USDA Awards $916K for Canned Beans to Packers Canning Co. Inc. Under Full and Open Competition

Contract Overview

Contract Amount: $916,030 ($916.0K)

Contractor: Packers Canning CO Inc

Awarding Agency: Department of Agriculture

Start Date: 2025-12-09

End Date: 2026-03-31

Contract Duration: 112 days

Daily Burn Rate: $8.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: COMMODITIES FOR USG FOOD DONATIONS: 2000010963/4100033356/BEANS VEGETARIAN CAN-24/300,BEANS VEGETARIAN CAN-6/10

Place of Performance

Location: LAWTON, VAN BUREN County, MICHIGAN, 49065

State: Michigan Government Spending

Plain-Language Summary

Department of Agriculture obligated $916,029.52 to PACKERS CANNING CO INC for work described as: COMMODITIES FOR USG FOOD DONATIONS: 2000010963/4100033356/BEANS VEGETARIAN CAN-24/300,BEANS VEGETARIAN CAN-6/10 Key points: 1. Contract awarded to a single vendor, Packers Canning Co. Inc., for canned vegetarian beans. 2. The contract utilizes full and open competition, suggesting a competitive bidding process. 3. The primary risk appears to be potential price fluctuations in commodity markets. 4. Spending falls within the Fruit and Vegetable Canning sector.

Value Assessment

Rating: good

The contract value of $916,029.52 for canned beans appears reasonable given the quantity and duration. Benchmarking against similar commodity purchases would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives fair market value.

Taxpayer Impact: The use of competitive bidding aims to secure the best possible prices for taxpayer-funded food donations.

Public Impact

Ensures availability of essential food items for U.S. government food donation programs. Supports domestic agricultural producers and food processing industries. Provides nutritional resources to individuals and families in need.

Waste & Efficiency Indicators

Waste Risk Score: 75 / 10

Warning Flags

Potential for commodity price volatility impacting final cost.
Reliance on a single awardee for a specific product.

Positive Signals

Utilizes competitive bidding process.
Supports domestic food supply chain.
Clear contract duration and delivery schedule.

Sector Analysis

This contract falls within the Fruit and Vegetable Canning sector, a segment of the food processing industry. Spending benchmarks for similar commodity procurements would be necessary for a detailed comparison.

Small Business Impact

While the awardee is identified as Packers Canning Co. Inc., information regarding their small business status or subcontracting plans is not provided in this data. Further analysis would be needed to determine small business participation.

Oversight & Accountability

The contract is managed by the Department of Agriculture's Agricultural Marketing Service, indicating established oversight for food procurement. The definitive contract type suggests a clear agreement with defined terms.

Related Government Programs

Fruit and Vegetable Canning
Department of Agriculture Contracting
Agricultural Marketing Service Programs

Risk Flags

Commodity price volatility.
Potential supply chain disruptions.
Single awardee for specific item.
Limited visibility on small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $916,029.52 to PACKERS CANNING CO INC. COMMODITIES FOR USG FOOD DONATIONS: 2000010963/4100033356/BEANS VEGETARIAN CAN-24/300,BEANS VEGETARIAN CAN-6/10

Who is the contractor on this award?

The obligated recipient is PACKERS CANNING CO INC.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Agricultural Marketing Service).

What is the total obligated amount?

The obligated amount is $916,029.52.

What is the period of performance?

Start: 2025-12-09. End: 2026-03-31.

What is the historical pricing trend for vegetarian canned beans procured by the government?

Analyzing historical pricing data for similar canned bean contracts would reveal if the current award price of $916,029.52 is consistent with past procurements. This would help determine if the government is achieving value for money and identify any significant price escalations or reductions over time.

What are the potential supply chain risks associated with this contract?

Potential supply chain risks include disruptions in bean harvesting or processing due to weather, labor shortages, or transportation issues. Dependence on a single supplier, even if competitively selected, could also pose a risk if unforeseen events impact their production capacity or ability to deliver.

How effectively does this contract support the goals of U.S. food donation programs?

This contract directly supports food donation programs by securing a necessary commodity. The effectiveness hinges on the beans meeting quality standards, timely delivery, and efficient distribution to intended recipients. The competitive award suggests a focus on obtaining these goods at a reasonable cost.

Industry Classification

NAICS: Manufacturing › Fruit and Vegetable Preserving and Specialty Food Manufacturing › Fruit and Vegetable Canning

Product/Service Code: SUBSISTENCE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SEALED BID

Solicitation ID: 123J1426B0490

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 72100 M 40, LAWTON, MI, 49065

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $916,030

Exercised Options: $916,030

Current Obligation: $916,030

Actual Outlays: $119,356

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline