rinl/vsp/mktg/itd/csa-srilanka/nit 01 january 4, 2018 · rinl/vsp/mktg/itd/csa- sri lanka dt....

RINL/VSP/MKTG/ITD/CSA-SRILANKA/NIT01 January4,2018

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RASHTRIYA ISPAT NIGAM LIMITED VISAKHAPATNAM STEEL PLANT, VISAKHAPATAM, INDIA

(A Govt. of India Enterprise) Marketing Department

International Trade Division, Main Administrative Building Visakhapatnam-530031 (India)

Visit us at www.vizagsteel.com

(Important Notice)

Tenders should be accompanied by EMD of an amount of INR 37.50 Lakhs (USD 59710) (INR Thirty seven lakhs fifty thousand only) / (USD Fifty nine thousand seven hundred and ten only), in the form of Account Payee DD/Pay Order in favour of Rashtriya Ispat Nigam Ltd (RINL) payable at Visakhapatnam or in the form of Bank Guarantee (BG) valid for a minimum period of one year (from BG issue date) as per the format prescribed at Annexure-4 from any Nationalized /Scheduled Commercial Bank in Sri Lanka, through their Branch / Associate Bank in Visakhapatnam and claim payable at Visakhapatnam whose address is to be specified in the Bank Guarantee.


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(A Govt. of India Enterprise)

Marketing Department International Trade Division, Main Administrative Building Visakhapatnam-530031 (India)

Visit us at www.vizagsteel.com

OPEN TENDER

APPOINTMENT OF CONSIGNMENT SALES AGENT AT COLOMBO, SRI LANKA FOR HANDLING, TRANSPORTATION, STORAGE AND SALE OF IRON & STEEL

MATERIALS OF RINL IN SRI LANKA

Tender No. RINL/VSP/MKTG/ITD/CSA-SRI LANKA_DATED 04/01/2018

Sl. DESCRIPTION PAGE NUMBER

1. Notice Inviting Tender 4 to 5 2. Instructions to Tenderer 6 to 11 3. Declaration of Particulars 12 to 13 4. General Conditions of Contract (GCC) 14 to 18 5. Terms & Conditions relevant to Price Bid 19 to 20 6. Terms & Conditions of Contract for ‘Handling, storage

and selling of Iron & Steel Materials 21 to 30

7. Annexure-1 – Integrity Pact Format 31 to 38 8. Annexure-2 – Blank Format of Price Bid (BOQ) 39 to 41 9. Annexure-3 – Form of Agreement 42 to 44 10. Annexure-4-EMD Bank Guarantee Format 45 to 47 11. Annexure-5–BG Format for financial security of material

requisitioned by CSA 48 to 50

12. Annexure-6–BG Format for financial security of material requisitioned by RINL IMO, Colombo

51 to 53

13. Annexure-7-SD Bank Guarantee for Performance of Contract

54 to 57

14. Annexure-8-Check List for Bank Guarantees 58 15. Annexure-9– Proforma for No-Claim Certificate 59 16. Annexure-10–Covering Letter for Submission of Tenders 60 17. Annexure-11– Letter of Acceptance (LOA) 61 to 62


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FREE ISSUE OF TENDER DOCUMENT FROM __05/01/2018

PRE-BID MEETING ON 20/01/2018

FREE ISSUE OF TENDER DOCUMENT ENDS ON 06/02/2018

LAST DATE & TIME OF BID SUBMISSION 07/02/2018 AT 15:00 HRS IST

Head Office

DGM-Marketing-ITD I/c

Marketing Department International Trade Division

C-Block, 1st floor, Main Administration Building Rashtriya Ispat Nigam Limited

Visakhapatnam Steel Plant Visakhapatnam - 530 031 (India)

Phone: 0891-2518226 Fax: 0891-2518316 /2518025

Colombo Office

International Marketing Office Rashtriya Ispat Nigam Limited

Visakhapatnam Steel Plant L05/ELB/01, Level 5, World Trade Centre

Colombo-1, Sri Lanka.


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NOTICE INVITING TENDER (NIT)

OPEN TENDER NOTICE NO. RINL/VSP/MKTG/ITD/CSA- SRI LANKA DT. 04/01/2018 Sealed Tenders in the prescribed form are invited from experienced / established agencies for appointment as Consignment Sales Agent in Colombo, Sri Lanka for handling, transportation, storage and sale of Iron and Steel materials of Rashtriya Ispat Nigam Limited (“RINL”), in Colombo, Sri Lanka. The details are given below:

1. Availability of tender document: The tender documents shall be available Free of Cost at Marketing-International Trade Division, RINL, Visakhapatnam, India from 05/01/2018 to 06/02/2018 and the same can be downloaded from RINL’s website www.vizagsteel.com >tenders>marketing also. RINL shall not be responsible for any difficulty in downloading of clear and complete tender documents from its website. The tenderers shall be deemed to have read and understood the complete tender documents. Any alteration or modification or imposition by the tenderer, which is a deviation to the terms and conditions prescribed by RINL in tender papers, shall be ignored.

2. Last date and time for submission of tenders and scheduled time of opening:

i) Tender documents duly filled in and signed by an authorized person can be submitted up to 3.00 PM on 07/02/2018 in Marketing-International Trade Division, RINL, Visakhapatnam, India at the above address. The following designated officer(s) of Marketing may be contacted for acknowledgement of the offers:

DGM (Mktg) ITD I/c Contact No.+91 891 2518226

ii) Tenders can also be submitted by post/ courier and should reach the above address by

the stipulated date and time mentioned above. The tenderer should mention the “Tender No and Date” on top of the envelope.

iii) RINL will not be responsible for any delay, loss or non-receipt of or incomplete

tender documents within the stipulated date & time.

iv) Opening of tenders: The tenders shall be opened immediately thereafter, in the presence of such tenderers who may wish to be present. Part-A of Offer (Technical Bid) will be opened on the same day on 07/02/2018 in the Office of DGM (Mktg) ITD I/c at the above address. The price bid will be opened at the above address later with intimation to the short-listed tenderers.

3. Tender is to be submitted in the manner as specified in the Instructions to the Tenderers (“ITT”).

4. Contract Period: 2 (Two) years with a provision for extension by 1 (one) more year with mutual consent with the same terms and conditions.


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5. Special Conditions: i) Experience: The tenderers should have prior experience for at least 2 (Two) years

(current/ in any preceding years) in handling Iron and Steel products and should have handled a minimum of 20000MT per year in Sri Lanka.

ii) The tenderers shall be registered with VAT & NBT of Sri Lankan Tax Authorities and should submit a copy of VAT, NBT registrations.

iii) Annual Turnover: The tenderer should have a minimum annual financial turnover value of LKR 21.23Cr in any one of the last 3 (three) financial years. The tenderer shall submit an original certificate issued by Chartered Accountant or copies of Audited Accounts of the tenderer in support of the above.

iv) Land Requirement: The tenderer should be in possession of a single piece of land prior to the date of submission of the tender, measuring minimum 1 (One) Acre of either own or lease for a period of 4 years as detailed in the ITT.

6. Earnest Money Deposit (EMD): The tender document should be submitted with necessary EMD in the form of Account Payee DD/Pay Order in favour of Rashtriya Ispat Nigam Ltd (RINL) payable at Visakhapatnam or in the form of Bank Guarantee (BG) valid for a minimum period of one year (from BG issue date) as detailed in the ITT. (EMD Amount = INR 37.50 lakhs (USD 59710 )

7. The tenderer should submit along with the tender, all the documents mentioned in the tender document.

8. It may be noted that merely by inviting the tenderer to submit the tender, there is absolutely no commitment, implied or otherwise, at this stage from RINL’s side as to award of actual contract and no correspondence in this regard will be entertained by RINL. RINL shall also not be liable in any manner whatsoever, for costs incurred in responding to this invitation.

9. RINL reserves the right to accept or reject any one or all the tenders in part or in full or to accept more than one tender or to cancel the total tender process without assigning any reason thereof and without any liability to RINL and the decision of RINL in the aforesaid matters will be final and binding on all the parties.

DGM (MKTG) – ITD I/c

***


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ANNEXURE-2

INSTRUCTIONS TO TENDERERS (ITT) Appointment of Consignment Sales Agent at Colombo, Sri Lanka, for handling, storage,

transportation and sale of Iron and Steel products of RINL-VSP in Sri Lanka. 1. The Tenderer should read the instructions, terms and conditions and specifically events

of disqualification/rejections clearly. In case the tenderer require any clarification, they should get necessary clarification regarding all technical doubts and other points related to the tender before submitting the tender as no deviation from the tender terms and conditions would be allowed as deviation would be a reason to reject/invalidate the offer. Tenderers are advised to visit the website regularly for any corrigendum before submission of quotes.

2. The Tenderer should duly sign on every page of the tender documents including the Notice Inviting Tender, Instructions to Tenderers, GCC, Form of Agreement, all annexure, Terms and Conditions of Contract along with the rubber seal of the Company/Firm, indicating the name and the status of the signatory and submit the same along with the tender.

3. RINL/VSP intends to appoint Consignment Sales Agent (CSA) at Colombo, Sri Lanka who shall sell minimum 100MTs per month of Iron & Steel Products (Blooms, Billets, WRC, Structurals, etc) in Sri Lanka through Retailers. RINL/VSP also intends to supply Iron and Steel products to the extent of around 5000MT per month for a period of 2 (TWO) years for sale in Sri Lanka. These are the indicative quantities and projected only to enable the tenderer to assess and in arriving at the value of the tender and the approximate facilities and infrastructure required. RINL will not be liable in any way if the actual quantities supplied, vary from the above. RINL also reserves the right not to supply any material in a month.

4. (i) The Tenderer will be offered material on FOB Visakhapatnam Port /FOB Gangavaram Port / Container Freight Station (CFS)-Vizag. RINL has the option to offer the material on CIF (Freight & Insurance Paid) Colombo Port, Sri Lanka basis. In such case the Ocean Freight & Ocean Insurance mentioned below is not applicable. a) Ocean Freight: The tenderer shall quote Ocean Freight from Visakhaptnam Port to

Colombo Port in LKR separately. In case materials are offered at CFS-Vizag, the Ocean Freight charges shall include Charges like hiring of container, stuffing, packing transportation from CFS to Wharf, Stevedoring, documentation at CFS/Port & Insurance for material etc., also. The Ocean Freight charges as above shall be reimbursed by RINL at Tender Rates. (see BOQ).

b) Ocean Insurance Charges: The Tenderer shall quote Ocean Insurance (for Break Bulk) in LKR separately. The Contractor shall be responsible for effecting Insurance for the materials against all possible perils during sea voyage. Beneficiary of the Insurance Policy shall be “RASHTRIYA ISPAT NIGAM LIMITED”. The Ocean Insurance charges shall be reimbursed by RINL at Tender Rates. (see BOQ).

c) Handling Charges: The Tenderer shall quote Handling charges in LKR, inclusive of clearance of material from Customs-Colombo, unloading at Colombo Port, loading & transportation from Colombo Port to ware-house, (removal (De-


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stuffing) from containers, in case of container shipment), unloading at CSA Yard, Storage and Insurance charges and loading to customers vehicles after weighment as detailed in Price Bid. (see BOQ).

(ii) In case material are offered to CSA at CIF Colombo Port, Sri Lanka, charges mentioned at Sl. no. 1(a), 1(b) & 1(c) in Price Bid Format (BOQ) is not payable.

5. The tenderers shall quote their rate for their handling charges, ocean freight and ocean insurance, for the BOQ items as per the Price Bid format (in words and figures) in Annexure-2. In case of any discrepancy between rate quoted in figures and words, the rate quoted in words shall prevail.

6. The tenderer on his own cost shall arrange a warehouse with minimum area of 1 Acre Land (Own/Leased) in Colombo, Sri Lanka with infrastructure as may be required for carrying out the operations for storing & handling the material. Necessary permits / approvals from respective statutory authorities shall be obtained by the tenderer for handling Iron & Steel and acting as CSA in Sri Lanka. The handling charges quoted should be inclusive of these activities and also including charges towards water, power, maintenance or any other charges incurred by the CSA.

7. EMD: Tenders should be accompanied by EMD of an amount of INR 37.50 Lakhs (USD 59710) in the form of Account Payee DD/Pay Order in favour of Rashtriya Ispat Nigam Ltd (RINL) payable at Visakhapatnam or in the form of Bank Guarantee (BG) valid for a minimum period of one year (from BG issue date) as per the format prescribed at Annexure-4 from any Nationalized /Scheduled Commercial Bank in Sri Lanka through their Branch / Associate Bank in Visakhapatnam and claim payable at Visakhapatnam whose address is to be specified in the Bank Guarantee. No other mode payment shall be accepted. Tenders without EMD shall be summarily rejected and PART B of the tender shall be returned unopened.

8. Earnest Money is liable to be forfeited if tenderer.

i) Withdraws or modifies offer in full or part during the offer validity period. ii) Does not accept LOA if placed by RINL

iii) Does not confirm of acceptance of order within the stipulated time after issue of LOA. iv) If information or documents submitted along with the bid are found false or

misleading or fabricated, etc. v) Non submission of Security Deposit within prescribed time.

9. Security Deposit: The successful tenderer shall submit the requisite security deposit (“SD”) for an amount as detailed in the terms & conditions of the contract in the form of Bank Guarantee (BG) as per the prescribed format enclosed. In the case of the successful tenderer, the EMD shall be retained by RINL till SD as stipulated in the contract is submitted. In case the tenderer fails to submit the SD within 30 (thirty) days from the date of issue of LOA, EMD shall be forfeited. In case of the unsuccessful tenderer, EMD shall be returned after finalizing the tender, without any interest.

10. Annual Turnover : The tenderer should have a minimum annual financial turnover value of LKR 21.23Cr in any one of the last 3 (three) financial years. The tenderer shall submit an original certificate issued by Chartered Accountant or copies of Audited Accounts of the tenderer in support of the above.

11. Experience & License: The tenderers should have prior experience for at least 2 (Two) years (current/in any preceding years) in handling Iron and Steel products and should


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have handled a minimum of 20000MT per year in Sri Lanka. Documentary evidence shall be provided to support this in the form of Original experience certificate(s). Handling experience of Scrap shall not be considered.

12. Land Requirement: (i) The tenderer should be in possession of a single piece of land prior to the date of

submission of the tender, measuring minimum 1 (One) Acre either own or lease for a period of 4 years. The tenderer shall submit photocopy of Title Deed in the name of the tenderer in case of own land / Lease / Sub lease deed from the land owner (lessor) for a period covering at least 4 (Four) years from the last date for submission of the offers in favour of the tenderer for usage as Iron and Steel yard (along with a photocopy of title deed in the name of the land owner in both the cases and in case of Sub-lease, photocopy of the parent lease deed, with the lessor) in case of leased land. The tenderer may also submit an unregistered lease deed for minimum period of one year a condition to execute registered lease deed for 4 years within 90 days from the date of LOA.

(ii) The offered land should be located within the Colombo District with proximity to Colombo Port. The CSA yard should have direct and independent access to the highway for dispatch of materials by road to and from the CSA yard.

13. The successful tenderer shall be required to conclude a formal agreement with RINL in the prescribed format on a non-judicial stamp paper of appropriate value purchased at Visakhapatnam.

14. Submission of Tender: The tender submission shall be as follows: a) PART A in a sealed 1st envelope which shall contain the following:

i) Covering letter ii) EMD in form of DD/PO or in form of Bank Guarantee. iii) Tender document issued or downloaded from RINL’s website containing all the

pages shall be duly signed by the tenderer including the Terms and Conditions of Contract as a token of acceptance.

iv) Original experience certificate(s) and other documentary evidence to support the handling experience

v) Details of Annual Turnover as mentioned in para-10 above. (Copies of audited accounts / CA certificate stating the turnover for the last three years).

vi) Copy of Title Deed / Registered Lease Deed / Un-Registered Lease Deed. vii) Declaration of particulars.

viii) All other documents and information, except prices.

b) PART B in a sealed 2nd envelope which shall contain the following:

i) Schedule of rates duly filled in. No conditions should be mentioned in the price bid. This envelope shall be superscribed as Part B of the tender.

The envelope containing the above PART A & PART B shall be kept in a 3rd envelope superscripted with "Tender for Appointment of Consignment Sales Agent at Colombo, Sri Lanka for handling, transportation, storage and sale of Iron and Steel Products”.


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Tender reference No. and Tender Submission Date shall also be mentioned on the envelope.

TENDERER SHALL SUBMIT THE BID ON OR BEFORE DUE DATE SPECIFIED ABOVE, IN SEALED COVERS TO THE ADDRESS CLEARLY SUPER-SCRIBED WITH THE TENDER NUMBER AND DUE DATE FOR SUBMISSION. BIDS SHALL BE SUMMARILY REJECTED IF PART-A AND PART-B ARE SUBMITTED TOGETHER IN THE SAME ENVELOPE.

