Buyer Added Bid Specific Additional Terms & Conditions:

Sl. Bid Specific Terms & Conditions

No.
1 On behalf of the President of India, the General Manager, Ordnance Factory DehuRoad (OFDR),
Pune (A Unit of Munitions India Ltd (MIL)) through this Limited Tender Enquiry TE No.
2022000377,dtd16/11/2022 (Buyer System TE No.) invites bids from the established &
Registered vendors with the MIL Group of Factories/ ErstwhileOFB as decided by the concerned
VSL TPC for the following tendered item.

Nomenclature of the Stores/Services (Tender Item): -MAIN SPRING.SPRING

STEEL WIRE TO SPEC.IS: 4454 PART-I 2001,REAFFIRMED 2015 GRADE-III TO
DRG.NO.ARDE 2222 DET.NO.11.PT.NO.ITV 259 DC 37039-A.DT.25/01/2006 &
SPECN.NO.CQA(A) 2345(C) DC 36513A DT.25/01/1999. /Item Code=6228120036/Qty= 22600
Nos

(i) Being a Limited Tender Enquiry, other than Established & registered vendor as mentioned
above will not be allowed to participate. Offer received from such firm(s) will be
summarily ignored and no correspondence will be entertained.

(ii) However, Established & Registered vendors of sister factories (establish with the MIL
group of factories/erstwhile OFB) for the tendered item only are also eligible to
participate in the instant TE/Bid. However, they have to submit supporting document of
supply details and registration certificate for the tendered item before bid closing date. In
absence of these supporting documents their offer will be ignored/price bid will not be
opened.

(iii) As per MIL SPM, 2021, Clause No.,2.17, if the vendor is established but not registered, it
will be essential for the vendor to get registered before opening of bid. For any
established vendor which is not registered, it will be essential to get registration before
opening of bid, else his offer will not be considered.

(iv) While creating custom catalog, firm/bidder must keep Model Name as per “Nomenclature
of the Stores/Services” mentioned in the bid document/Buyer added bid specific
additional terms & conditions. If same is not matching with “Nomenclature of the
Stores/Services”, then offer of such bidder may be liable for rejection, as while creating
GeM contract/order, Model Name is appears as a product name under the Item description
and same should be matched with “Nomenclature of the Stores/Services” intended to be
procured against this Bid/Tender.(GeM Contract/Order shall be created/generated exactly
as per the item nomenclature of instant Tender.) For example:- For the instant Bid, Model
Name shall be “MAIN SPRING.SPRING STEEL WIRE TO SPEC.IS: 4454 PART-I
2001, REAFFIRMED 2015 GRADE-III TO DRG.NO.ARDE 2222 DET.NO.11.PT.
NO.ITV 259 DC 37039-A.DT.25/01/2006 & SPECN.NO.CQA(A) 2345 (C) DC 36513A
DT.25/01/1999”.(Considering restricted character length at GeM portal, bidders are
requested to enter the model name as much as possible)

2 The Pre-qualification/eligibility criteria

2.1. Firms which are established/registered for tendered item as decided by concerned VSL TPC
(Ref Sl. No. 1) are only eligible to participate in the instant TE.

2.2. Firm has to submit the EMD amount Rs. 35030/-.(Ref Sl. No. 36) OrProof of EMD submitted
 or Certificate of Micro and Small Enterprises (MSEs) having UAM number as defined in MSE
Procurement Policy 2012 issued by Department of Micro, Small and Medium Enterprises (MSME)
or are registered with the Central Purchase Organisation or the concerned Ministry or
Department (including OFs) or Start-ups as recognised by Department of Industrial Policy and
Promotion (DIPP), irrespective of the store for which they are registered. EMD is also not
required from Central PSUs. Bidders/Sellers exempted from submission of EMD must submit
certified copy of Govt of India authority for such exemption in lieu of EMD.

2.3. Bidder shall submit/upload the compliance statement to Buyer added Bid Specific additional
terms & conditions as per Annexure-1.

2.4. Any other documents as asked in Buyer added bid specific Terms & Conditions to be
submitted.

2.5. Price bid of established firms who doesn’t have valid registration at the time of opening of
technical bid will not be opened.

2.6. Only Bids that fulfill all the eligibility & qualifying requirements of the TE/Bid, both
technically and commercially, shall be considered for evaluation.

