The Procurement Team is currently working with the supplier to implement this initiative. The successful supplier also engages with a local supplier who provides the sandwich fillings, once again supporting local supply chains and businesses.
Transportation Contracts
Another example of extensive lotting/geographical split used by Fife Council is Transportation. The travel and transportation team has encouraged local and/or SME businesses to participate in tendering for transport contracts and has been successful in encouraging growth of bus, coach and taxi operators alike. The team continues to pursue potential new operators to join their Frameworks and Dynamic Purchasing Systems (DPS). Through the DPS suppliers can apply to join at any time and it provides a simple and proportionate entry for suppliers - especially SMEs.
An extended case study on this example is available on the Sustainable Procurement Tools.