BIDS SHALL BE DROPPED IN SPECIFIED TENDER BOX ARRANGED FOR THIS TENDER ONLY. RINL WILL NOT BE RESPONSIBLE FOR ANY LOSS OR POSTAL DELAY OR IF TENDERS ARE SUBMITTED IN ANY OTHER TENDER BOXES.

15. The tenderer may, by prior appointment, discuss with the officers of Marketing Department of VSP with a view to study for himself how the CSA yard is envisaged to be set up and operated and familiarize himself with the nature and magnitude of the services required of him including requirement of single piece of 1.00 acre area land. The tenderer or his representative with the necessary authorization letter can be present during the Technical bid opening or pre-bid conference.

16. The tenderer should not alter the Terms and Conditions of Contract and other documents forming part of the Tender Document issued by RINL or downloaded from the website of RINL. Any alteration, modification, or imposition by the tenderer, which is a deviation to the terms and conditions prescribed by RINL in tender papers, shall be ignored.

17. The tenderer while submitting the offer of the Price Part of the Tender shall make no assumption, stipulation, deviations from terms and conditions or presumptions, etc. The liability of obtaining all necessary clarity with respect to the tender, its technical aspects and pricing shall be on the tenderer only and RINL shall be under no obligation whatsoever in this respect.

18. RINL reserves the right either to accept/reject any or all tenders in part or in full or to accept more than one tender or to cancel the tender process without assigning any reason thereof and without any liability to RINL and the decision of RINL in the aforesaid matters will be final and binding on all the parties.

19. No assumption, stipulation, deviations from terms and conditions or presumptions, etc. shall be made by the tenderer while submitting the tender. The liability of obtaining all necessary clarity with respect to the tender, its technical aspects and pricing shall be on the tenderer. RINL shall be under no obligation whatsoever to entertain any tender bid, which is based on any assumption, stipulation, deviations from terms and conditions or presumptions, etc. and would have the obligation to reject such bid at their discretion.

20. Tenders should be kept valid for 120 (one hundred and twenty) days from the last date fixed for submission of offer.

21. Evaluation of the Tender/L-1 rates:

I. Initially PART-A contained in 1st Envelope will be opened. Subsequently after technical evaluation of PART A, PART-B (Price Bid) contained in 2nd envelope of those tenderers who are qualified in PART-A shall be opened on a subsequent date under intimation to all such tenderers. RINL’s decision in this aspect is final.

II. RINL/VSP shall give 10 (Ten) day’s time for further clarification/rectification of any deficiencies in the tender (subject to exceptions mentioned hereinafter) and seek clarifications /confirmations /documents /withdrawal of deviations from the terms and conditions of contract without any revision in prices. Any deficiency in the


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documents submitted shall be allowed to be rectified within 10 (Ten) days from the date of such first written communication to the tenderer. However the experience, Turnover, and title deed (in case of own/lease land) prevailing as on TOD shall only be considered. In case of failure to rectify the deficiencies within 10 (Ten) day’s time, the tender would be rejected summarily and Part-B (Price Part) of tender would be returned unopened and EMD would be refunded/returned. In case none of the tenderers rectify the deficiencies within 10 (Ten) days time, RINL/VSP reserves the right to give further time at its sole discretion.

III. A comparative statement shall be made by indicating the rates quoted by various tenderers as at 14(b) above, based on which the status of tenderers shall be arrived at and contract shall be awarded to L-1 tenderer. However, RINL has right to disqualify any tender / tenders during evaluation.

22. Pre-Bid Conference: RINL shall convene a Pre-bid Conference on 20/01/2018 at 11.00 AM to clarify queries, if any to the tenderers. During the Pre- bid conference or even otherwise the tenderers may discuss with the officers of Marketing Department of VSP with a view to ascertain himself how the CSA Stockyard is envisaged to be set up and operated and familiarize himself with the nature and magnitude of the services required of him including requirement of land, weighbridge, etc. By submitting a quotation, the tenderer will be deemed to have fully familiarized himself with and considered the scope of work, working conditions, labour laws including terms and conditions of contract forming part of the Tender Documents. Attending the Pre-bid conference is not mandatory for the tenderers. Also, RINL shall not be responsible for the ignorance of the tenderer in submitting tenders without proper data or documents or with insufficient/wrong/contradictory documents or information irrespective of the fact of him/her having attended/not attended the pre-bid conference

23. Tenderers shall comply with all statutory provisions as required by Government of Sri Lanka, w.r.t taxes, labour, safety and other relevant aspects. RINL shall not take any responsibility for any default by the tenderer regarding these aspects. The tenderers shall indemnify and keep indemnified RINL regarding this.

25. The tenderer should not be an Individual. The bidder may be a Government Organization or Public Sector Undertaking or Registered Partnership Firm or Limited Company or Private Limited or limited liability partnership in Sri Lanka. Relevant documents of registration (including Certificate of Incorporation, Memorandum of Association and Articles of Association etc) should be submitted. Tie-ups/JVs/Consortia are not allowed.

26. The tenderer should have qualified team of personnel and should be able to deploy for executing the work once tender is awarded.

27. The tenderer should be in a position to deploy sufficient number of tyre mounted mobile cranes, trailers / trucks, other ancillary equipments and manpower to carry out the handling and storage functions envisaged in the CSA yard.

28. The tenderer should install suitable Weighbridge in the yard. In case CSA is unable to provide weighbridge in the yard, RINL may consider use of a public weighbridge available close to the CSA yard subject to compliance with statutory requirements of Government of Sri Lanka. Charges for using the public weighbridge shall be borne by the CSA.

29. The tenderer should submit to the Company a list of all equipment proposed to be deployed by him for the subject work, along with all details. The Company may decide to inspect the cranes and other equipment physically to assess their fitness and availability.


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30. The estimated quantities mentioned in the annexure to Schedule of rates are purely indicative and projected only for the purpose of evaluation of tenders and for enabling the tenderer in arriving at the approximate facilities required to be provided by him. RINL shall not be liable in any way if the actual quantities differ from the above.

31. Only the tenderers having the necessary experience / qualification etc. should participate in the tender.

32. Tenders incompletely / incorrectly filled in and not accompanied by all the documents called for shall be liable for rejection. The tenderer should be in a position to produce originals of all the above documents after opening of the Price Bids if he is successful. Failure to produce the originals at this stage in support of the attested copies of the above documents submitted earlier would result in disqualification and forfeiture of EMD.

33. If it comes to the notice of VSP at any stage right from request for enlistment/tender document that any of the certificate/documents submitted by applicants for enlistment or by bidders are found to be false/fake/doctored, they will be debarred from participation in all VSP tenders for a period of 5 years including termination of contract, if awarded. EMD/Security Deposit etc, if any will be forfeited. The Contracting Agency in such cases shall make good to VSP any loss or damage resulting from such termination. Contracts in operation anywhere in VSP will also be terminated with attendant fallouts like forfeiture of EMD/Security deposit, if any, and recovery of risk and cost charges etc. Decision of VSP Management will be final and binding.

34. RINL/VSP reserves the right to accept / reject any or all tenders either in part or in full or split up and award the work to more than one agency without assigning any reasons thereof and without any liability to Rashtriya Ispat Nigam Limited.

***0***


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(A Govt. of India Enterprise) Marketing Department

International Trade Division, Main Administrative Building Visakhapatnam-530031 (India) Visit us at www.vizagsteel.com

DECLARATION OF PARTICULARS BY THE TENDERER

1. Details of the Tenderer: A. In case of Partnership Firms

i)Full Name, Address and Share of each Partner

ii)Attested copy of Partnership Deed & Registration Certificate enclosed (*)

iii) Particulars of Registration of the firm under the Partnership Act.:

B. In case of Companies

i) Date of Registration, including Date of Commencement Certificate in case of Public Companies (Certified copies of Articles and Memoran-dum of Association and Certificate of Incorporation / Commencement of Business to be enclosed)(*)

ii) Nature of business and provision of Memorandum of Association thereto

iii) Name, particulars and address of all the Directors

iv) Authorized, Subscribed and Paid up capital

2. Turnover during each of the preceding 3 (Three) financial years (Copies of audited accounts or certificate from chartered accountant or certificate from chartered accountant to be enclosed. In case of recently incorporated firms/agencies, the same can be submitted for the period they are applica-ble.

Year Total Turnover in LKR

Sales Turnover in LKR

Types of Good Sold

2016-17 2015-16 2014-15

3. Are Partners / Directors of the applicant having any relatives working in RINL, VSP ? If so, furnish details

4. Name and Address of Bankers

5. Willingness to furnish Security in the form of Bank Guarantee from a Scheduled Bank covering the full value of materials likely to be entrusted to you and for due fulfillment of Contract

6. Are you under liquidation or court Receivership or similar Proceedings.

7. Are you debarred from participation in tenders by Government Departments and Public Sector Undertakings

8. Have you got land for the purpose envisaged in the tender?

a) Do you own this land or do you hold it under a lease? :


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b) Is it in your possession at present

c) Is it being utilized for any other purpose, If so details

d) Give details of location, shape and dimensions (Plan/sketch Indicating landmarks, survey numbers etc for identification to be provided(*)

e) Is it a levelled land

f) Is there any covered godown or office on the land, if so give details and dimensions

g) Are there roads in the land for smooth movement of trucks/trailers/mobile cranes

h) How much material can be stacked at a time in the open and covered godown (if any)

9. Have you got a road weighbridge? Indicate make, capacity and date of last certification by Weights and Measures Department

10. If you do not have a road weighbridge, do you propose to install one ? If not, indicate the alternative arrangement for weighbridge.

11. Do you have any other weighing equipment like weighing scales? Give details.

12. Do you own any crane capable of handling the heavy consignments of Iron and Steel? Furnish details of make, capacity, registration no. etc

13. For balance, how do you propose to mobilize them?

14. Do you own any trucks/trailers/forklifts etc? If so, furnish details of make, capacity registration no. etc. (If the tenderer is not owning the same the tenderer shall indicate the plan for mobilizing them)(*)

15. Do you have adequate labour and supervisory personnel to carry out simultaneously all operations like unloading from vessel, containers, trucks, trailers, transportation from siding to the stacking point, stacking, weighment, cutting, bending, delivery, watch and ward and all related clerical / book keeping work.

16. Are you registered with NBT, VAT Authorities (Copy of Registration Certificate) (*)

17. Have you submitted an undertaking mentioning that the land offered is suitable in all respects for handling of Iron and Steel Materials and that all necessary Statutory and Regulatory requirements for usage of land for commercial/ industrial use shall be fulfilled before commencement of operations

18. Have you submitted an undertaking that there is no employer-employee relationship between RINL and the Tenderer (refer clause 10 of GCC)

(*)In case the same is not available, letter of undertaking to furnish the same before issue of Letter of Acceptance shall be submitted.

For ____________________________

Signature ____________________________

Full Name____________________________

Date: Seal/Rubber Stamp


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GENERAL CONDITIONS OF CONTRACT (GCC) TERMS AND CONDITIONS

(Forming part of Technical Bid) 1. GENERAL GUIDELINES

a. Tender should be submitted in the prescribed format only. b. Every tender must be strictly in accordance with the conditions and specifications prescribed by RINL.

Special conditions (if any) submitted along with the tender documents by the bidder will not be accepted and/or applicable to this tender.

c. All entries in the tender must be written in permanent ink or typewritten without use of eraser or overwriting. Corrections if any, should be attested under the full signature of the tenderer.

d. Bidders are required to paginate all the pages being appended by them as part of submission to the technical bid. Such numbering shall include, covering letter, technical specifications, bid qualification proof, testimonials, compliance or deviation statements, etc. as applicable to this tender and create an index page with headings and corresponding page numbers. In addition to this, all pages of the tender documents issued by RINL shall be signed on all pages.

e. The tenderer or their representatives with necessary authorisation letter can be present during the technical bid opening or pre-bid conference.

2. COMMERICIAL TERMS

a) PERFORMANCE BANK GUARANTEE

Performance BG for due fulfilment of Contract for INR 5,00,000 (USD 7961)

b) FINANCIAL ARRANGMENT BG FOR MATERIAL REQUISITIONED BY CSA.

Financial Arrangement BG for INR 30,00,000 (USD 47770) for Security of Material to be dispatched against materials requisitioned by CSA. (RINL shall dispatch to CSA in such a manner that the total value of the material lying with CSA including taxes, value of material that is in transit and amounts outstanding from CSA on account of sales proceeds, does not exceed the value of BG furnished). If CSA wants more material the value of BG has to be enhanced proportionately.

c) FINANCIAL ARRANGEMNT BG FOR MATERIAL REQUISITIONED BY RINL IMO,

COLOMBO.

Financial Arrangement BG for value INR 2.68Cr (USD 426690 ) for financial coverage for the material despatched to Sri Lanka, as per requisition of IMO, Colombo. RINL intends to despatch 5000 MTs per month against the above Bank Guarantee to CSA warehouse, for sale against orders procured / MOUs signed by RINL IMO, Colombo.

d) The successful tenderer shall have to establish the Bank Guarantees through any Nationalized Bank /

Scheduled Bank in Sri Lanka through their Branch / Associate Bank in Visakhapatnam and claims payable at Visakhapatnam, whose address also to be specified in the BG. The Bank Guarantee will be valid for 3 years, renewable by one more year in the event of contract being extended by one more year.

e) Payment mode

RINL has introduced electronic payment system and all payments shall be through electronic mode (RTGS/NEFT). Therefore, tenderers are requested to furnish the relevant details in this regard. Any change in the particulars shall be immediately informed to RINL.

RINL is entitled without being bound to do so, to adjust the whole or any portion of the security deposit towards the recovery of any amount due to RINL from the successful tenderer. The Security Deposit or such portion thereof that has not been adjusted towards recovery of amount due from the successful tenderer, will be refunded on satisfactory completion of the contract.


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If it is found that a bidder/Contractor has furnished fraudulent information / documents, the Bid Security/Performance Security shall be forfeited and the party shall be debarred for a period of 3 (three) years from the date of detection of such fraudulent act besides the legal action.

3. INSPECTION/ OPERATION CONTRACT: RINL shall have free access to visit the bidder’s premises or work area where the job/services are taking place and or inspect the same. The successful tenderer will be responsible for quality of all the services/job always under valid permits/as authorized by RINL.

4. SUB-LEASING/OPERATION OF CONTRACT

The successful tenderer shall not be allowed to sublet or assign the benefits of the tender placed on them by RINL to any other party without prior written consent of RINL.

5. CANCELLATION / TERMINATION RINL shall be at liberty to cancel the tender forthwith at any time under the following conditions.

a. If the successful tenderer shall commit a breach of any of the conditions stipulated in the tender

documents and fail to remedy such breach within 4 (four) days of the receipt of the written notice from RINL in this regard.

b. Upon

i. The death or adjudication as insolvent of the successful tenderer, if he/she be an individual. ii. The liquidation, whether voluntary or passing of the effective resolution for winding up of the

successful tenderer if it be a company.

c. If any successful tenderer or any partner in the firm of the successful tenderer shall be convicted of any criminal offence.

d. If a receiver is appointed of any property or assets of the successful tenderer.

e. If the work/ services are no more required by RINL.

f. If the license issued to the successful tenderer by the relevant authorities for modification filling and

storage of product supplied by RINL is cancelled or revoked.

g. If the successful tender deliberately contaminates or tempers with quality or product supplied by RINL.

h. RINL will be at liberty to short close the contract work order without assigning any reason whatsoever

by giving a notice of 1 (One) month. i. Specified delivery schedule/ completion period is not adhered to beyond 3 (three) months from due

date unless specifically agreed by RINL. j. Laid down specifications are not adhered to or when the performance of the contract is unsatisfactory. k. Major contractual terms and conditions are violated insolvency of the supplier.

6. RINL’s right to cancel the contract under the terms, aforesaid shall be without prejudice to any of its other rights and remedies against the successful tenderer in the event of RINL cancelling the contract, it shall not be liable to pay for any loss or compensation in respect of such cancellation.

7. CORRECTNESS OF DOCUMENT It shall be understood that every endeavors has been made to avoid error which can materially affect the basis of this tender and the successful tenderer shall take upon himself and provide for risk of any error which any subsequently be discovered and shall make no subsequent claim on account thereof no advantage is to be taken by the tenderer successful Or otherwise of any clerical error of mistake which may occur in the general specification, schedules, plans of tender forms supplied to the tenderer.


