STC Defends Truck Contract Awarded to Mayur Shibchurn's Firm
The State Trading Corporation says it chose Fresh and Healthy Exotica Ltd as the cheapest of five bidders to deliver ration rice across Mauritius.
Mauritius's State Trading Corporation (STC) has defended its decision to award a truck rental contract to Fresh and Healthy Exotica Ltd, a company run by businessman Mayur Shibchurn, after questions were raised about the selection process.
The STC is a state-owned body responsible for importing and distributing essential commodities in Mauritius, including subsidised ration rice, which is made available to lower-income households across the island at controlled prices.
According to the STC, the contract covers the rental of trucks used to distribute ration rice to points of sale around the country. The corporation says it launched an expression of interest in September 2026, inviting companies to submit proposals for the service.
Five companies responded to the call. The STC says Fresh and Healthy Exotica Ltd was selected because it submitted the lowest-priced offer among all five applicants. The corporation has stressed that the standard procurement process was followed and that the award was made on the basis of cost competitiveness.
The STC has not disclosed the full value of the contract or its duration. It is also unclear whether Fresh and Healthy Exotica Ltd had prior experience in logistics or commodity distribution, or whether the expression of interest included technical criteria beyond price.
The story has attracted attention in part because of Mayur Shibchurn's public profile. Critics have questioned whether proper checks were applied, though no allegation of wrongdoing has been formally made against either the STC or the company.
What this means: Contracts awarded by state bodies in Mauritius are subject to public scrutiny, particularly when they involve well-known individuals or companies with no obvious track record in the relevant sector. The STC's explanation centres on price, which is a legally defensible criterion under Mauritian public procurement rules. However, transparency advocates often argue that lowest-price-only decisions in public tenders can carry risks if technical capacity and service reliability are not equally weighted. For beneficiaries of ration rice distribution, the concern is practical: reliable delivery of subsidised food to communities across the island depends on the contractor performing consistently. The STC has not indicated whether performance guarantees or penalty clauses are built into the contract.
Source: Le Defi Media
Frequently Asked Questions
What is the State Trading Corporation (STC) in Mauritius?β
The State Trading Corporation (STC) is a Mauritian government-owned body responsible for importing and distributing essential commodities such as rice, flour, and petroleum products. It manages the supply of subsidised ration rice, which is sold at controlled prices to eligible lower-income households across the island.
How does public procurement work for STC contracts in Mauritius?β
In Mauritius, public bodies including the STC are governed by the Public Procurement Act, which requires competitive bidding or expressions of interest for contracts above certain thresholds. Awards are meant to follow transparent criteria, which typically include price, technical capacity and past experience, though the weighting of each factor can vary by tender.
What is ration rice in Mauritius and who benefits from it?β
Ration rice is a subsidised food commodity distributed through the STC to lower-income Mauritians at prices below the open market rate. It is sold through authorised retailers and cooperative outlets around the island and forms a key part of the government's social safety net for vulnerable households.
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