2.7. The Price Bids of only the technically compliant Bidders shall be opened.

3 Bids (including the related financial instruments, etc.,) received with a lower validity than that
specified in the TE can be treated as invalid and may be rejected. The prescribed validity for
financial instruments is given in subsequent Parts of the TE. Bids should necessarily remain: a)
valid for 90 days from the specified last date for Bid submission
4 Submission of Earnest Money Deposit (EMD) is an essential requirement to be fulfilled. Bids not
accompanied by the EMD specified in the TE shall be treated as invalid Bids. In the instant TE
Bidders are required to submit along with their Bids, EMD for an amount equal to Rs. 35030/- in
the prescribed form. The EMD shall be in favour of The General Manager, OFDR (A Unit of MIL),
Pune.
5 Bidders requiring clarifications on the contents of the TE may request the Buyer through GeM
Portal System (so as to reach the Buyer prior to the date of Tender opening) bringing out
unambiguously the specific clarifications needed. Copies of the clarifications requested by the
Bidder and the clarifications provided by the Buyer shall be sent to all prospective Bidders who
have been issued TE.
6 In procurements where it is necessary to physically verify the facilities & capacities of the Bidder,
the Buyer may depute Capacity Verification Teams for carrying out such physical verification of
facilities & capacities as per MIL Standard Operating Procedure (SOP) for Capacity Verification
and Vendor Registration as available on the Munitions India Limited website and e-procurement
portal. However, for the items valuing up to Rs. 2.5 Lakh the said SOP will not be mandatory.
7 In case of LTE, Bidders not willing to participate in the TE should ensure that an intimation to
that effect reaches the Buyer before the date and time prescribed for opening of Bids, failing
which the defaulting Bidder may be delisted for the range of items for which the TE is issued.
8 In case of any dispute, the decision of the Buyer shall be final and binding on all participants in
the tender.
9 9.1. The Schedule of Requirements, duly indicating the Stores/ Services required, is given below:

Sl. Nomenclature of the Specification of the Quantity Tender

No. Stores/Services Store/Description Required Distribution
of the Service Qty
 1 MAIN SPRING.SPRING As per 22600 Nos 60:40
STEEL WIRE TO SPEC.IS: Drawing/Specificati
4454 PART-I 2001, on
REAFFIRMED 2015
GRADE-III TO
DRG.NO.ARDE 2222
DET.NO.11.PT. NO.ITV 259
DC 37039-A.DT.25/01/2006 &
SPECN.NO.CQA(A) 2345 (C)
DC 36513A
DT.25/01/1999./Item
Code=6228120036 /Qty= 22600
Nos

9.2. Technical details of the stores/service required are given below.

a. Specification/drawings details or Type of Service required: As per Nomenclature of the
store mentioned hereinabove.
b. Evaluation, Inspection and Factory Acceptance Trial Criteria or Minimum Acceptable
Service Level (MASL):Ref Inspection details (Annexure-2)
c. Pre-Site/Pre-dispatch inspection requirements or basis of assessing MASL:
d. Details of any other requirement:

9.3. Other details:-

a. The Purchaser reserves all the rights to reduce the order qty at the time of placement of
supply order as per the requirement of the tendered item.

b. Option Clause:25%(Ref sl. No. 31)

c. Tender Qty Distribution Clause:60:40(Ref No.72)

d. INCOTERMS for Delivery and Transportation:-F.O.R. At Ordnance Factory Dehu Road,

Pune-412101. Price quoted should on F.O.R. destination basis, for delivery at
buyer/consignee premises (loading/unloading of goods) inclusive of all charges including
transit insurance. Octroi Exemption Certificate (OEC) will be issued, if required.

e. Consignee Details:- The General Manager, Ordnance Factory Dehu Road, Pune – 412101

f. Inspection Type:-At OFDR(For more details kindly Ref- Annexure-2 attached herewith).

g. Inspection Authority:-GM/OFDR

h. Inspection Officer:-GM/OFDRor his authorized representative

i. Delivery Schedule:-Firm has to supply full S.O. Qty within three months (90 Days) from
the date of S.O.including raw material clearance, if any. However OFDR reserves the
right to change the delivery schedule during placement of supply order. Please note that
contract can be cancelled unilaterally by the Buyer in case item is not received within the
contracted delivery period. Extension of contract delivery period will be at the sole
discretion of the Buyer, with applicability of LD clause.
 j. Bid Offer validity:-90 days

k. Payment Term:- 100% payment will be made within 30 days on receipt of stores at OFDR
in satisfactory condition &it’s acceptance thereof. Part payment against part supply is
allowed.