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8. FORCE MAJEURE CLAUSE If at any item during the continuance of the contract the performance in whole or part by either party of any obligation under the contract shall be prevented or delayed by reasons of war, hostility acts of public enemy, civil commotion, sabotage, fires, floods, explosions, epidemics, quarantine restrictions, strikes, lockouts or acts of God (hereinafter referred to as events) then provided notice of the happenings of any such events if given by either party or the other within 21 (twenty-one) days from the date of occurrence thereof, neither party shall by reasons of such event, be entitled to terminate the contract nor shall either party have any claim for damage against whether in respect of such non-performance or delay in performance. Deliveries or acceptance of deliveries under the contract shall be resumed as soon as practicable after such event has come to an end or ceased to exist and the decision of the RINL as to whether the storage or deliveries or acceptance of deliveries have to be so resumed or not shall be final and conclusive provided further if the performance in whole or part or any obligation under the contract is prevented or delayed by reasons of any such event for period exceeding 60 (sixty) days either party may at its option terminate the contract.

9. RISK PURCHASE CLAUSE In the event of bidder does not meet the LOA/Work-order placed by RINL with in the stipulated time, then RINL would be free to use the services of any others and recover the difference in such services and additional expenses incurred by the RINL from the bidder.

10. MANPOWER EMPLOYED BY TENDERER The successful tenderer shall deploy adequate staff of the requisite competence that may be required for meeting the scope of services/work called for. It is hereby specifically agreed that the responsibility for the employment of staff and their salary, wages remuneration, etc., shall be the sole responsibility of the successful tenderer and that RINL shall not be responsible in any manner directly or indirectly for such employment or expenses so incurred by successful tenderer thereof. Successful tenderer shall give a declaration to this effect.

It is understood and agreed that there is no employer- employee relationship between RINL and the tenderer AND /or tenderer’s employees in any way whatsoever and the contractor shall be the ‘Employer’ within the meaning of different labour legislations in respect of workmen employed by the tenderer. The tenderer must carry on their business or occupation as Independent Contractors and this point shall be made clear in writing to all persons engaged by the Contractor before engagement of the person/s.

11. COPY RIGHT / TRADE MARK OF RINL RELATED DISCIPLINE The successful tenderer shall not infringe, copy, imitate or otherwise deal with brand name, trade or merchandise marks or devices of design or copyright belonging to RINL entitled to use or otherwise alter, deface or interface with the same or pass of other goods or describe others goods as the same as that of RINL or having been manufactured of RINL of otherwise prejudice alter or affect the copyright, trade or merchandise marks or certified packing or design or colour of the RINL's labels or specification or the price or weight or other codification that is marked on the packing or caused to be given by RINL, it is expressly agreed that all trademarks, design and copyright shall vest in RINL, and nothing contained in this offer shall have the effect of creating any right, title or interest in respect of the successful tenderer.

12. BUSINESS SECRET/MARKETING DISCIPLINE It is hereby specifically agreed by the successful tenderer that this clause shall be deemed to be a condition going to the root of this offer, that the successful tenderer shall not at any time during the subsistence of this contract or any time after its termination, call itself or hold out itself, advertise in any manner whatsoever by publication or otherwise, by printing, in writing or by any visual representation, either in its letter heads or newspaper or magazines or leaflets, or by broadcasts over radio or by television or by any other media communication or In any manner whatsoever other than the appropriate Government Authorities to the extent necessary unless so permitted in writing by RINL. The successful tenderer hereby agrees and undertakes not to disclose to any party whatsoever any formulate blend order, specifications, trade secrets, marketing projection or intelligence or any other data or information and shall keep absolute secrecy in all matters pertaining to this offer, all correspondence relating thereto, all instructions given or anything having any relevance with the offer on any matter touching or arising out of this arrangement including the Books, Accounts, papers and correspondence and shall keep strictest secrecy and confidence thereto to any person whomsoever other than appropriate Government Authorities to the extent necessary, unless directed to do so by RINL in writing.


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13. Settlement of Disputes by Arbitration : 13.1 Any dispute, difference, question or disagreement arising out of this Tender shall be referred to

arbitration under the provisions of the Arbitration and conciliation Act, 1996 and any statutory modifications or re-enactment thereof. A party wishing to commence arbitration proceeding shall invoke Arbitration Clause by giving 60 days’ notice to the other party. The notice invoking arbitration shall specify all the points of disputes with details of the amount claimed to be referred to arbitration at the time of invocation of arbitration and not thereafter. If the claim is in foreign currency, the claimant shall indicate its value in Indian Rupee for constitution of the arbitral tribunal.

13.2 For a claim amount (excluding claim for interest and counter claim, if any), exceeding Rs. 5 crores,

parties shall appoint three arbitrators - One arbitrator by each party and the 3rd arbitrator, who shall be the presiding arbitrator, by the two arbitrators. For matters of a claim amount less than Rs. 5 crores, parties shall appoint only 1 arbitrator.

13.3 The arbitration proceedings shall be conducted in Vishakhapatnam in India and the language of arbi-

tration proceedings and that of all documents and communications between the parties shall be Eng-lish.

1 13.4 The fee of the Arbitrator shall be as per Schedule of fee fixed by ICA, New Delhi in force. Apart from

the above fee the arbitrator shall be entitled to actual expenses towards traveling, accommodation and local transport. In addition to the above, secretarial assistance shall be paid subject to a maximum of Rs 10,000/. However, this shall not include the expenses which are incurred during the hearings held where the actual expenses incurred for recording evidence, drawing minutes of the proceedings etc. which shall be shared by both parties.

14. JURISDICTION The tenderer hereby agrees that the Courts situated in Visakhapatnam (India) alone shall have the Jurisdiction to hear and determine all actions and proceedings arising out of any issues arising out of this tender.

15. Any party or its associated company if had been in the holiday list / Black-listed by any Central / State Government agencies or any Central / State PSU company and such name appears in the list of the above mentioned central / state Government agencies or central / state PSUs as on date is disqualified and would not be considered. A self-certified copy to this effect/ or an affidavit that the vendor is not black listed by above mentioned Agencies is required to be produced, if called for by RINL, in the event of award of work order.

16. Originals of the qualifying documents should be produced as and when asked for verification, and failure to produce such Original document/s at specified date, time and place would mean rejection of tender for further evaluation.

17. RINL reserves the right to accept or reject any or all tenders and at any stage of the tender evaluation process at the RINL's sole discretion and without assigning any reason thereof.

18. This shall be read in conjunction with the General Conditions of Contract, Scope of work, specifications of work, drawings and any other document forming part of this contract wherever the context so requires.

19. Notwithstanding the sub divisions of the document into these separate sections and volumes every part of each shall be deemed to be supplementary to and complementary of every other part and shall be read with and into the contract so far as it may be practicable to do so.

20. Where any portion of the Special Conditions of Contract (SCC) is repugnant to or at variance with any provisions of the General Conditions of Contract them unless a different intention appears. the provision of the Special Conditions of Contract shall be deemed to override the provisions of the General Conditions of Contract only to the extent such or variations in the Special Conditions of Contract as not possible of being reconciled repugnancy with the provisions of General Conditions of Contract.

21. Wherever it is stated anywhere in this tender document that such and such a supply is to be effected or such and such a work is to be carried out, it shall be understood that the same shall be effected/carried out by the contractor at his own cost, unless a different intention is specifically and expressly stated herein or otherwise explicit from the context.

22. The materials, design and workmanship shall satisfy the relevant Indian Standards, the Technical Specifications contained herein and codes referred to. Where the job specifications stipulate requirements in addition to job contained in the standard codes and specifications, these additional requirements shall also be satisfied.


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23. In case of an irreconcilable conflict between Indian or other applicable standards. General Conditions of Contract, Special Conditions of Contact, Specifications, Drawings and/or Schedule of Rates, the following shall prevail to the extent of such irreconcilable conflict in order of precedence. i) Letter of Acceptance along with Statement of Agreed Variations, Schedule of Rates and ii) Purchase Order iii) Special Conditions of Contract iv) Technical Specifications v) Job or Specifications vi) Drawings vii) Indian Standards viii) Other applicable Standards ix) General Conditions of Contract

24. It will be the bidder's responsibility to bring to the notice of RINL any irreconcilable conflict in the Contract documents before starting the work(s) or marking the supply regarding which the conflict exists.

25. In the absence of any specifications covering any material, design or work(s) the same shall be performed or supplied or executed in accordance with standard engineering practice as per the instructions or directions of RINL, which will be binding on the bidder.

26. BURGLARY INSURANCE The CSA shall at its own cost take out from a suitable insurance company in Sri Lanka a burglary insurance to cover the risk of burglary in respect of material kept inside the warehouse. The value of the Burglary Insurance = The highest selling price PMT fixed by RINL for IMO, Colombo, in the preceding month of CSA’s application for obtaining the Burglary insurance policy x Indicative handling quantity for one year period. The insurance value will be monitored on yearly basis by the Company by considering 12 months average month end stock and any due adjustments will be done while renewing the insurance policy. The beneficiary of the Insurance Policy shall be RINL.


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TERMS AND CONDITIONS RELEVANT FOR PRICE BID

1. RINL shall pay to the Consignment Sales Agent as per this schedule of rates for the operations described herein carried out on the specific written instructions of the Company covering all the points mentioned in the descriptions as per Terms and Conditions of Contract and ITT.

2. The rate indicated against each item will be for the complete work and will be deemed to include the cost of all manpower, materials, consumables, labour, tools, tackles, plant, cranes, machinery, trucks, trailers, equipment and any service required from external consultants for due performance of the work as per instruction of the Company or its authorized representative.

3. The Company shall disallow amounts as it may deem fit from the rates in the Schedule of Rates for non - performance of any operation and other operations covered as per terms and conditions of this tender.

4. Bidders shall submit their price in the above table only. Price mentioned in figures shall be repeated in words. All words and figures in the format shall be clearly entered, without any alterations/ over writings. In the event of a discrepancy between the amount stated in figures and in words, the price quoted in words shall be deemed to be the correct amount and considered for Price Bid evaluation.

5. Bidders to quote in Sri Lankan Rupee (LKR) Only.

6. Bidders shall not mention any other conditions or assumptions in this Price Bid document.

7. Prices furnished anywhere else in the bid shall not be considered.

8. The price quoted by the bidder should include all the costs/expenses/allowances which bidder may incur whether for the purpose of securing the bid or performing the services or for any other matter including but not limited to cost/expense/allowance related to manpower, establishment, Project related travel, lodging, boarding and out of pocket expenses for the personnel employed / to be employed by the Bidder / consulting firm, and other costs including costs toward carrying out any survey/study or presentation to concerned management / authority etc. as per the scope of work specified, complete in all respects, as per the directions of job in-charge.

9. Once the quotation is accepted and the order placed on the successful bidder, the Price shall be valid till completion of the entire Job, as per the scope of work specified, complete in all respects, as per the directions of job in-charge.

10. Bidder shall be solely responsible for ascertaining all such levies applicable for providing the services as mentioned in the scope of work in arriving at the price quoted above.

11. Legal compliance: Statutory compliance requirements with respect to levies/ taxes, cesses etc shall be responsibility of the Bidder

12. RINL reserves the right to seek further information and documents as it may consider necessary for the purpose of complying with Tax withholding provisions.

13. If bidder believes that statutory deduction is made by RINL at a rate higher than statutory provisions, then it can exercise its remedy under relevant law for claiming refund from relevant statutory authority. In no case shall be bidder have recourse to RINL on account of such alleged / established higher than statutorily permissible deduction.

14. The Bidder shall be wholly & exclusively responsible for any incidence of personal income tax including filing of Tax Return, if any, on the bidders Employees/Associates etc. who may work on this assignment. RINL is in no way responsible for any such taxes.

15. If there is any inconsistency between the terms contained in this Price Bid Document and the terms/ conditions in the tender, these terms and conditions of the Price Bid Document shall prevail.


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16. If at the time of opening of Price Bid, they are found to be incomplete, ambiguous, or not in compliance with the Bidding process or the Bids having any deviation from any of the preceding clauses, they shall be rejected and not be considered for evaluation. The EMD of such bidder would be forfeited and in case the information or document provided along with the bid is found to be false or misleading or fabricated, then RINL would have the right to blacklist the bidder for future bidding process.

17. If anytime during the period of the contract, it is found by or revealed to RINL that the information or document provided along with the bid is found to be false or misleading or fabricated or was not in conformity with the terms and conditions mentioned in this Price Bid Document, then not only would the contract be terminated but also the bank guarantee provided by the bidder would be forfeited and RINL shall have the option to exercise any other legal rights available under Indian law to make good its losses. In such an event the said bidder will also be blacklisted for any future bidding. In the event of Indian Tax Authorities seeking any details of the Contract/Payments made etc. pursuant to this tender materializing into a Contract, it would be disclosed and such disclosure should not be seen as breach of privacy / confidentiality.

(Signature of Tender Issuing Authority) (Signature and seal of the tenderer)


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TERMS AND CONDITIONS OF CONTRACT FOR HANDLING, TRANSPORTATION, STORAGE AND SELLING OF IRON AND STEEL MATERIALS BY CONSIGNMENT SALES AGENT (CSA), IN SRI LANKA.

1.0 Definitions & Interpretation In the Contract, the following words and expressions shall have the meaning hereby assigned to

them except where the context otherwise requires:

(a) The “Company” shall mean Rashtriya Ispat Nigam Limited, Visakhapatnam Steel Plant with its Registered Office at Main Administrative Building, Visakhapatnam-530031 (AP) and includes its representatives, successors and assigns.

(b) The “Consignment Sales Agent / CSA” shall mean the person / persons / firm or Company whose tender has been accepted by the Company and includes the CSA’s representatives, successors and permitted assignees.

(c) The “Yard” shall mean the Stockyard / Warehouse of the CSA approved by the Company for storage of Company’s materials.

(d) The “Company’s materials” / “materials” shall mean Iron and Steel materials dispatched from Company’s Plant at Visakhapatnam and/or other materials procured by the Company from other sources.

(e) The “Branch Sales Office (BSO)” / “Branch Office”/”International Marketing Office (IMO)” shall mean the office of the Company assigned to control the sale of materials from the said yard.

(f) The “Retailers” shall means Traders / Manufacturers / Re-Rollers registered in Sri Lanka who purchase material for re-sale or further re-processing.

1.1 Incharge IMO, Colombo will be the Engineer-In Charge of the Contract. Decision of Engineer-In Charge will be final in all issues pertaining to operation of the Contract.

1.2 For the sales effected under this scheme, the Company shall be the Principal and the CSA shall be the Agent.

2.0 Service terms

2.1 The CSA shall use the following header on all transaction papers / registers / documents or records related to the sale of Company’s material through him.

“Consignment Sales Agent of Rashtriya Ispat Nigam Limited in Colombo, Sri Lanka” 2.2 The CSA shall arrange at his own cost, the land (own / leased) of area of minimum 1.00 acre (one

acre) with infrastructure for handling of Iron and Steel materials as may be required for carrying out the operations to the Company’s satisfaction. Suitable Office building shall be provided at the yard and suitable computer system along with printers should be provided with internet connectivity to RINL ERP system. CSA is also responsible for maintenance of hardware and software including RINL’s Marketing package. The land offered for CSA shall be worthy of stacking Iron and Steel materials. The CSA is responsible for any loss or damage that accrues to the Company due to the stockyard conditions. The infrastructure facilities if not existing at the time of tendering, shall be developed within 3 (three) months from the date of 'Letter of Acceptance' (LOA), issued by Company. The supplies to the CSA shall commence at the discretion of the Company only after the infrastructural facilities are provided by the CSA.

2.3 The CSA yard shall be based in Colombo district, Sri Lanka and shall work closely with RINL’s International Marketing Office (IMO). The materials ordered/indented by CSA and the materials dispatched by RINL for its own sales, shall be separately stacked with proper identity.

2.4 The CSA shall assume full responsibility from Visakhapatnam Port and with respect to custom clearance of materials from Colombo Port, unloading of materials, transportation and stacking of


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materials in its warehouse as well as loading of materials in Customer’s vehicles.

2.5 The CSA shall also provide handling / transportation services using his equipment (own / hired) including but not limited to mobile cranes capable of handling heavy consignments of Iron and Steel materials, requisite number of trucks / trailers and requisite labour. CSA shall appoint Registered Traders, Manufacturers, Re-Rollers as ‘Retailers’ with the approval of RINL, to whom the materials are proposed to be sold. The Handling Charges for such sales shall be as per the BOQ rates quoted by the CSA. RINL shall also appoint Retailers directly in Sri Lanka and sign MOUs with such customers. For orders procured by RINL, Handling Charges for such sales shall be as per the BOQ rates quoted by the CSA as the sales are undertaken by RINL.

2.6 CSA shall also make best endeavors in assisting RINL to get samples of RINL finished products (TMT Rebars, Wire Rods, Rounds etc.,) cleared and approved by the Sri Lanka Standards Institution (SLSI) if required, prior to making any sales in Retail or Project sector in Sri Lanka, through registered Retailers. The charges related to be above shall be borne by RINL.

