Odisha contractors’ stir intensifies over 'tender policy irregularities'

The agitation by the All Odisha Contractors’ Association in Bhubaneswar has intensified as members continue to protest, alleging irregularities in the state government’s tender policies.

Opposing what they describe as an unfair and impractical bidding system, the association has reportedly launched a demonstration and staged a protest. After holding a mass protest since February 20, the contractors began a strike from today at Lower PMG in Bhubaneswar. 

As per reports, the protest escalated after an official-level meeting held yesterday failed to yield any resolution. In response, the contractors have reportedly suspended various government works across the state, including electrical projects, drinking water supply works, and civil construction activities.

Meanwhile, Works Minister Prithviraj Harichandan has issued an indirect warning over the ongoing agitation. He urged the contractors to reconsider their course of action and cooperate with the government, stating that such cooperation would ultimately benefit them. He made it clear that any forced stoppage of work would not be accepted.

The Minister further cautioned that if anyone is instigating the protest for vested interests, it is the contractors themselves who may face difficulties. Emphasising the authority of elected representatives, he asserted that the government is run by public representatives, not by contractors.

Also Read: Odisha contractors stage protest in Bhubaneswar over ‘irregular’ tender policies, warn of indefinite agitation

"Around 90,000 contractors have joined the protest, and work has been halted across Odisha. The agitation intensified after the government issued a circular on January 3, 2026, abolishing the 14.99 per cent capping system. The revised system allows bids nearly 40 per cent below the market rate, making it financially unviable to execute projects. Despite discussions with the government, no resolution has been reached so far. Under the new guidelines, contractors will be forced to submit extremely low quotations, making it impossible to carry out quality work. As a result, they claim that no project can be executed effectively under the present conditions," said Anil Mahalik, President of All Odisha Contractors’ Association.

"I am making every effort to ensure that this department functions in a transparent and corruption-free manner. We are not prepared to tolerate any obstacles in achieving this goal. If the contractors cooperate with us, they will be able to conduct good business and enhance their credibility," said Works Minister Prithviraj Harichandan.