BSNL, SBI, Railway Tenders - Low cost is the only criteria for bid winning?

I recently was involved in bidding a project/tender issued by BSNL in Tamil Nadu.

I was very eager to get this tender, and I worked on it very well. Apart from the general preparation of the documents, I have worked on the execution plan and I was very clear on how to execute this project successfully.

I am a customer oriented person and I can produce very high quality result based on my experience and also my abilities. Since we have the support of sana placement services, I can get the contract employees very easily and also we have software folks to support any software needs for this project and also we have good project management skills. Hence it is very highly likely that we can deliver the project successfully. But, unfortunately, we lost the bid, because of someone quoting a cheapest quote.

My question is - how can somebody who quotes dead cheap can deliver high quality? Can Low Cost be associated with High Quality. Since that person is out of station, how can he bring in human resources and how much he/she can invest to make this project successfully.

Irrespective of how much they can invest, Low cost cannot be related with High Quality. Cost should not be the only criteria to select a particular project - or win a bid. BSNL, Railways, SBI and other government associated organization should consider this.

Cost only should not be the consideration for selecting a project winner. This is completely wrong and that will lead to problems while execution. Select who can do the project correctly and deliver it successfully.

Hope this message gets across to appropriate people!!