2.7 Based on discussions and instructions issued by RINL in this regard, the CSA shall undertake various product promotion exercises including issuance of advertisements in local newspapers as well as hoardings. Advertisement material like Product Literature, Leaflet, and Boucher etc shall be provided by RINL free of cost. Additionally, CSA may support IMO Colombo in conducting customer meets and corporate presentation(s). The charges related to the above shall be borne by RINL.

2.8 RINL has the right to appoint conversion agents to enhance their product visibility in Sri Lanka. The CSA shall be responsible for storing such Semi Finished products (Billets/Blooms), (Requisitioned by RINL, IMO-Colombo) in their warehouses and transferring them to the Conversion Agents as and when required and instructed by RINL.

3.0 Security Deposits

3.1 The CSA shall submit Security Deposit Bank Guarantees (SDBG) for purposes stated below:

(i) Security Deposit Bank Guarantee (SDBG) for a sum of INR. 5,00,000/- (INR Five lakhs only) / USD 7961 (USD Seven thousand nine hundred and sixty one only), for Performance of the contract.

(ii) Security Deposit Bank Guarantee (SDBG) for a sum of INR 30,00,000/- (INR thirty lakhs

only) / USD 47770 (USD Forty seven thousand seven hundred and seventy only) as Financial Coverage against the material requisitioned by CSA. The dispatches to the CSA from the Company shall be regulated in such a manner that the total value of the material (including tax liability) with the CSA , material in transit and any outstanding from CSA does not exceed the value of this BG furnished by him. In the event the CSA requisitions more material, the value of the BG must be enhanced accordingly. Wherever the Company gives clearance for delivery of material on credit terms, the outstanding from customer need not be covered by the BG of CSA.

(iii) Security Deposit Bank Guarantee (SDBG) for a sum of INR 2.68Cr (INR Two Crores Sixty

eight lakhs only) / USD 426690 (USD Four lakhs twenty six thousand six hundred and ninety only) as financial coverage for the material dispatched to Sri Lanka, as per the requirement of IMO, Colombo.

3.2 These Bank Guarantees shall be submitted in the formats at Annexures 5, 6 & 7, issued by a Scheduled Bank having branches in India (excluding Co-operative Banks) within 30 (Thirty) days from the date Letter of acceptance (LOA) of offer by the Company. The Bank Guarantees shall be submitted initially valid for a period of one year beyond the date of the expiry of the contract. The CSA shall renew the BG whenever required at least 1 month ahead of the date of expiry. Material shall be dispatched only after submission of all the Bank Guarantees (for Financial Coverage of Material) by CSA. The amounts deposited for due fulfilment of contract or for security against the material shall not


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carry any interest.

4.0 Despatch of Material (Conditions to Sale) (a) Based on market potential and order received by IMO Colombo, initially the Company shall

dispatch around 5000 MTs of Break-Bulk Steel to CSA. Material requisitioned by CSA can also be clubbed while dispatching such material. Further dispatches will be done provided at least 75% of the earlier consignment is sold.

(b) CSA is expected to sell at-least 100MTs per month which shall be dispatched against the SDBG for INR 30 lakhs submitted by them.

4.1 The CSA shall carry out all the handling activities envisaged under the contract.

4.2 The CSA shall indent for his monthly requirements of materials for sale, 30 days in advance. Based on the indent of the CSA, the goods shall be made available for dispatch. In any case, CSA shall sell the Products within 30 days from the receipt of material at CSA Yard at the prices fixed by RINL. If CSA is unable to sell the Products even upon the expiry of the aforesaid time, interest shall be charged and computed by RINL from the date of receipt of material at CSA Yard at Sri Lanka, at rates determined by RINL from time to time. This clause shall not be applicable for the material received in the CSA yard for servicing the orders booked by the Company.

4.3 The CSA shall issue requisite documents related to the sale of materials including quotations, sale orders, invoices etc. The CSA shall submit inventory/sales statements to IMO, Colombo periodically and co-ordinate with empanelled Chartered Accountants for payment of statutory duties and taxes under Applicable Laws.

4.4 All Sales Proceeds collected by the CSA shall be deposited in the collection account of RINL IMO Colombo maintained with State Bank of India, Colombo.

5.0 Delivery Terms

5.2 The dispatch of Materials shall be made on FOB /CFS basis i.e. the CSA shall assume full responsibility for the clearance of consignment from the Visakhapatnam Port / Gangavaram Port or the Container Freight Station (CFS) as the case maybe. The Company shall intimate the CSA as soon as the material(s) are dispatched from HQ.

5.3 In the event, the delivery of materials occurs on CFS basis, the CSA shall arrange hiring of container, stuffing, packing transportation from CFS to Wharf, Loading to Vessel, documentation at CFS/Port and insurance for shipment to Colombo. The quoted price for this purpose in the Schedule of Rates shall be inclusive of ocean freight and also to include all charges for carrying out the above mentioned activities. In case of dispatch of materials on CIF (Cost, Insurance and Freight) Colombo Port, Sri Lanka basis, CSA shall carry out handling activities as per BOQ Items other than Item no. 1(a), 1(b) & 1(c).

5.4 The CSA shall be responsible for all losses / damages / deterioration caused to the materials when the materials are in the custody of the CSA, including losses, if any, caused during transportation, handling and storage by the CSA. The materials shall be deemed to be in the CSA’s custody as soon as the goods are made available to the CSA in the Visakhapatnam Port / Gangavaram Port/ CFS. For damages / deterioration, recovery shall be made at rates to be decided by the Company and the same shall be binding on the CSA.

5.5 The CSA shall be solely responsible for security of Company’s materials which are in the possession of CSA. The CSA shall store the Company’s materials, only at its yard, approved by the Company and not anywhere else without prior written permission of the Company. Also, in the said premises, the CSA shall store only the Company’s materials and not the CSA’s own materials or any other materials.

There is no provision to allow any shortages on the sale of goods carried by the CSA. The CSA shall be responsible for accounting the total quantity that is made available to CSA at Visakhapatnam Port


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/ Gangavaram Port/ CFS as the case maybe. The quantity mentioned in RINL’s Invoice shall be final and binding for all accounting purposes.

5.6 Physical verification of stocks shall be carried out by the Company or its Authorized representative, in connection with closing of accounts of the Company or at such intervals as the Company may decide, for each item of material, product wise, size wise and grade wise. The value of shortages arrived at based on such stock verification shall be charged to the CSA at 110% of the selling price fixed by the Company during the month in which the material was stock-transferred to the CSA or the selling price prevailing on the date of ascertaining the shortages, whichever is higher. The CSA shall not be entitled to any credit because of excesses, if any, found in any other product / size / grade of material in physical verification. The stock verification charges shall be paid to the CSA as per the rates in sl.no. 3 of the Price Bid Format (BOQ), for the handling activities carried out by the CSA.

5.7 The CSA shall maintain and furnish all information required by the statute in Sri Lanka and also by Company from time to time and furnish weekly / fortnightly / monthly reports as prescribed by the Company giving details of opening balances, quantities received, quantities delivered, shortages / excesses on stock verification, closing balances and wagons / trucks in transit as per proforma / registers prescribed by the Company for the purpose. The representatives of the Company shall have free access to inspect all such records at any time.

5.8 The ownership of the material consigned to the CSA and received in his yard shall always remain with the Company and the CSA shall only hold the same in trust for the Company and shall exhibit on the premises, in a prominent manner, a board indicating that the ownership of the materials / goods stored therein rests with the Company and he is an Agent.

5.9 The CSA shall not hypothecate and/or pledge and/or encumber in any manner whatsoever the materials dispatched to him either in full or part to any bank, financial institution or association or Company or firm or person as security or otherwise or deal with the same in any manner except to deliver the same on behalf of the Company as provided for hereinafter.

5.10 If the CSA is found to have indulged in unauthorized removal or sale or misappropriation or conversion of the Company’s materials, the Company may terminate the agreement summarily and recover losses suffered by the Company on this account by encashing the Bank Guarantee etc. The Company’s assessment of such losses shall be final and in such event the CSA shall not be entitled to any compensation. The termination of the Contract shall be without prejudice to the Company’s right against the CSA under the contract or under law.

6.0 Onward Sales 6.1 The CSA shall sell and deliver the goods to the Customers at prices to be fixed by the Company as

intimated to him from time to time in writing. For this purpose, the Branch Manager/Incharge, IMO Colombo, shall communicate CSA in writing, the prices at which the material is required to be sold and delivered by the CSA. The prices intimated by the Branch Manager/ Incharge IMO, Colombo shall be the prices applicable for the date of delivery. The CSA shall make good the loss to the Company in case the CSA sells and delivers the goods or binds the Company to honour the contracts by way of issue of Quotations, Sales Orders etc., at a price less than the price fixed by the Company failing which the Company shall recover such short value of sales from any dues payable to CSA including pending bills or by encashing the Bank Guarantee.

6.2 The CSA shall ensure the sale and delivery of material within 30 days from the receipt of material at CSA Yard, at Colombo, at the prices fixed by the Company.

6.3 After 30 days’ interest shall be charged at the applicable rates, for the unsold quantity, at the selling price fixed by the Company during the month in which the material was stock-transferred to the CSA or the selling price in the prevailing month, whichever is higher. If the material is un-sold for 2 months, then a debit note shall be raised at the above selling price, plus bank interest for 2 months. If the CSA does not settle the debit note within 10 days of issue, the amount shall recovered any dues


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payable to CSA including pending bills or by encashing the Bank Guarantee.

6.4 CSA is accountable for the value as on 31st day or prevailing price at the time of sale whichever is high. The applicable interest rate would be the secured interest – normal of the Company prevailing as on 31st day. The CSA must pay the interest on monthly basis from 31st day failing which, this amount would be deducted from the handling bill/bills of CSA. In case of non-payment of interest by the CSA, the BG (including the performance BG) would be encashed to that extent of dues payable to RINL.

6.5 The above clauses 6.1, 6.2, 6.3, & 6.4 will not be applicable for material indented and stock-transferred against the Purchase Orders & MOUs entered by the Company.

6.6 Shortages if any will be on CSA’s account. Weighment taken at the RINL’s Plant (RINL’s Invoice Weight) will be considered as final and the CSA is accountable for this weight.

6.7 The CSA shall comply with all the statutory obligations including all the customs formalities while transferring the material from Visakhapatnam Port / Gangavaram Port / CFS to its CSA Yard in Sri Lanka.

6.8 Without prejudice to CSA’s obligations under Clause 6.7, it is to be noted that RINL- IMO, Colombo shall be responsible for payment of applicable custom duties, taxes and levies at Colombo Port. (PAL, VAT, NBT etc). CSA shall coordinate with IMO Colombo and assist in making the payments.

6.9 In case of continuous failure on the part of CSA to sell the materials within 30 days time, the CSA will be put in the list of defaulters leading to termination of the contract.

6.10 The clause 6.9 shall not be applicable for the material received by the CSA for fulfilling the orders directly booked by the Company.

6.11 The CSA shall issue quotations to the Retailers indicating the prices intimated by RINL on receipt of enquiry. For material sold by the CSA on credit terms, the CSA shall remain responsible for collection of payments in accordance with the credit terms. The CSA shall deliver the goods to the Customers against the Sales Orders.

6.12 CSA shall ensure the genuineness of the Customer and Instruments submitted by the Customers before delivery of the material.

6.13 The CSA shall generate the Sales documents like Quotation, Sale Order, Money Receipt, Sales Invoices, Test Certificates etc in the ERP Package provided by the Company.

6.14 The CSA shall maintain all the documents as required by various authorities under the laws of Sri Lanka and comply with all the legislations in Sri Lanka. The CSA shall indemnify the Company against any levy/penalty imposed by the authorities in Sri Lanka due to irregular documentation or any other deviations.

6.15 The payments received by the CSA from the customers shall be deposited by the CSA in the Company’s collection account on the same working day / next working day. Failure on the part of the CSA to deposit the amount will result in fine of 1% for every day of delay.

6.16 Quality complaints, if any, shall be settled by the Company for unprocessed material. However, such complaints should be lodged within 10 days from the date of sale made by the CSA.

6.17 All contracts with the Customers for supply of materials shall be signed by the representatives of the Company.

6.18 The materials meant for orders booked by the Company shall not be delivered by CSA to any other customer. A penalty of Rs 500/- PMT or difference in the amount whichever is higher, would be


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charged extra for such sale.

7.0 Payment Terms

7.1 The CSA shall be paid his handling charges on monthly basis for the quantity delivered by him during the month as per Schedule of Rates. The CSA shall bear all applicable taxes and duties levies and all other liabilities which are applicable to CSA in connection with discharge of his obligations under the contract excluding NBT, VAT. RINL shall pay NBT, VAT claimed by the CSA in the bills / invoices raised and as certified by RINL VSP. The bills / invoice shall be raised as per the specified format prescribed under VAT / NBT Laws.

7.2 In case of material sold on credit, the responsibility shall lie with the CSA to remit the money to the credit of the Company within 30 days to comply with the foreign exchange laws in India. The CSA may thereafter realize the same from the customers.

7.3 The handling charges shall be paid to the CSA after collection of 100% payment for the material. The bills should be submitted along with all weighment slips of the material both at the time of receipt of the material at Visakhapatnam Port / Gangavaram Port/CFS and delivery to customer and copy of register maintained for incoming and outgoing vehicles at the premises of the CSA.

7.4 For material indented by RINL, freight & insurance charges shall be paid once the material is received in CSA Yard after customs clearance. Documents like copy of Import General Manifest with seal of Customs (IGM), copy of Bill of Entry and copy of Goods transfer note/Gate Pass should be submitted, along with the bill for Ocean Freight Charges & Ocean Insurance Charges.

7.5 Subject to the Laws prevailing in Sri Lanka, the CSA shall submit all such necessary claim documents and co-ordinate with the Company to the best of its abilities to enable the Company to claim export incentives like duty draw-back and/or MEIS benefit which can be availed by the Company.

7.6 The rates in the Schedule of Rates shall be subject to price variation as per the formulae given below:

i) For Steel under Items No. 2(a), 2(b), & 3 P1 = PO (0.60 + 0.10 L1/LO + 0.30 F1/FO)

ii) For Cutting under Item No.4 P1 = PO (0.25 + 0.20 L1/LO + 0.40 F1/FO + 0.15 W1/WO)

iii) For Bending under Item No.5 P1 = PO (0.25 + 0.60 L1/LO + 0.15 W1/WO)

Where, P1 = Revised rate PO = Rate as per original schedule of rates LO = Minimum wages as per Minimum Wages Act applicable to the State

in which the work is done payable to unskilled workmen employed in handling of Iron and Steel products as on the base date.

L1 = Minimum wages as per Minimum Wages Act applicable to the State in which the work is done payable to unskilled workmen employed in handling of Iron and Steel products

on 1st

April/1st

October every year as the case may be. FO= Retail selling price of diesel at the nearest diesel filling station of the stockyard run

by an agent authorized by the Indian Oil Corporation/or an agent authorized by Sri Lankan government, as on the base date

F1 = Retail selling price of diesel at the nearest diesel filling station run by an agent authorized by the Indian Oil Corporation or an agent authorized by Sri Lankan government on

1st

April/1st

October every year. WO = Average wholesale price Index of all the commodities published by RBI/Sri

Lanka’s equivalent for the month in which the base date falls. W1 = Average wholesale price Index of all the commodities published by RBI/Sri Lanka’s

equivalent for month April / October every year.


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Base date shall be the last date for submission of Price Bid / Revised Price Bid (in case of rates settled through negotiations, the base date shall be the date of confirmation of such rates by the tenderer). The rates shall be revised on the 1

st April and 1

st October of every year based on indices

prevailing on those dates. Revised rates shall come into effect from 1st

April / 1st

October for the work done on and from these dates. Adjustment in rates shall involve both upward and downward revision depending on the fluctuation in the indices. Adjustment in rates would be made regarding indices on base date and not regarding indices on the date of the previous revision, if any.

8.0 Term & Termination 8.1 The Contract shall be effective for a period of 2 (Two) years from the date of issue of Letter of

Acceptance (LOA), with an option to extend the contract at the same terms and condtions for one more year with mutual consent. However, the Company shall have the option to terminate the Contract at any time during the period of the Contract by giving one month written notice without assigning any reason. No compensation shall be payable on this account. All implications because of change in tax regime, duties, taxes and levies of any nature what so ever will be to CSA’s account during the tenure of the Contract and no additional compensation on this account will be payable under any circumstances.

8.2 In the event of the CSA’s failure to discharge his duties stipulated in the contract to the satisfaction of the Company and /or unsatisfactory performance of the CSA as per clause no 8.3 mentioned thereof or any other valid reasons, the Company may terminate the contract summarily and without notice. The decision of the Company in this regard shall be final and binding on the parties.