l. Price Variation Clause:- Firm & Fixed Price

m. Performance Security Deposit (PSD):- As per the MIL Stores Procurement Manual-2021
(amended vide MIL L/No. MIL/Policy/SPM/2021-22, dtd 10.02.2022), clause NO. 5.4, PSD
is applicable in case the contract value is more than Rs. 10 Lakh.However, for cases of
procurement through GeM, the value defined by GeM will prevail. PSD amount will be
equal to 3% of the contract value. (As per GOI, MOF, DOE, PPD OM No. F.9/4/2020-PPD,
dtd 12.11.2020&dtd 30.12.2021. (Ref Clause No. 37 herein below)
10 For strategic reasons the quantity tendered in this TE may be distributed as per the distribution
ratio 60:40(refer Sl. No. 72).
11 In cases where the Buyer issues material to the Supplier under the consequent Contract, the
issued material will be duly secured by obtaining a Bank Guarantee, from a bank authorized to
carry out government business, of value equal to the 110% of the value of the issued material
and validity till delivery of supplies accepted by the Buyer. The details pertaining to such issued
material is given below: a) Batch size of issue material, if applicable …………………………. b) Value of
issue material for the Batch size c) BG value …………………………….. d) Other special instructions
……………………………………….
12 The Bidders shall furnish along with their Technical Bid a clause-by-clause Compliance Statement
bringing out the compliance (without disclosing the price) of their offer to the TE specifications
and duly indicating unambiguously the deviations, if any. The detailed Compliance Statement
shall be provided in the format attached herewith.
13 Delivery period for supply of the Stores/ Services shall be (90) days from the effective date of the
consequent Contract placed on the successful Bidder. The mode/ terms of delivery shall be
F.O.R, OFDR, Pune. Reckoning the date of delivery on the basis of the mode/ terms of delivery
shall be as given below.
F.O.R. OFDR, Pune-412101
14 Staggered deliveries (where applicable) required in the TE is given below. In TE with staggered
deliveries, the Buyer shall clearly specify hereunder as to whether the consequent Contract will
be an “Entire Contract” or a “Severable Contract”. If nothing is specified the consequent Contract
shall be an “Entire Contract”.

Sl. Qty. to be delivered Date of Delivery/Delivery Remarks/Special

No. Period Instructions for
Delivery

15 Inspection Authority in the consequent Contract shall beGM/OFDR.The mode of Inspection

applicable in the consequent Contract shall be Buyers Inspection(Buyers Inspection/ Joint
Inspection/ Self-certification).The Inspection applicable in the consequent Contract shall
beBuyer’s Receipt Inspection(Pre-dispatch Inspection/ Joint Receipt Inspection / Buyers Receipt
Inspection).GM/OFDR or his authorized representativeshall be the Inspection Officer. The firm
should furnish the test report of chemical and physical parameters of raw materials used for
manufacture of components, fabricated stores, tools and gauges along with challan. The
instruments used for carrying out test as above shall have national traceability and evidence of
the same will be furnished in the certificate.
16 The applicable Rules & Regulations for delivery & transportation of Stores (domestic and from
foreign countries) shall be as per the contemporary version of International Commercial Terms
(INCOTERMS).Reckoning the date of delivery from the terms of delivery shall be as given below.

