CH rice supplier catered to other LGUs
Odessa O. Leyson (The Freeman) - February 12, 2019 - 12:00am

CEBU, Philippines — It is not the first time that Virgilio and Elsa General Merchandise will supply for a local government unit, the establishment’s owner told The Freeman.

Elsa Calo said that since 2009, they have supplied groceries, food, and other goods to Cebu Province, Department of Social Welfare and Development-7, and Mandaue City.

Their contract with the provincial government involved supplying rice to the Cebu Provincial Detention and Rehabilitation Center (CPDRC).

The store has just won a P15 million contract to supply rice to qualified motorcycle-for-hire drivers in Cebu City, but not after going through controversy when, in 2015, the Commission on Audit said it was not a legitimate supplier.

Calo assured the issue with COA has been settled.

“Nangayo raman to siya nako og mga requirements, kato rang performance bond, financial statement ug uban pa (They only asked me to comply with requirements such as performance bond, financial statement, and others),” she said.


Just this year, Virgilio and Elsa General Merchandise became a registered supplier with the Philippine Government Electronic Procurement System (PhilGEPS).

PhilGEP’s website says the company’s status is platinum. This means it has secured all necessary requirements provided by law, including a business registration certificate, mayor’s or business permit, tax clearance, Philippine Contractors Accreditation Board (PCAB) license or registration, and audited financial statements (AFS).

They are also required to submit updated eligibility documents pursuant to Sections 23.1 and 24.1 of the Revised Implementing Rules and Regulations of RA 9184 or Government Procurement Reform Act.

Calo said she visits the PhilGEPS website every now and then to look for bidding opportunities. This was how the establishment was able to join the biddings in different local government units.

“Magbase mi sa posting (PhilGEPS) kay wala man mi kaila sa mga LGUs. Ang basehan namo posting sa PhilGEPS ra gyud. Amo tan-awn if makaya sa assets namo and eligibility (We base it on the PhilGEPS’ posting because we don’t know anyone in the LGUs. Then we check if we are eligible to bid and if our assets can meet the demand),” Calo said.


Virgilio and Elsa General Merchandise began transacting with the city since the term of former mayor Michael Rama.

When Mayor Tomas Osmeña returned to office, the company still supplied goods to the city’s Department of Social Welfare and Services and Cebu City Resource Management and Development Center (CREMDEC).

In 2017, the company’s contract was worth P17.6 million and in 2018, the number rose to P18.1 million.

Calo said their supply of rice is stored at a warehouse in Cabancalan, Mandaue City.

Ronaldo Malacora, head of Cebu City’s Bids and Awards Committee said, the committee reviews all bid documents thoroughly.

“Number one ang business permit, tan-awn nato ang line of business sa mo-apply in a particular procurement. Ikaduha, tan-awn ang previous contract… naka-supply na ba siya og similar contract. With that, og mopasar siya, mahatag na nato nila,” he told The FREEMAN.

Malacora said the committee’s technical working group (TWG) also conducts a surprise visit to the warehouse to ensure that the company is a legitimate supplier.

Virgilio and Elsa General Merchandise is expected to deliver the sacks of rice to the city government once the mayor will sign the purchase order.

Once delivered, the sacks of rice will be stored temporarily at the warehouse of the Department of General Services (DGS) at the South Road Properties. (FREEMAN)

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