8.3 The performance of CSA will be reviewed by the Engineer In-charge or any other such designated officer of Company on an ongoing basis from the date of dispatch of 1st consignment. The criterion for evaluating performance shall be as follows: Complaints received from Customers. Instances of cheque bouncing cases. Delay in receiving payments for credit sales Delay in deposit of Cheques/DD/Payorders in the Bank.

8.4 In the event of the contract being terminated in exercise of the rights reserved under the above clause, the CSA shall not be entitled to claim any damages / compensation from the Company on account thereof.

8.5 The Company shall not pay any compensation to the CSA for any expenses whatsoever incurred by the CSA either by way of rent or otherwise on any premises utilized by the CSA for operation of this contract. This shall also apply even in the event of the contract being terminated for any reason before the end of the period of contract or before the end of the CSA’s arrangement of lease / other terms for those premises.

8.6 In case of any liability because of non-compliance of any of the statutory/regulatory provisions pertaining to land, taxes & duties, the CSA will be solely responsible for the same.

8.7 In case of any dispute or claim arising from either side in respect of the provision of the agreement or otherwise, the CSA shall not at any time refuse permission to the Company or its authorised officers entry into the yard and/or in affecting / arranging disposal of the materials or take possession of the material in the yard as the Company may deem fit. The CSA or any one claiming through or under him shall not set up any claim or title on or in respect of the materials consigned to and received in the yard, adverse to the Company, during the subsistence of the agreement and/or on expiry or termination of the agreement and so long as the materials are not fully delivered to the Company, shall not allow or suffer the said materials to be attached or sold in any court proceedings or any receiver or special officer to be appointed in respect of them.

9.0 Rights of the Company/RINL 9.1 If at any time during the subsistence of the contract, the Company is of the view that in the best

interest of its business, it is necessary to take possession of the materials from the CSA’s custody, the


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Company may forthwith, on giving written notice to the CSA, recover possession of the materials by physically removing the materials to such places as the Company may decide in this behalf. The CSA however, shall be entitled to claim his remuneration / charges due to him under the provisions of the contract up to the point of final removal of the materials from his premises. The CSA shall extend all cooperation as may be required by the Company in exercise of its right to secure its material.

9.2 The Company may also, if necessary and if the exigencies of the situation so warrant make its own security arrangements over the material in addition to the arrangements of the CSA. This shall not however absolve or relieve the CSA from his duties and responsibilities under the contract for safety and protection of the materials under his custody till the material is removed / sold from the yard.

9.3 Notwithstanding the expiry / termination, the liabilities and obligations of both the Company and the CSA as set out herein shall continue to be in force until all the materials supplied / dispatched by the Company to the CSA up to the date of such expiry / termination are delivered by the CSA or accounted to the Company. After termination / expiry of the contract, the materials, if any, lying with the CSA shall be handed over to the Company by the CSA within 2 months from the date of termination / expiry of the Contract and the CSA shall be responsible to arrange delivery of the materials as directed by the Company for which the CSA shall be entitled to remuneration as is due to him under the provisions of the contract.

10 Forfeiture/Release of Guarantee 10.1 The Company reserves the right to forfeit any part or full of the SD and/or to deduct from any moneys

due to the CSA for any breach or violation of any of the terms and conditions of the contract or for any losses suffered by the Company due to acts or omissions on the part of the CSA.

10.2 Both the Bank Guarantees submitted towards SD shall be released after the expiry / termination of the Contract and satisfactory performance of the work and the obligations by the CSA under the terms and conditions of the Contract. The decision of the Company regarding satisfactory completion of the work is final and binding on the parties. Before release of the Bank Guarantees, the CSA shall submit a No-Claim Certificate in the format at Annexure-9, to the effect that no claim by him is pending for consideration by the Company.

10.3 In the event of the Bank Guarantees submitted towards SD being inadequate or wholly forfeited, the balance of the total sum recoverable shall be deducted from any sum due to the CSA under this or any other Contract with the Company. Should such sum also be not sufficient to cover the full amount recoverable the CSA shall on demand pay the balance due to the Company.

10.4 The decision of the Company as to the amount of the loss / damage suffered by the Company in such cases shall be final and binding on the CSA. The recoveries set out above shall be without prejudice to the rights of the Company under the agreement and under law. Wherever the Bank Guarantees fall short of the specified amount from time to time, the CSA shall enhance the value of the BG within 15 days so that the total amount of security for due fulfilment of contract and security of material shall not at any time be less than the specified amount.

11.0 This Agreement shall be construed, interpreted and applied in accordance with the laws of India.

11.1 All disputes and differences whatsoever arising between the parties out of or relating to the construction, meaning and operation or effect of this contract or breach thereof shall be settled by arbitration in accordance with the rules of arbitration of the Indian Council of Arbitration and the award made in pursuance thereof shall be binding on the parties.

11.2 Work under the contract shall be continued by the CSA during the arbitration proceedings unless otherwise directed in writing by the Company or unless the matter is such that the work cannot possibly be continued unless the decision of the arbitrator is obtained and save as those which are


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otherwise expressly provided in the contract, no payment due or payable by the Company shall be with-held on account of such arbitration proceedings unless it is a subject matter or one of the subject matters thereof.

12.0 Governing Laws & Dispute 12.1 The venue of the arbitration shall be Visakhapatnam, India. 12.2 The submission of any dispute or disagreement to arbitration shall not in any way affect or limit the

company’s right to file and prosecute under the applicable law for any and/ or all sums that the Company claims to be due and owing to the Company under this Contract.

13.0 Exclusivity 13.1 The CSA shall not assign the contract or any part thereof or any benefit or interest therein or there

under without the prior written consent of the Company. The CSA shall also not sublet in whole or in part the work unless otherwise provided by the Contract and even then only with the prior written consent of the Company and such consent if given shall not relieve the CSA from any liability or obligation under the contract and he shall be responsible for the acts, defaults and neglects of his sub-contractor, agents, servants or workmen, as if they were the acts, defaults or neglects of the CSA and in that event all rights and remedies secured / provided for under this contract shall be available against the CSA.

13.2 The Company reserves the right to appoint any other CSAs at the risk and cost of the CSA for services referred to in this Contract to meet any emergency if the Company is satisfied that the CSA is not able to render specific service within the period in which services are required after intimating the CSA through a letter. The Company’s decisions in this regard shall be final and binding on the CSA.

13.3 The mere mention of any item of work in this Contract does not by itself confer the right on the CSA to demand that the work relating to all or any item thereof should necessarily or exclusively be entrusted to him always.

13.4 The Company reserves the right to award one or more contracts during the pendency of this Contract, as it may deem necessary.

13.5 The CSA shall on no account demand or accept any payment for himself whatsoever on behalf of the Company from any of the Company’s customers.

14.0 Compliances 14.1 The CSA shall procure the necessary permits and licenses, give all necessary notices, furnish all

necessary returns, pay all fees required by law about the operations of the said Yard. All such payments will be to the CSA’s account.

14.2 The CSA shall carry out, perform and observe the provisions of all Labour Laws / applicable Acts / Statutes in force in Sri Lanka and any rules made thereunder in respect of all the activities undertaken by the CSA and in any way affecting the labourers employed by the CSA and shall indemnify and keep the Company indemnified against any liability that may be imposed upon the Company by law or by Government for non-observance by the CSA of any of the provisions of the various Laws / Acts / Statutes aforesaid or for the CSA’s failure in ensuring compliance as aforesaid and reimburse and discharge all sums that may be claimed or awarded or decreed by appropriate authorities in any manner whether as penalty fine, levy, demands or composition fee, arising out of or consequent upon breach of the requirements and provisions of any Statutes, Laws, Rules & Regulations by the CSA / his representative.

14.3 The CSA shall strictly adhere to the statutory obligations and register with various authorities viz. NBT, VAT, Customs authorities etc. The CSA shall maintain the requisite registers / records as required by such authorities.

14.4 The CSA shall bear and pay all taxes, duties, levies and other liabilities, which are applicable or which may become applicable Sri Lanka about discharge of his obligations under this contract.


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15.0 The Consignment Sales Agent shall provide CCTV coverage at the following points:

(i)Entry/Exit gates both Road & Rail (if any) with PTZ Night vision cameras.

(ii) Weighbridge

(iii Entry to Warehouse office/Invoicing section

(iv) Warehouse within boundary wall for monitoring various activities of handling with 360° coverage.

All the above CCTV cameras should be IP enabled for monitoring through Intranet/Internet. All the cameras should be enabled for monitoring by Executive In charge with adequate storage capacity (min 7 days).At the end of storage limit, data to be transferred to storage device, labelled & archived with reference of period for future retrieval and handed over to the Executive In charge. RINL will supply appropriate storage device to the contractor to save the recorded data of CCTVs. The supply, installation & maintenance of the above mentioned CCTV systems shall be in the scope of CSA. A proper maintenance contract for the CCTVs must be in place by the CSA so that it is ensured to have minimum down time.


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ANNEXURE-1

INTEGRITY PACT FORMAT

Rashtriya Ispat Nigam Limited (RINL) hereinafter referred to as “The Principal”, And

…………………………………………………………………………………. hereinafter referred to as “Consignment Sales Agent/Bidder”

Preamble

The Principal intends to award, under laid down organizational procedures, contract for

appointment of Consignment Sales Agent at Colombo for handling, transportation, storage and sale of Iron and Steel materials in Sri Lanka against NIT Ref No.RINL/VSP/Mktg/ITD/CSA-Srilanka/NIT 01 dt.04/01/2018. The Principal values full compliance with all relevant laws of the land, rules, regulations, economic use of resources, and of fairness/transparency in its relations with its Consignment Sales Agent.

The Principal will nominate an Independent External Monitor(s) (IEM(s)) by name at the tender

stage/will appoint in case of receipt of any reference, from the panel of IEMs, for monitoring the tender process and the execution of the contract to ensure compliance with the Integrity Pact by all the parties concerned.

Section 1 Commitments of the Principal

(1) The Principal commits itself to take all measures necessary to prevent corruption and to

observe the following principles: -

(a) No employee of the Principal, personally or through family members, will, about the tender for, or the execution of a contract, demand, take a promise for or accept, for self or for third person, any material or non-material benefit which the person is not legally entitled to.

(b) The Principal will, during the tender process treat all bidders with equity and reason.

The Principal will before and during the tender process, provide to all Bidders the same information and will not provide to any Bidder confidential/additional information through which the Bidder(s) could obtain an advantage in relation to the tender process or the contract execution.

(c) The Principal will exclude from the process all known prejudiced persons.

(2) If the Principal obtains information on the conduct of any of its employees, which is a criminal offence under the Indian Penal Code (IPC)/ Penal Code (PC) Act, or if there be a substantive suspicion in this regard, the Principal will inform Chief Vigilance Officer of RINL and in addition can initiate disciplinary action.


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Section 2 Commitments of the Bidder(s)/contractor(s)

(1) The Bidder(s)/ Contractor(s) commits to take all measures necessary to prevent corruption.

Bidders commit to observe the following principles during their participation in the tender process and during the contract execution.

(a) The Bidder(s)/Contractor(s) will not, directly or through any other person or firm,

offer, promise or give to any of the Principal’s employees involved in the tender process or the execution of the contract or to any third person any material or other benefit which he/she is not legally entitled to, in order to obtain in exchange any advantage of any kind whatsoever during the tender process or during the execution of the contract or to vitiate the Principal’s tender process or contract execution.

(b) The Bidder(s)/ Contractor(s) will not enter with other Bidders into any undisclosed

agreement or understanding, whether formal or informal. This applies to prices, specifications, certifications, subsidiary contracts, submission or non-submission of bids or any other actions to restrict competitiveness or to introduce cartelization in the bidding process or to vitiate the Principal’s tender process or execution of the contract.

(c) The Bidder(s)/Contractor(s) will not commit any offence under the Sri Lankan Laws;

further the Bidder(s)/Contractor(s) will not use improperly, for purposes of competition or personal gain, or pass on to others, any information or document provided by the Principal as part of the business relationship regarding plans, technical proposals and business details including information contained or transmitted electronically.

(d) The Bidder(s)/Contractor(s) of foreign origin shall disclose the name and address of

the Agent(s)/representative(s) in India, if any. Further details, as mentioned in the Guidelines on Indian Agents of Foreign “Suppliers/contract agencies”, shall be disclosed by the Bidder(s)/Contractor(s) wherever applicable. Further, as mentioned in the Guidelines, all the payments made to the Indian agent(s)/representative(s) must be in Indian Rupees only.

Copy of the Guidelines on Indian Agents of Foreign “Suppliers/contract agencies”

is enclosed. (e) The Bidder(s)/ Contractor(s) will, when presenting his bid, disclose all payments he

has made or committed to or intends to make to agents, brokers or any other intermediaries about the award of the contract.

(2) The Bidder(s)/Contractor(s) will not instigate third persons to commit offences outlined

above or be an accessory to such offences.


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Section 3

Disqualification from tender process and exclusion from future contracts (1) A transgression is considered to have occurred, if the Principal after due consideration of the

available evidence, concludes that a reasonable doubt is possible. (2) If the Bidder(s)/Contractor(s), before award of contract or after award of contract has

committed a transgression through a violation of Section 2 above or in any other form such as to put his reliability or credibility in question, the Principal is entitled to disqualify the Bidder(s) from the tender process or to terminate the contract, if already awarded, for that reason, without prejudice to other remedies available to the Principal under the relevant General Contract Conditions (GCC) of the tender/contract.

(3) If the bidder/Contractor has committed a transgression through a violation of any of the

terms under Section 2 above or in any other form such as to put his reliability or credibility into question, the Principal is entitled also to exclude the bidder / Contractor from future tenders/Contract award processes. The imposition and duration of the exclusion will be determined by the Principal keeping in view the severity of the transgression. The severity will be determined by the circumstances of the case, the number of transgressions, the position of the transgressors within the company hierarchy of the bidder /Contractor and the amount of the damage.

(4) If it is observed after payment of final bill but before the expiry of validity of Integrity pact

that the contractor has committed a transgression through a violation of any of the terms under Section 2 above during the execution of contract, the Principal is entitled to exclude the Contractor from future tenders/Contract award processes.

(5) The exclusion will be imposed for a minimum period of six (6) months and a maximum

period of three (3) years. (6) If the bidder / Contractor can prove that he has restored/ recouped the damage to the Principal

caused by him and has installed a suitable corruption prevention system, the Principal may revoke the exclusion before the expiry of the period of such exclusion.

Section 4

Compensation for Damages (1) If the Principal has disqualified the bidder from the tender process prior to the award in

accordance with Section 3 above, the EMD/Bid security furnished, if any, along with the offer as per the terms of the Instruction to Tender (ITT) shall be forfeited. This is apart from the disqualification of the Bidder as may be imposed by the Principal as brought out at Section 3 above.

(2) If the Principal has terminated the Contract in accordance with Section 3 above, or if the

Principal is entitled to terminate the Contract in accordance with Section 3 above, the SD/performance bank guarantee furnished by the contractor, if any, as per the terms of the ITT/Contract shall be forfeited without prejudicing the rights and remedies available to the


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Principal under the relevant General conditions of contract. This is apart from the disqualification of the Bidder, as may be imposed by the Principal, as brought out at Section 3 above.

Section 5 Previous transgressions

(1) The Bidder declares that, to the best of his knowledge, no previous transgression occurred

in the last five (05) years with any Company or Organization or Institution in any country or with any Government in any country conforming to the anti-corruption approach that could justify his exclusion from the tender process.

(2) If the Bidder makes incorrect statement on this subject, he can be disqualified from the

tender process. The contract, if already awarded, can be terminated for such reason.

Section 6 Equal treatment of all Bidders / Contractors / Subcontractors

(1) The Bidder(s)/Contractor(s) undertakes to demand from all his subcontractors a commitment

in conformity with this Integrity Pact, and to submit it to the Principal before seeking permission for such subcontracting.

(2) The Principal will enter into agreements with identical conditions as this one with all Bidders and Contractors.

(3) The Principal will disqualify from the tender process all bidders who do not sign this Pact or violate its provisions.

Section 7 Criminal charges against violating Bidder(s) /Contractor(s)/ subcontractor(s)

If the Principal obtains knowledge of conduct of a Bidder, Contractor, Subcontractor or of any employee or a representative or an associate of a Bidder/Contractor/ Subcontractor which constitutes corruption, or if the Principal has substantive suspicion in this regard, the Principal will inform the same to Chief Vigilance Officer (CVO) of RINL.

Section 8 Independent External Monitor(s)(IEM(s))

(1) The Principal may appoint competent and credible Independent External Monitor(s) with

clearance from Central Vigilance Commission & Transparency International (India). The IEM(s) reviews independently, the cases referred to him/them to assess whether and to what extent the parties concerned comply with the obligations under this Integrity Pact.

