USDA Dairy Products IDIQ 2016

The Department of Agriculture Food and Nutrition Service established this Master IDIQ for dairy products procurement on October 9, 2015, with ordering closed as of December 31, 2016—the vehicle is no longer active and has not accepted new orders for over nine years. All 139 task orders awarded under the vehicle are fully obligated against the combined potential value of $139 million, with the most recent order issued September 20, 2016. The vehicle carried no set-asides; all task orders competed unrestricted.

Ordering activity concentrated heavily in 2016, when the vehicle issued 113 of its 139 total orders after opening with 26 orders in late 2015. Task orders procured mozzarella cheese, with delivery orders ranging from roughly $69,000 to $4.3 million and incorporating fixed-price-with-economic-price-adjustment pricing. Order completion dates clustered around calendar month-ends, suggesting monthly or periodic allocation cycles. Multiple task orders carried Economic Price Adjustment (EPA) provisions, a typical mechanism for commodity dairy products subject to market volatility.

Five firms captured the awards. Leprino Foods Dairy Products Co. led by combined potential value at $50.8 million across 24 orders, while Dairy Farmers Of America, Inc. held the largest order count at 47 orders worth $48.5 million combined. Miceli Dairy Products Co. earned 23 orders ($19.1 million), Bongards Creameries 10 orders ($12 million), and Saputo Cheese USA Inc. 29 orders ($7.6 million). These five firms account for 96 percent of order count and 99 percent of combined potential value; no sixth awardee appears in the task-order data.

The Food and Nutrition Service funded all 139 task orders, representing 100 percent customer concentration. The vehicle existed solely to serve that single customer agency's mozzarella procurement needs during a defined two-year window.