Bill of Quantities (BOQ)

A Bill of Quantities (BOQ) is a tabular document in a tender that lists every item of work with its unit and quantity, where the bidder fills in a rate for each item to arrive at the total bid value.

What is Bill of Quantities (BOQ)?

The BOQ is the pricing heart of Indian construction procurement. It is a table that lists every item of work the procuring entity needs, along with a unit (such as cubic meter or metric ton) and the estimated quantity. The bidder enters a rate against each item, and the rate multiplied by the quantity gives the amount for that line. The sum of all amounts is the total bid value.

In a two-cover nit, the priced BOQ sits in the financial bid (Cover 2), which stays sealed until the technical evaluation is over. The technical cover often carries an unpriced BOQ, where quantities are acknowledged but no rates are filled, simply to confirm that the bidder accepts the scope. Leaving any item blank in the priced BOQ, or putting any price in the technical cover, can get a bid rejected.

Why BOQ matters for bidders

The BOQ decides whether you win and whether you make money. Pricing too high loses the tender; pricing too low wins it but bleeds cash on execution. Bidders build each rate from material, labour, tools and plant, overhead, and profit, often benchmarked against the government's Schedule of Rates (SoR). Getting the BOQ right is as important as the documents covered in our tender document preparation guide.

Example

A state PWD road tender lists "Earthwork in excavation in all types of soil" at 15,000 Cum. A contractor quotes Rs 150 per Cum, so that line totals Rs 22,50,000. After pricing every item, the contractor's grand total becomes the bid value compared against rivals to decide the L1 (lowest) bidder.

Frequently Asked Questions

What is the difference between a priced and an unpriced BOQ?

A priced BOQ has a unit rate and amount filled in for every item and goes in the financial bid. An unpriced BOQ has the quantities shown but no rates, and goes in the technical bid to confirm you accept the scope. Mixing them up, such as putting prices in the technical cover, leads to rejection.

Should BOQ rates include GST?

Usually no. GST is normally quoted separately and paid by the government over and above your quoted rates, so BOQ rates should be exclusive of GST. Always check the nit, because some tenders specifically ask for inclusive rates instead.

How is each BOQ rate worked out?

Bidders use a rate analysis that breaks each item into material, labour, tools and plant (T&P), then adds overhead and profit. Many compare the result against the relevant Schedule of Rates published by bodies like CPWD or MoRTH. This keeps the rate competitive while still covering actual execution cost.

Does the BOQ matter in a reverse auction?

Yes. The priced BOQ sets your starting financial bid, and in a reverse-auction you then lower your overall price in live rounds to compete for L1. A well-built BOQ tells you how far you can safely drop before the work stops being profitable.

What happens if I leave a BOQ item blank?

Leaving any line item blank in the priced financial bid is a common reason for rejection. The evaluation treats an incomplete BOQ as non-responsive. Fill every item, even low-value ones, and double-check totals before you submit alongside your emd.