(2) In case of noncompliance of the provisions of the Integrity pact, the complaint/noncompliance is to be lodged by the aggrieved party with the Nodal Officer only appointed by Chairman cum Managing Director, (CMD), RINL. The Nodal Officer shall refer the complaint / noncompliance so received by him to the IEM, already appointed or to be appointed for that case.

(3) The IEM is not subject to instructions by both the parties and performs his functions neutrally and independently. The IEM(s) will submit report to the Chairman Cum Managing


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Director (CMD), RINL. (4) The Bidder(s)/Contractors(s) accepts that the IEM has the right to access without restriction,

to all tender/contract documentation of the Principal including that provided by the Bidder/Contractor. The Bidder/Contractor will also grant the IEM upon his request and demonstration of a valid interest, unrestricted and unconditional access to his tender/contract documentation. The same is applicable to Subcontractors also. The IEM is under contractual obligation to treat the information and documents of the Bidder(s)/ Contractor(s)/Subcontractor(s) with confidentiality.

(5) The Principal will provide to the IEM sufficient information about all meetings among the parties related to the tender/contract for the cases referred to IEM, provided such meetings could have an impact on the contractual relations between the Principal and the Contractor. The parties offer to the IEM the option to participate in such meetings.

(6) As soon as the IEM notices, or believes to notice, a violation of this pact, he will so inform the Principal and request the Principal to discontinue or take corrective action or to take other relevant action. The IEM can in this regard submit non-binding recommendations. Beyond this, the IEM has no right to demand from the parties that they act in a specific manner, refrain from action or tolerate action.

(7) The IEM will submit a written report to the CMD, RINL within four (04) to six (06) weeks from the date of reference or intimation to him by the Principal and, should the occasion arise, submit proposals for corrective actions for the violations or the breaches of the provisions of the agreement noticed by the IEM.

(8) IEM may also submit a report directly to the CVO of RINL and the Central Vigilance Commission, in case of suspicion of serious irregularities attracting provisions of the IPC/ PC Act.

(9) Expenses of IEM shall be borne by RINL/VSP as per terms of appointment of IEMs. (10) The word ‘Monitor’ means Independent External Monitor and would include both

singular and plural. Section 9

Duration of the Integrity Pact (1) This Pact comes into force upon signing by both the Principal and the Bidder/Contractor. It

expires for the Contractor twelve (12) months after the last payment under the contract, and for all unsuccessful Bidders, six (06) months after the contract has been awarded and accordingly for the Principal after the expiry of respective periods stated above.

(2) If any claim is made/ lodged during the valid period of the IP, the same shall be binding and

continue to be valid even after the lapse of this pact as specified above, unless it is discharged/determined by CMD of RINL.


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Section 10 Other provisions

(1) This Agreement is subject to Indian Law. Place of performance and jurisdiction is the

Registered Office of the Principal, i.e. Visakhapatnam, State of Andhra Pradesh, India. (2) Changes and supplements as well as termination notices need to be made in writing. Side

agreements to this pact have not been made. (3) If the Contractor is a partnership firm/ consortium, this agreement must be signed by all

partners’/ consortium members, or their Authorized Representative(s) by duly furnishing Authorization to sign Integrity Pact. In case of consortium, the consortium should appoint one member as the authorized representative and submit the concerned letter of appointment to the company.

(4) Should one or several provisions of this agreement turnout to be invalid, the remaining part

of this agreement shall be valid. In this case, the parties will strive to come to an agreement to their original intentions.

(5) Wherever he or his is indicated in the above sections, the same may be read as he/she or

his/her. _____________________________ _______________________________ (For & On behalf of the Principal) (For & On behalf of Bidder/ Contractor) (Office Seal) (Office Seal) Place ............. Date ...............

Witness 1: (Name & Address)

_____________________________ _____________________________ _____________________________

Witness 2

(Name & Address) _______________________________

______________________________


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GUIDELINES FOR INDIAN AGENTS OF FOREIGN “SUPPLIERS/CONTRACT AGENCIES”

1.0 There shall be compulsory registration of Indian Agents of foreign suppliers/contract Agencies with RINL in respect of all Global (Open) Tenders and Limited Tenders. An agent who is not registered with RINL shall apply for registration in the prescribed Application Form.

1.1 Registered agent needs to submit before the placement of order by RINL, an Original

certificate issued by his foreign supplier/ contract Agency (or an authenticated Photostat copy of the above certificate duly attested by a Notary Public) confirming the agency agreement and giving the status being enjoyed by the agent along with the details of the commission /remuneration /salary /retainer being paid by them to the agent(s).

1.2 Wherever the Indian representative has communicated on behalf of their foreign

supplier/contract Agency and/or the foreign supplier/contract Agency have stated that they are not paying any commission to their Indian agent(s) but paying salary or retainer, a written declaration to this effect given by the foreign supplier/contract Agency should be submitted before finalizing the contract.

2.0 DISCLOSURE OF PARTICULARS OF AGENT(S)/REPRESENTATIVE(S) IN

INDIA, IF ANY: 2.1 Bidders of Foreign nationality shall furnish the following details in their quotation/bid: 2.1.1 The name and address of their agent(s)/representative(s) in India, if any, and the extent of

authorization and authority given to them to commit them. In case the agent(s)/representative(s) is a foreign Company, it shall be confirmed whether it is a substantial Company and details of the company shall be furnished.

2.1.2 The amount of commission/remuneration included in the quoted price(s) for such

agent(s)/representative(s) in India. 2.1.3 Confirmation of the Bidder that the commission/remuneration if any, payable to his

agent(s)/representative(s) in India, may be paid by RINL in Indian Rupees only. 3.0 DISCLOSURE BY INDIAN AGENT(S) OF PARTICULARS OF THEIR FOREIGN

SUPPLIER/CONTRACT AGENCY AND FURNISHING OF REQUISITE INFORMATION:

3.1 Bidders of Indian Nationality shall furnish the following details/certificates in/along with

their offers: 3.1.1 The name and address of foreign supplier/contract agency indicating their nationality as well

as their status, i.e., agent of Consignment Sales Agent holding the Letter of Authority.


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3.1.2 Specific Authorization letter by the foreign supplier/contract agency authorizing the agent

to make an offer in India in response to tender either directly or through their agent(s)/representative(s).

3.1.3 The amount of commission/remuneration included for bidder in the price (s) quoted. 3.1.4 Confirmation of the foreign supplier/contract Agency of the Bidder, that the

commission/remuneration, if any, reserved for the Bidder in the quoted price (s), may be paid by RINL in India in equivalent Indian Rupees.

4.1 In either case, in the event of materialization of contract, the terms of payment will provide

for payment of the commission/remuneration payable, if any, to the agent(s)/representative(s) in India in Indian Rupees, as per terms of the contract.

4.2 Failure to furnish correct information in detail, as called for in para 2.0 and/or 3.0 above will

render the bid concerned liable for rejection or in the event of materialization of contract; the same is liable for termination by RINL. Besides this, other actions like banning business dealings with RINL, payment of a named sum etc., may also follow.

Note: The following persons have been appointed as Independent External Monitors (IEMs) to

oversee the implementation of 'Integrity Pact' in RINL.

1) Sri Venugopal Nair, IPS & Ex CVO-SAIL (Retd,) 2) Sri SP Rao, Ex.MD, SAIL


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ANNEXURE-2 PRICE BID FORMAT (BOQ)

(TO BE SUBMITTED IN A SEPARATE SEALED ENVELOPE) Job description: Consignment Agency Contract for Handling, Transportation, Storage

and Sale of Iron & Steel materials of RINL in Sri Lanka Financial Quote: Handling, transportation, storage and sale of Iron and Steel Products

in Sri Lanka. Sl No

Description of Item Unit Rate (in LKR per Unit)

1 TRANSPORTATION AND INSURANCE 1(a) OCEAN FREIGHT CHARGES- (For Break Bulk

Material) (FOB Vizag to Colombo Port) PMT

1(b) OCEAN INSURANCE- (For Break Bulk Material) (FOB Vizag to Colombo Port)

PMT

1(c) OCEAN FREIGHT CHARGES- (CONTAINER ) (Including Insurance for material, Charges like hiring of container, stuffing, packing transportation from CFS to Wharf, Loading, documentation at CFS/Port in India etc.)

PMT

2 HANDLING CHARGES: Handling charges to include clearance of material from Customs, unloading at Colombo Port, loading & transportation from Colombo Port to ware-house, (removal (De-stuffing) from containers, in case of container shipment), unloading at CSA Yard, insurance charges, weighment, unloading at stacking point and stacking with dunnage underneath in the yard in good countable order, section wise/ grade wise, marking and painting of Bay Nos, putting up lot- wise painted boards all as directed by the company including necessary documentation such as giving requisition and required reports and maintaining required records. Rates to be quoted should include charges for sorting, cost of paint and painting boards, Storage of material in the yard, booking order, removal of material from stacks, loading into customers transport after taking tare weight and final weighment all as directed by the Company including necessary documentation such as giving required reports and maintaining required records, issuing offer letters, Sales Orders and Invoices, receipt of payments from customers in the form of DDs/Pay Orders, depositing the same in the collection Account of the Company.

2(a) Handling Charges for Purchase orders procured by CSA (Selling activity by CSA)

PMT

2(b) Handling Charges for Purchase orders procured by RINL (Selling activity by RINL)

PMT

3 Charges for removing and restacking of materials after weighment for stock verification.

PMT

4 Cutting charges (For Steel Only) (Single Cut) PMT

5 Bending charges (applicable only for Round / Rebar )

PMT

(Note: Against Sl.no. 2(b) a lower handling rate is envisaged as the selling activity is being undertaken by RINL/VSP).


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Note: 1. While quoting rates for various BOQ items, the tenderer shall take into consideration

the cost of the all infrastructure facilities including CCTV cameras, weighbridge etc. to be provided in the CSA yard.

2. Detailed warehouse operations: Storage of material in the warehouse, booking orders, removal of material from stacks, loading into customers’ transport after taking tare weight and final weighment, as per the Sales Order. Generation of necessary documents, such as quotations, sales orders, gate pass, weighment slips, delivery challan, invoices, receipt of payments from customers in the form of DDs/Pay Orders, depositing the same in the collection account of RINL. In case, RINL’s Finished Products requires clearance/approval of Sri Lanka Standards Institution (SLSI), the CSA shall assist RINL in obtaining the same, before making the sale to the Retailers.

3. The CSA shall maintain all the records as per the local Sri Lankan laws and submit the monthly, quarterly and yearly reports as required by RINL.

4. The Handling charges quoted above would include ancillary activities such as stacking the material with dunnage underneath in the warehouse in good countable order, section wise/ grade wise, marking and painting of Bay Nos, putting up lot- wise painted boards all as directed by the company including necessary documentation such as giving requisition and required reports and maintaining required records. Rates to be quoted should include charges for sorting, cost of paint and painting boards.

5. The CSA shall arrange Burglary Insurance for material in the Warehouse. The value shall be calculated as mentioned in clause 26 of GCC. The Beneficiary of the Insurance Policy shall be “RASHTRIYA ISPAT NIGAM LIMITED”. The said policy shall be valid till the period of the Contract. No separate charges shall be payable for these activities.

6. The CSA shall bear all applicable taxes and duties levies and all other liabilities which are applicable to CSA in connection with discharge of his obligations under the contract excluding NBT, VAT. RINL shall pay NBT, VAT claimed by the CSA in the bills / invoices raised and as certified by RINL VSP. The bills / invoice shall be raised as per the specified format prescribed under VAT / NBT Laws.

7. In case material is offered by RINL at CIF Colombo Port, Sri Lanka, charges mentioned at Sl.no. 1(a), 1(b) & 1(c) shall not be payable.

(Signature of Tender Issuing Authority) (Signature and seal of the tenderer)


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ANNEXURE TO SCHEDULE OF RATES FOR CONSIGNMENT SALES AGENCY AT COLOMBO (SRILANKA) The tender will be evaluated on the basis of the following quantities for financial ranking only:

Item No. in the Schedule of Rates

Indicative quantity (MT) per year for the Purpose of financial ranking only for evaluation of

Tender

1 (a) 51000

1(b) 51000

1(c) 200

2 (a) 1200

2 (b) 50000

3 2000

4 600

5 600

Note: The above-mentioned quantities are purely indicative and will be considered for the purpose of evaluation of financial ranking of the tenders only. The Company will not be liable in case of any change in actual quantity from an indicative pattern as indicated above after award of the contract and also no claim on account of increase or decrease in the quantities handled shall ever be entertained by the Company.


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ANNEXURE – 3 FORM OF AGREEMENT

This Agreement (“Agreement” or “Contract”) made this........ day of ....... Two Thousand Seventeen between: Rashtriya Ispat Nigam Limited, Visakhapatnam Steel Plant, a Company registered under the Companies Act 1956 having its registered office at Main Administration Building, Visakhapatnam-530031 (AP), hereinafter called the "Company" or “RINL” or “VSP” (which expression shall, unless excluded by or repugnant to the context, include its successors and assigns) of ONE PART:

AND

M/s.............................an existing Company or a Company registered under the Laws of Sri Lanka having its registered office at....................... hereinafter called the “Consignment Sales Agent” or “CSA” (which expression shall unless excluded by or repugnant to the context, include its successors or assigns) of the OTHER PART (which expression shall, unless excluded by or repugnant to the context, include its successors or assigns) of the OTHER PART: WHEREAS pursuant to the Company’s advertisement inviting offer for handling, transportation, storage and selling of Iron and Steel materials in Sri Lanka, the Consignment Sales Agent vide his Letter No. __ dated offered to provide the services. AND WHEREAS by its letter no. dated_ the Company accepted the offer of the Consignment Sales Agent and whereas it is necessary and expedient to set out the terms and conditions of appointment in an instrument in writing. NOW THESE PRESENTS WITNESS AND IT IS HEREBY AGREED TO AND DECLARED BY AND BETWEEN THE PARTIES AS FOLLOWS: 1. In consideration of the payments to be made at the time and upon the terms and

conditions as hereinafter mentioned, the Consignment Sales Agent covenants and agrees with the Company that the Consignment Sales Agent shall undertake the job of handling, storage and selling of Iron and Steel materials of the Company on the terms, stipulations and conditions and in such manner and in all respects as are mentioned in the annexures hereto and the Consignment Sales Agent agrees to do and perform all such acts, works or jobs as are mentioned or described in the said annexures or as may be reasonably necessary or incidental for completion of such acts, works or jobs in accordance with the true intent and meaning hereof in the manner and subject to the terms and conditions and stipulations as herein mentioned.

2. The documents set out below and hereto annexed shall form part of the Contract for

construction, interpretation of the effect and scope of the Contract Terms and


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Conditions.

Letter no……………..Date……………..from the Consignment Sales Agent Letter no……………..Date……………..from the Company Notice Inviting Tender Instructions to Tenderer Tender Form Declaration of Form of Agreement Terms and conditions of Contract for handling, transportation, storage and selling of Iron and Steel materials. Schedule of Rates

3. In consideration of the due performance, execution and completion of the works covered

under this Agreement, the Company covenants and agrees to pay the Consignment Sales Agent at the agreed rates as aforesaid but subject in all respects to the Conditions of Contract contained in the annexures.

4. The Contract shall be effective from __ and shall remain in force for a period of 2 (Two) years with a provision for extension for one more year at the same terms and conditions subject to mutual consent. However, the Company shall have the option to terminate the Contract at any time during the period of the Contract by giving one month written notice without assigning any reason. No compensation will be payable on this account. All implications because change in tax regime, duties, taxes and levies of any nature what so ever will be to CSA’s account during the tenure of the Contract and no additional compensation on this account will be payable under any circumstances.

5. The contents of the correspondence between the parties hereto in respect of the contract

except in so far as they have been specially incorporated in the Annexures hereto shall not in any way affect this Agreement which will in all respects be governed by the provisions contained herein and the Annexures hereto. There is no other Agreement or understanding between the parties in respect of anything said or done in connection with the Agreement apart from the contents of these presents or the said Annexures hereto.

6. No modification or amendment of this Agreement shall be valid and binding between

the parties unless the same is made in writing and is signed by the parties and termed as amendment to this Agreement.

7. Failure to enforce any of the terms and conditions contained in this Agreement shall not

operate as a waiver of the terms or breach thereof. 8. In case of any conflict between the Terms and Conditions of Contract and any of the


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contract documents specified under Clause 2 hereof the Terms and Conditions of Contract will prevail. Mutually agreed deviations to the Terms and conditions as contained in the Letter of Intent shall prevail over the other contract documents.

IN WITNESS WHEREOF both parties have set their hands and subscribed their signatures to this instrument after fully going through the contents hereof and after fully understanding the implications and significance. Signed, Sealed and Delivered for and on behalf of the above mentioned Rashtriya Ispat Nigam Limited at _

Witness: Signed, Sealed and Delivered for and on behalf of M/s.

Witness:


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ANNEXURE-4

FORM OF BANK GUARANTEE FOR EMD

(ON NON JUDICIAL STAMP PAPER OF VALUE NOT LESS THAN Rs 100/-PURCHASED IN THE NAME OF EXECUTING BANK)

(FROM A Nationalised /Scheduled Commercial Bank in Sri Lanka, through their Branch / Associate Bank in Visakhapatnam and claim payable at Visakhapatnam )

1. Name & Address of the Bank:

(Full Postal Address &PIN code to be given)

2. Bank Guarantee No. & Date:

3. Limit of liability: INR 37,50,000/- (USD 59710)

4. Expiry Date: One Year from the date of issue of BG

5. Tender Notice Ref No ____________________ Date_____________

6. Name of the work: Appointment of Consignment Sales Agent at Colombo, Sri Lanka for Handling, Transportation, Storage and Sale of Iron & Steel materials of RINL in Sri Lanka.

To

Rashtriya Ispat Nigam Ltd., Visakhapatnam Steel Plant Visakhapatnam 530 031 (AP) Sub: Earnest Money Deposit.

1. In consideration of M/s Rashtriya Ispat Nigam Limited, Visakhapatnam Steel Plant having its registered office of Administrative Building, Visakhapatnam 530 031 (hereinafter called “the Company”) which expression shall unless repugnant to the subject or context includes his successors and assigns having agreed to exempt M/s……………………………. (hereinafter called “the tenderer”) from demand under the terms and conditions of the Tender No. ………………. Dt…………………… issued by the Company for the work of CONSIGNMENT SALES AGENT AT COLOMBO, SRI LANKA FOR HANDLING, TRANSPORTATION, STORAGE AND SALE OF IRON & STEEL MATERIALS OF RINL IN SRI LANKA hereinafter called the said “Document”) from deposit of Earnest Money for the due fulfillment of the tenderer of terms and conditions contained in the said documents on production of a Bank Guarantee for INR ……………… / USD (INR …………only) / USD_____.

2. We, the …………. Bank (hereinafter referred to as “the said Bank”) a Company under the Companies Act, 1956 and having our Registered Office at…………………….. do hereby undertake and agree to indemnify and keep indemnified the Company to the extent of Rs………………… of (Rupees……………….only) against any loss or damage costs,


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charges and expenses caused to or suffered by or that may be caused or suffered by the Company by reasons of any breach or breaches by the tenderer of any of the terms and conditions contained in the said documents and unconditionally pay the amount claimed by the Company on demand and without demur to the extent aforesaid.

3. We, …………………, the Bank further agrees that if the tenderer commits any breach of the terms and conditions of the said documents in respect of which the tenderer has been exempted from depositing the Earnest Money because of the guarantee furnished by the Bank to the Company and the Company has become entitled to forfeit the Earnest Money or any part thereof, the Bank hereby unconditionally and irrevocably agrees and undertakes to pay to the Company on demand and without demur the amount of the Earnest Money required to be furnished by the tenderer under the conditions of the said documents in respect of which the breach is committed to the extent of INR 37,50,000/- (USD 59710) (INR Thirty seven lakhs fifty thousand only) / (USD Fifty nine thousand seven hundred and ten only).

4. We, the ……………, Bank further agrees that the company shall be the sole judge of and as to whether the tenderer has committed any breach or breaches or any of the terms and conditions of the said documents and the extent of loss, damage, costs, charges and expenses caused to or suffered by or that may be caused to or suffered by the Company on account thereof to the extent of the Earnest Money required to be deposited by the tenderer in respect of the said document and the decision of the Company that the tenderer has committed such breach and as to the amount or amounts of loss, damage, costs, charges and expenses caused to or suffered by or that may be caused to or suffered by the Company shall be final and binding on us.

5. We, the said Bank, further agree that the guarantee herein contained shall remain in full force and effect until it is released by the company, provided, always the guarantee shall in no event remain in force after the ……………… day of …………… without prejudice to the claims of the Company arisen and demanded from or otherwise notified to us in writing on or before the said date which will be enforceable against us not withstanding that the same are enforced after the said date.

6. The Company shall have the fullest liberty without affecting in any way the liability of the Bank under this guarantee or Indemnity from time to time to vary any of the terms and conditions of the said contract supply or to extend time of performance by the tenderer or to postpone for any time and from time to time any of the powers exercisable by it against the tenderer and either to enforce or forbear from enforcing any of the terms and conditions governing the said document or securities available to the Company and the said Bank shall not be realized from its liability under these presents by any exercise of the Company of the liberty with reference to the matters aforesaid or by reason of time being given to the tenderer or any other forbearance act or omission on the part of the Company or any indulgence by the Company to the tenderer or of any other matter or thing whatsoever which under the law relating to sureties would but for these provision have the effect or so releasing the Bank from its liability.

7. It shall not be necessary for the Company to proceed against the tenderer before proceeding


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against the Bank and the guarantee herein contained shall be enforceable against the Bank not withstanding any security which the Company may have obtained or obtain from the tenderer shall at the time when proceeding (s) are taken against the Bank hereunder be outstanding or unrealized.

8. We, the said bank lastly undertake not to revoke this guarantee during its currency except with the previous consent of the Company in writing and agree that any change in the constitution of the Company or the tenderer, the Bank shall not discharge our liability hereunder.

9. We (mention the name of the Bank), hereby agree that any claim due and arising under this guarantee shall be enforceable against our Bank’s Branch _____________________ (mention the name and address of the Branch) at VISAKHAPATNAM (RINL’s controlling Head Quarter) and they shall honour such demand in any case not later than next working day.

10. Issuance of this Bank Guarantee may also be got confirmed from our controlling branch/ office/higher Authority as per the name & address mentioned below:

________________________

________________________

Place …………………….. Signature ……………………….

Date ……………………… Name ………………………………

Note: Instructions to the Bank: Not to be reproduced in the Bond Paper.

The following are to be filled up in the blank space indicated thus:

All pages of bank guarantees shall have the Rubber Stamp and signature of the Officer of the Bank.

All corrections shall be attested by Rubber Stamp and Stamp of the Officer of Bank.


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ANNEXURE-5

FORM OF BANK GUARANTEE FOR SECURITY OF MATERIAL REQUSITIONED

BY CSA


(FROM A Nationalized /Scheduled Commercial Bank in Sri Lanka, through their Branch / Associate Bank in Visakhapatnam and claim payable at Visakhapatnam )

Name & Address of the Bank: Bank Guarantee No. & Date: Date of expiry: Limit of liability: INR 30,00,000/- (USD 47770) Ref: VSP's Letter of Acceptance Ref No: ………… Subject: Security Deposit for Security of material requisitioned by CSA and sales to be

carried out by CSA. To Rashtriya Ispat Nigam Limited Visakhapatnam Steel Plant Visakhapatnam- 530031 In consideration of Rashtriya Ispat Nigam Limited, Visakhapatnam Steel Plant, a Government Company incorporated under the Companies Act, 1956 having its Registered Office at Main Adminstrative Building, VSP, Visakhapatnam, India, (hereinafter called the Company) having agreed to accept this Bond towards the Security Deposit of INR 30,00,000/- (USD 47770) under the terms and conditions of the contract awarded vide Letter of Acceptance No.________________ dated ________ (hereinafter called 'the said Agreement') made between the Company and M/s_______________________________________________________________________________________________________________________________ (hereinafter called “the Consignment Sales Agent”) for handling, storage and sale of iron and steel products covered under the said agreement as a guarantee for the security of materials dispatched to the said Consignment Sales Agent in terms of the said agreement as also for the due fulfillment of all the terms and conditions contained in the said agreement, on furnishing of a Bank Guarantee for INR 30,00,000/- (USD 47770) we (Name of the bank) (hereinafter referred as the said Bank) do hereby covenant and agree with you as under: 1.0 We undertake to indemnify you and keep you indemnified from time to time to the

extent of INR 30,00,000/- (USD 47770 ) against any loss or damage or costs caused


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to or suffered by or that may be caused or suffered by you by reason of any breach or breaches on the part of the Consignment Sales Agent of any of the terms and conditions contained in the said agreement and in the event the Consignment Sales Agent shall make any defaults in carrying out any of the works under the said agreement or otherwise in the observance and performance of any of the terms and conditions relating thereto, we shall forthwith without any protest or demur pay to you such sum or sums not exceeding in total the said sum of INR 30,00,000/- (USD 47770 ) as may be claimed by you as your losses and / or damages, costs, charges or expenses by reason of such default / defaults on the part of the Consignment Sales Agent.

2. Notwithstanding anything to the contrary, your decision as to whether the Consignment

Sales Agent has made any such default or defaults and the amount or amounts to which you are entitled by reason thereof shall be binding on us and we shall not be entitled to ask you to establish your claim under this Guarantee but will pay the same on demand from you without any objection.

3. The Company shall have the fullest liberty to claim payment of the amount or amounts

from time to time under this Guarantee subject to the ceiling limit of INR 30,00,000/- (USD 47770) as referred to above and this Guarantee shall not become invalid or infructuous because of the partial demands made by the Company upon us for payment under the circumstances stipulated hereinabove and this guarantee shall hold good in favour of the Company to the extent of the balance amount covered under this Guarantee.

4. This Guarantee shall continue and hold good until it is released by you on the application

by the Consignment Sales Agent after the Consignment Sales Agent had discharged all its obligations under the said contract and produced a certificate of the due completion of the work under the said contract and submitted a No Demand Certificate. Should it be necessary to extend this Guarantee beyond the said date because of any extension of time being granted by you to the Consignment Sales Agent under the said contract or otherwise we undertake to extend the period of this Guarantee and confirm to you in writing the extension of time on your request till such time as may be required.

5. You will have the fullest liberty without our consent and without affecting this guarantee

from time to time to vary any of the terms and conditions of the said agreement or extend time of performance of the Consignment Sales Agent or to postpone for any time or from time to time any of your rights or powers against Consignment Sales Agent and either to enforce or forbear to enforce any of the terms and conditions of the said contract and we shall not be released from our liability under this Guarantee by the exercise of your liberty with reference to matters aforesaid or by reason of any time being given to the Consignment Sales Agent or any other forbearance, act or omission on your part or any indulgence by you to the Consignment Sales Agent or by any variation or modification of the said contract / or by any other act matter or thing whatsoever which under the law relating to sureties would but for the provisions hereto have the effect of so releasing us from our liability hereunder provided always nothing herein contained will enlarge our liability herein beyond the limit of INR 30,00,000/- (USD 47770 ) as aforesaid or extend the period of Guarantee beyond the said day of .................20.... Unless expressly agreed to by us in writing.

6. This guarantee shall not in any way be affected by your taking or varying or giving up

any sureties from the Consignment Sales Agent or any other person, firm or company on its behalf or by the winding up, dissolution, insolvency reconstruction, or death of the Consignment Sales Agent.


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7. To give full effect to the guarantee herein contained you shall be entitled to act as if we were your Principal debtors in respect of all your claims against the Consignment Sales Agent hereby guaranteed by us as aforesaid and we hereby expressly waive all our rights of surety ship and other rights, if any, which are in any way inconsistent with the above or any other provisions of this guarantee.

8. Subject to the maximum limit of our liability as aforesaid, this guarantee will cover all

your claim or claims against the Consignment Sales Agent from time to time arising out of or in relation to the said Contract and in respect of which your demand or notice in writing is received by us.

9. This guarantee and the powers and provisions herein contained are in addition to and not

by way of limitation of our substitution for any other guarantee or guarantees thereto given to you by us (whether jointly with other or alone) and now existing uncancelled and that this guarantee is not intended to and shall not revoke or limit such guarantee or guarantees.

10. This guarantee shall not be affected by any change in the constitution of the Consignment

Sales Agent or us nor shall it be effected by any change in your constitution or by any amalgamation or absorption or reconstruction thereof or therewith but will ensure for and be available to and enforceable by the absorbing or amalgamated reconstructed company or concern.

11. This guarantee during its currency shall not be revocable by us except with your previous

consent in writing. 12. It shall not be necessary for you to proceed against the Consignment Sales Agent before

proceeding against us and the guarantee herein contained shall be enforceable against us, notwithstanding any security which you may have obtained or obtain from Consignment Sales Agent at any time or when proceedings are taken against us hereunder be outstanding or realized.

13. We (mention the name of the Bank), hereby agree that any claim due and arising under

this guarantee shall be enforceable against our Bank’s Branch --- (mention the name and address of the Branch) at ...........Visakhapatnam, India and they shall honor such demand in any case not later than next working day.

14. Issuance of this Bank Guarantee may also be got confirmed from our controlling branch/

office/higher Authority as per the name & address mentioned below: ________________________

________________________ Yours faithfully,


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ANNEXURE-6

FORM OF BANK GUARANTEE FOR SECURITY OF MATERIAL REQUSITIONED BY RINL


(FROM A Nationalized /Scheduled Commercial Bank in Sri Lanka, through their Branch / Associate Bank in Visakhapatnam and claim payable at Visakhapatnam )

Name & Address of the Bank: Bank Guarantee No. & Date: Date of expiry: Limit of liability: INR 2,68,00,000/- (USD 426690 ) Ref: VSP's Letter of Acceptance Ref No: ………… Subject: Security Deposit for Security of material requisitioned by CSA and sales to be

carried out by RINL. To Rashtriya Ispat Nigam Limited Visakhapatnam Steel Plant Visakhapatnam- 530031 In consideration of Rashtriya Ispat Nigam Limited, Visakhapatnam Steel Plant, a Government Company incorporated under the Companies Act, 1956 having its Registered Office at Main Administrative Building, VSP, Visakhapatnam, India, (hereinafter called the Company) having agreed to accept this Bond towards the Security Deposit of INR 2,68,00,000/- (USD 426690 ) under the terms and conditions of the contract awarded vide Letter of Acceptance No.________________ dated ________ (hereinafter called 'the said Agreement') made between the Company and M/s_______________________________________________________________________________________________________________________________ (hereinafter called “the Consignment Sales Agent”) for handling, storage and sale of iron and steel products covered under the said agreement as a guarantee for the security of materials dispatched to the said Consignment Sales Agent in terms of the said agreement as also for the due fulfillment of all the terms and conditions contained in the said agreement, on furnishing of a Bank Guarantee for INR 2,68,00,000/- (USD 426690 ) we (Name of the bank) (hereinafter referred as the said Bank) do hereby covenant and agree with you as under:


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1.0 We undertake to indemnify you and keep you indemnified from time to time to the extent of INR 2,68,00,000/- (USD 426690 ) against any loss or damage or costs caused to or suffered by or that may be caused or suffered by you by reason of any breach or breaches on the part of the Consignment Sales Agent of any of the terms and conditions contained in the said agreement and in the event the Consignment Sales Agent shall make any defaults in carrying out any of the works under the said agreement or otherwise in the observance and performance of any of the terms and conditions relating thereto, we shall forthwith without any protest or demur pay to you such sum or sums not exceeding in total the said sum of INR 2,68,00,000/- (USD 426690) as may be claimed by you as your losses and / or damages, costs, charges or expenses by reason of such default / defaults on the part of the Consignment Sales Agent.

2. Notwithstanding anything to the contrary, your decision as to whether the Consignment

Sales Agent has made any such default or defaults and the amount or amounts to which you are entitled by reason thereof shall be binding on us and we shall not be entitled to ask you to establish your claim under this Guarantee but will pay the same on demand from you without any objection.

3. The Company shall have the fullest liberty to claim payment of the amount or amounts

from time to time under this Guarantee subject to the ceiling limit of INR 26800000/- (USD 426690) as referred to above and this Guarantee shall not become invalid or infructuous because of the partial demands made by the Company upon us for payment under the circumstances stipulated hereinabove and this guarantee shall hold good in favour of the Company to the extent of the balance amount covered under this Guarantee.

4. This Guarantee shall continue and hold good until it is released by you on the application

by the Consignment Sales Agent after the Consignment Sales Agent had discharged all its obligations under the said contract and produced a certificate of the due completion of the work under the said contract and submitted a No Demand Certificate. Should it be necessary to extend this Guarantee beyond the said date because of any extension of time being granted by you to the Consignment Sales Agent under the said contract or otherwise we undertake to extend the period of this Guarantee and confirm to you in writing the extension of time on your request till such time as may be required.

5. You will have the fullest liberty without our consent and without affecting this guarantee

from time to time to vary any of the terms and conditions of the said agreement or extend time of performance of the Consignment Sales Agent or to postpone for any time or from time to time any of your rights or powers against Consignment Sales Agent and either to enforce or forbear to enforce any of the terms and conditions of the said contract and we shall not be released from our liability under this Guarantee by the exercise of your liberty with reference to matters aforesaid or by reason of any time being given to the Consignment Sales Agent or any other forbearance, act or omission on your part or any indulgence by you to the Consignment Sales Agent or by any variation or modification of the said contract / or by any other act matter or thing whatsoever which under the law relating to sureties would but for the provisions hereto have the effect of so releasing us from our liability hereunder provided always nothing herein contained will enlarge our liability herein beyond the limit of INR 2,68,00,000/- (USD 426690) as aforesaid or extend the period of Guarantee beyond the said day of .................20.... Unless expressly agreed to by us in writing.

6. This guarantee shall not in any way be affected by your taking or varying or giving up

any sureties from the Consignment Sales Agent or any other person, firm or company on


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its behalf or by the winding up, dissolution, insolvency reconstruction, or death of the Consignment Sales Agent.

7. To give full effect to the guarantee herein contained you shall be entitled to act as if we

were your Principal debtors in respect of all your claims against the Consignment Sales Agent hereby guaranteed by us as aforesaid and we hereby expressly waive all our rights of surety ship and other rights, if any, which are in any way inconsistent with the above or any other provisions of this guarantee.

8. Subject to the maximum limit of our liability as aforesaid, this guarantee will cover all

your claim or claims against the Consignment Sales Agent from time to time arising out of or in relation to the said Contract and in respect of which your demand or notice in writing is received by us.

9. This guarantee and the powers and provisions herein contained are in addition to and not

by way of limitation of our substitution for any other guarantee or guarantees thereto given to you by us (whether jointly with other or alone) and now existing uncancelled and that this guarantee is not intended to and shall not revoke or limit such guarantee or guarantees.

10. This guarantee shall not be affected by any change in the constitution of the Consignment

Sales Agent or us nor shall it be effected by any change in your constitution or by any amalgamation or absorption or reconstruction thereof or therewith but will ensure for and be available to and enforceable by the absorbing or amalgamated reconstructed company or concern.

11. This guarantee during its currency shall not be revocable by us except with your previous

consent in writing. 12. It shall not be necessary for you to proceed against the Consignment Sales Agent before

proceeding against us and the guarantee herein contained shall be enforceable against us, notwithstanding any security which you may have obtained or obtain from Consignment Sales Agent at any time or when proceedings are taken against us hereunder be outstanding or realized.

13. We (mention the name of the Bank), hereby agree that any claim due and arising under

this guarantee shall be enforceable against our Bank’s Branch --- (mention the name and address of the Branch) at Visakhapatnam and they shall honor such demand in any case not later than next working day.

14. Issuance of this Bank Guarantee may also be got confirmed from our controlling branch/

office/higher Authority as per the name & address mentioned below: ________________________

________________________ Yours faithfully,


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ANNEXURE-7

FORM OF SECURITY DEPOSIT BANK GUARANTEE TOWARDS PERFORMANCE OF THE CONTRACT.

TO BE ESTABLISHED THROUGH ANY NATIONALIZED BANK / SCHEDULED COMMERCIAL BANK IN SRI LANKA THROUGH THEIR BRANCH / ASSOCIATE BANK IN VISAKHAPATNAM AND PAYABLE AT VISAKHAPATNAM WHOSE ADDRESS IS ALSO TO BE SPECIFIED IN THE BG. BG ISSUED BY CO-OPERATIVE BANKS ARE NOT ACCEPTED.

(To be submitted on Non-judicial Stamp paper of the value of Indian Rupees of One Hundred

and should have been issued in the name of the Bank issuing the BG & the date of sale of stamp paper should be prior to the date of the BG)

Name & Address of the Bank:

Bank Guarantee No. & Date:

Date of expiry:

Limit of liability: INR 5,00,000/- (USD 7961).

Ref: RINL's Letter of Acceptance Ref No:…………

Sub: Security Deposit Bank Guarantee towards Performance Guarantee for Appointment of Consignment Sales Agent at Colombo, Sri Lanka, for handling Transportation, Storage and Sale of Iron & Steel materials of RINL in Sri Lanka.

To

Rashtriya Ispat Nigam Limited Visakhapatnam Steel Plant Visakhapatnam- 530031

In consideration of Rashtriya Ispat Nigam Limited, Visakhapatnam Steel Plant, a Government Company incorporated under the Companies Act, 1956 having its registered office at Main Administrative Building, Visakhapatnam Steel Plant, Visakhapatnam-530031 and its International Marketing Division at 5th Floor, East Tower, World Trade Centre, Colombo-1 (hereinafter called the Company) having agreed to accept this Bank


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Guarantee towards the Security Deposit of INR 5,00,000/- (USD 7961 ) under the terms and conditions of the contract awarded vide Letter of Acceptance No.________________ dated ________ (hereinafter called 'the said Agreement') made between the Company and M/s_______________________________________________________________________________________________________________________________ (hereinafter called the CSA for handling, transportation, storage and sale of of Iron & Steel material of RINL in Sri Lanka and other works covered under the said agreement as a guarantee for the security of materials dispatched to the said Consignment Sales Agent in terms of the said agreement as also for the due fulfillment of all the terms and conditions contained in the said agreement, on furnishing of a Bank Guarantee for (INR 5,00,000/-(USD 7961) we________(Name of the Bank)________________________________

(hereinafter referred as the said Bank) do hereby covenant and agree with you as under:

1. We undertake to indemnify you and keep you indemnified from time to time to the extent of INR 5,00,000/- (USD 7961 ), against any loss or damage or costs caused to or suffered by or that may be caused or suffered by you by reason of any breach or breaches on the part of the Consignment Sales Agent of any of the terms and conditions contained in the said agreement and in the event the Consignment Sales Agent shall make any defaults in carrying out any of the works under the said agreement or otherwise in the observance and performance of any of the terms and conditions relating thereto, we shall forthwith without any protest or demur pay to you such sum or sums not exceeding in total the said sum of INR 5,00,000/- (USD 7961) as may be claimed by you as your losses and/or damages, costs, charges or expenses by reason of such default / defaults on the part of the Consignment Sales Agent.

2. Notwithstanding anything to the contrary, your decision as to whether the Consignment Sales Agent has made any such default or defaults and the amount or amounts to which you are entitled by reason thereof shall be binding on us and we shall not be entitled to ask you to establish your claim under this Guarantee but will pay the same on demand from you without any objection.

3. The Company shall have the fullest liberty to claim payment of the amount or amounts from time to time under this Guarantee subject to the ceiling limit of INR 5,00,000/- (USD 7961) as referred to above and this Guarantee shall not become invalid or infructuous because of the partial demands made by the Company upon us for payment under the circumstances stipulated hereinabove and this guarantee shall hold good in favour of the Company to the extent of the balance amount covered under this Guarantee.

4. This Guarantee shall continue and hold good until it is released by you on the application by the Consignment Sales Agent after the Consignment Sales Agent had discharged all its obligations under the said contract and produced a certificate of the due completion of the work under the said contract and submitted a No Demand Certificate. Should it be necessary to extend this Guarantee beyond the said date on account of any extension of time being granted by you to the Consignment Sales Agent under the said contract or otherwise we undertake to extend the period of this Guarantee and confirm to you in writing the extension of time on your request till such time as may be required.


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5. You will have the fullest liberty without our consent and without affecting this guarantee from time to time to vary any of the terms and conditions of the said agreement or extend time of performance of the Consignment Sales Agent or to postpone for any time or from time to time any of your rights or powers against Consignment Sales Agent and either to enforce or forbear to enforce any of the terms and conditions of the said contract and we shall not be released from our liability under this Guarantee by the exercise of your liberty with reference to matters aforesaid or by reason of any time being given to the Consign-ment Sales Agent or any other forbearance, act or omission on your part or any indulgence by you to the Consignment Sales Agent or by any variation or modification of the said contract / or by any other act matter or thing whatsoever which under the law relating to sureties would but for the provisions hereto have the effect of so releasing us from our liability hereunder provided always nothing herein contained will enlarge our liability herein beyond the limit of INR 5,00,000/- (USD 7961 ) as aforesaid or extend the period of Guarantee beyond the said day of .................20.... unless expressly agreed to by us in writing.

6. This guarantee shall not in any way be affected by your taking or varying or giving up any sureties from the Consignment Sales Agent or any other person, firm or company on its behalf or by the winding up, dissolution, insolvency reconstruction, or death as the case may be of the Consignment Sales Agent.

7. In order to give full effect to the guarantee herein contained you shall be entitled to act as if we were your principal debtors in respect of all your claims against the Consignment Sales Agent hereby guaranteed by us as aforesaid and we hereby expressly waive all our rights of suretyship and other rights, if any, which are in any way inconsistent with the above or any other provisions of this guarantee.

8. Subject to the maximum limit of our liability as aforesaid this guarantee will cover all your claim or claims against the Consignment Sales Agent from time to time arising out of or in relation to the said Contract and in respect of which your demand or notice in writing is received by us.

9. This guarantee and the powers and provisions herein contained are in addition to and not by way of limitation of our substitution for any other guarantee or guarantees thereto given to you by us (whether jointly with other or alone) and now existing uncancelled and that this guarantee is not intended to and shall not revoke or limit such guarantee or guarantees.

10 This guarantee shall not be affected by any change in the constitution of the Consignment Sales Agent or us nor shall it be effected by any change in your constitution or by any amalgamation or absorption or reconstruction thereof or therewith but will ensure for and be available to and enforceable by the absorbing or amalgamated reconstructed company or concern.


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1. This guarantee during its currency shall not be revocable by us except with your previous consent in writing.

2. The bank shall extend the BG for a suitable period at the request of RINL.

3. It shall not be necessary for you to proceed against the Consignment Sales Agent before

proceeding against us and the guarantee herein contained shall be enforceable against us, notwithstanding any security which you may have obtained or obtain from Consignment Sales Agent at any time or when proceedings are taken against us hereunder be outstand-ing or realized.

4. We (mention the name of the Bank), hereby agree that any claim due and arising under this guarantee shall be enforceable against our Bank’s Branch at Visakhapatnam (mention the name and address of the Branch ) at Visakhapatnam (RINL’s controlling Head Quarter city) and they shall honour such demand in any case not later than next working day.

5. Issuance of this Bank Guarantee may also be got confirmed from our controlling branch/ office/higher Authority as per the name & address mentioned below:

________________________

________________________

Yours faithfully,


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ANNEXURE-8

CHECK LIST FOR BANK GUARANTEES Name of the party submitting BG: Tender No: Name of the Bank issuing BG: Branch issuing the BG: BG No.: BG Date: BG Value: 1 Is the BG as per the approved format of RINL ? Yes / No 2 Is the BG issued by the specified category of Banks (Scheduled commercial

bank / Nationalized bank etc. as specified in the contract).? Yes / No

3 Is the BG executed on stamp paper of adequate value under the relevant state rules ?

Yes / No

4 Is the stamp paper obtained in the name of the bank issuing the BG ? Yes / No 5 Is the date of sale of stamp paper prior to the date of the BG ? Yes / No 6 Does the BG refer to the concerned agreement / tender with reference to

which the BG is issued ? Yes / No

7 Does the BG bear the number, date and seal of the issuing Bank ? Yes / No 8 Is the BG signed on all pages ? Yes / No 9 Whether the name, designation & code number of the officer/officers singing

the BG are mentioned against the signatures of respective officer/officers ?

Yes / No

10 Whether the BG validity period is as per the concerned contractual requirement ?

Yes / No

11 Whether the BG format contains a foot note regarding the details of the controlling office / higher authority from which confirmation regarding issuance of BG may also be obtained as given below:

“Issuance of this bank guarantee may also be got confirmed from our

controlling branch / office / Higher Authority (Name & Address)”

Yes / No

12 BG contains the clause for ‘Enforceability of the same at Visakhapatnam*’ and the address for the same is also specified in the BG.

Yes / No

13 Enclosed is the Original confirmation letter from the BG enforcing and paying Bank/Branch at Visakhapatnam in the case BG is issued from a Bank outside Visakhapatnam.

Yes / No

Note: The BGs can be accepted only when reply to all the above are ‘Yes’

Signature of the Tenderer

Date: ………………….


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ANNEXURE-9

PROFORMA FOR NO-CLAIM CERTIFICATE

To, Dy. General Manager (Marketing)-ITD Marketing Department Visakhapatnam Steel Plant Rashtriya Ispat Nigam Limited Visakhapatnam Dear sir,

Sub: No claim certificate I/We hereby certify that, except for the unpaid bills mentioned hereunder for work done as per our Contract No............... dated.......... with you as Consignment Sales Agent in Sri Lanka. I/WE have no claims against your company. Bill No. Date Amount

(Signature of the Consignment Sales Agent)

Name of the signatory:

Seal of the Company:

Place: Date:


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ANNEXURE-10

Tender for Consignment Sales Agent at Colombo, Sri Lanka.

Ref. No. Dt.

COVERING LETTER FOR SUBMISSION OF TENDERS To, DGM(Mktg)-ITD I/c Rashtriya Ispat Nigam Limited, Visakhapatnam Steel Plant, Visakhapatnam. Dear Sir, Sub: Tender for entering into contract as Consignment Sales Agent of Rashtriya Ispat Nigam

Limited for handling, transportation and sale of iron and steel products at Colombo, Sri Lanka.

1. Subject to the instructions and conditions given in the tender document, terms and

conditions of contract and draft agreement annexed thereto, I/We hereby tender for the contract for working as Consignment Sales Agent for Rashtriya Ispat Nigam Ltd. I/We hereby certify that I/We have examined and am/are familiar with all the provisions of this tender document and agree to abide by all the terms and conditions laid therein.

2. The following certificates/documents are enclosed:

Self-declaration stating that I have the resources to undertake the Consignment Sales

Agency jobs envisaged in the tender. Self-Declaration as to whether I have any relative within the meaning of Section 6 read

with Schedule 1A of the Companies Act 1956, employed in any capacity in RINL. This tender document with all pages intact and duly signed by the authorized person.

3. A sum of INR 37,50,000/- (USD 59710) is forwarded herewith as Earnest Money Deposit in the form of DD/Pay Order/ Bank Guarantee from a A Nationalized /Scheduled Commercial Bank in Sri Lanka, through their Branch / Associate Bank in Visakhapatnam and claim payable at Visakhapatnam.

4. I/We agree to keep this tender open for a period of 120 (One Hundred Twenty) days from the date fixed for opening and the same cannot be withdrawn from the said period of 120 (One hundred Twenty) days or until a contract for the said work is fully executed, with a third party, whichever is earlier.

5. I/We do hereby declare that the entries made in the tender document and the annexures /appendices attached there are true.

Yours faithfully,

Signature of authorized representative of Tenderer

(Name of the authorized signatory):

Tenderer's address: Address: Telephone No

E-mail

Signature of Witnesses Address of Witnesses


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ANNEXURE-11

Rashtriya Ispat Nigam Limited. Visakhapatnam Steel Plant (A Govt. of India Enterprise)

Exports Section, Marketing Department Main Administrative Building,

Visakhapatnam-530031 Tender for Consignment Sales Agency at Colombo, Sri Lanka

Ref. No………………………… Dt……………

LETTER OF ACCEPTANCE (LOA)

To M/s. ____________

Dear Sir,

Sub: Our Tender Notice No ………………………… Dt…………. for Appointment of Consignment Sales Agent at Colombo, Sri Lanka.

Ref: Your Tender Quotation no. …………. dt…………. in response to the subject Tender Notice

(All other relevant references)

1 Please refer to your above Tender Quotations opened on ................. and (strike out whatever is not applicable) the subsequent negotiation held on ....... and/ or your correspondence dated

2 We have the pleasure to inform you that your above tender has been accepted by us. You are, therefore, requested to submit BG towards Security Deposit for Performance of the contract for INR 5,00,000/- (USD 7961) to us on or before_____, with the following documents, amongst others, as already stipulated in the Tender Terms.

Any other documents necessary as per the local conditions. 3. In the event of your failure to submit the above document(s) within the prescribed time,

the acceptance of your tender shall be withdrawn and you will be held responsible for all consequences.

4. On your compliance of the above within the time and prescribed herein, we shall issue

you a Work Order enabling you to commence working as a Consignment Sales Agency envisaged under the contract awarded to you. Issue of work order for CSA is solely at the discretion of RINL.

5. On non-compliance/ non-submission of any of the documents indicated above by the date indicated at para 2 above, the EMD/SD deposited by you shall be liable for forfeiture/encashment by the Company.

6. You are also requested to submit the remaining Bank Guarantees (Financial Arrangement

BGs for material despatched against material requisitioned by CSA and Financial Arrangement BGs for material despatched against material requisitioned by RINL) as per the subsequent intimation given by RINL separately.


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7. Till the date of signing the agreement, this LOI along with Tender, NIT, ITT, Terms and conditions, all other Annexures and the letters under reference shall be considered as contract.

Please acknowledge receipt.

Thanking you, Yours faithfully,

For Rashtriya Ispat Nigam Limited

DGM(Mktg)ITD I/c

** to be deleted wherever required.