Sl. No. Mode/Terms of Delivery Reckoning of the Date of Delivery

a Local Delivery at Site The date on which the delivery is made at the Buyers site
mentioned in the contract
b Ex-works The date the Seller delivers the goods to the Buyer at the
Sellers Works mentioned in the contract
c F.O.R Station of The date on which the goods are placed, by the Seller, on
Dispatch rail with clear Rail Receipt
d By Post Parcel The date of postal receipt
e FCA (Airport) The date of Air-way Bill
f F.O.R. Destination The date on which the goods reach the destination
specified in the contract, unless otherwise stated
g C.I.P. Destination The date on which the delivery is effected at the
destination mentioned in the contract
h F.A.S. Port of Shipment The date on which the Seller deliver the goods alongside
the vessel at the specified port of shipment mentioned in
the contract. This date is reflected in Bill of Lading
i F.O.B. Port of Shipment The date on which the Seller delivers the goods at the
Port of shipment mentioned in the contract, the dated as
reflected in the Bill of Lading
j C.I.F. Port of Destination The date on which the goods actually arrived at the
destination Port mentioned in the contract
17 The FAS, FOB & CIF terms of delivery are applicable only for Stores directly imported from
foreign countries against the consequent Contract and not for imports by the Seller under its
own arrangement. The CIP terms of delivery are applicable both for domestic as well as imported
supplies.
18 Special instructions on consignee details & other special conditions pertaining to shipment,
transportation, etc., if any applicable under this TE, shall be as indicated hereunder.
a) Consignee details: The General Manager Ordnance Factory Dehu Road, Pune-412101
b) Packing instructions: Ref Sl. No. 25 herein below
c) Shipment/ Transportation instructions: ……………………………………………………..
d) Other Special instructions, if any: ……………………………………………………..
19 Bidders shall offer their quotes only on firm and fixed basis, unless otherwise the Buyer has
specifically invited the TE on variable price basis duly prescribing the Price Variation (PV) formula
in Part III. In such TEs with the Price Variation formula specified, the Bidders shall quote strictly in
accordance with the Price Variation formula prescribed. Quotes not conforming to the
prescribed Price Variation formula shall be treated as unresponsive and rejected.
20 Time being the essence of the contract, Bidders should note that the Contract can be cancelled
unilaterally by the Buyer in case deliveries are not received within the contracted delivery
period. In this regard the provisions of the Risk & Expense clause may be perused.
21 Extension of contracted delivery period due to reasons attributable to the Seller of the Contract
shall be at the sole discretion of the Buyer, with applicability of Liquidated Damages (LD) clause
as mentioned at sl. no. 35 herein below.
22 Scope of Supply –The stores supplied shall be of the best quality and Workmanship, shall be in
strict conformity with all the drawings and specifications furnished with the Purchase Orders and
shall address the Technical description in all respects. Where tenders are called for in accordance
with „particulars‟, the seller’s tender to supply in accordance with such “particulars‟ shall be
deemed to be an admission on his part that he has fully acquainted himself with the details
 thereof and no claim on his part which may arise on account of non-examination or insufficient
examination of the “particulars‟ will in any circumstances be considered. The items not
specifically listed but required for completeness of stores / system deemed to be included. All
supplies should be accompanied by Sellers works inspections/ test certificates duly certifying, the
Stores are in strict conformity with the drawings/specifications. The final acceptance will be
subject to inspection and approval at Buyer‟s premises. Once the material are rejected and
communicated to the Seller, no request shall be entertained for reinspection or acceptance of
the stores. However, Buyer reserves the right to reinspect the stores and consider acceptance at
his discretion.
23 Price:The rates offered shall be „Firm & Fixed‟ with full and detailed breakup of various
applicable cost elements like Basic Price, packing charges, freight/ transport, forwarding charges,
handling charges, landing & clearing charges, installation & commissioning, training, technical
assistance, etc.; and duly indicating all the applicable Taxes & Duties along with the relevant
taxation rate and value for each of the applicable Tax/ Duty, till the execution of the total
quantity on the order. To facilitate assessment of reasonability of price quoted, the Bidder shall
indicate splitup details of the cost elements of the Basic price. No increase shall be permissible
on any account after finalization of the order / till delivery of total quantity of the order. Price
quoted should on F.O.R. Destination basis, for delivery at Buyer premises inclusive of all charges
including transit insurance. Foreign sellers will quote the prices on the FOB/FCA Port of dispatch
basis, as applicable (INCOTERMS 2010). Seller should clearly mention whether the prices hold
good when the full quantity of enquiry is not ordered but only a part of it. Unless otherwise
mentioned, it would be assumed that the rates hold good even when lesser quantities than
those enquired of are ordered. Any increase in prices at a later date for ordering lesser quantities
will not be agreed to.
24 Price Variation Clause: (Not applicable for this TE)
Invariably, Purchase Orders shall be placed on a firm price basis. In exceptional cases, where the
firm insists on escalation or on price ruling at the time of despatch, the purchase order should
contain a clause to this effect for admissibility. The Purchase order should clearly specify the
formula for determining the quantum of escalation admissible with reference to a fixed base
period and prices ruling at that period taken as a base for deciding the escalations. The base
period and prices should be mutually agreed based on necessary documentary evidence. The
claims shall be supported by necessary documentary evidence, as compared to the base prices
for admitting the escalation claims. Price Escalation Clause needs to clearly define applicability of
Escalation up to point of ordering or point of delivery. Whether the escalation to be calculated
on year to year basis or point to point basis, same to be specified. Methodology of calculation of
escalation is to be specified. MIL Stores Purchase Manual - 2021 142 PV formula may specify cut-
off dates for material and labour, as these inputs taper off well before the scheduled delivery
dates. The Price Variation formula may also provide for a ceiling on the price variations as a
percentage per annum or an overall ceiling or both. If advance or stage payments have been
allowed, no price variations will be admissible on such portions of the price, after the dates of
such payment. No price variation will be admissible beyond the original scheduled delivery date
for defaults on the part of the supplier. Price variation may be allowed beyond the original
scheduled delivery date, by specific alteration of that date through an amendment to the
contract in cases of Force Majeure or defaults by the purchaser. When deliveries are accepted
beyond the scheduled delivery date subject to levy of liquidated damages as provided in the
contract, the liquidated damages (if a percentage of the price) will be applicable on the price as
varied by the operation of the Price Variation clause. Where contracts are for supply of goods,
etc., imported (subject to customs duty and foreign exchange fluctuations) and/ or locally
manufactured (subject to excise duty and other duties and taxes), the percentage and element
of duties & taxes included in the price should be specifically stated, along with the selling rate of
foreign exchange element taken into account in the calculation of the price of the imported
 item. The mode of calculation of variations in duties & taxes, foreign exchange rates, and the
documents to be produced in support of claims for such variations should also be stipulated in
the contract.

Price Variation formula will vary from Contract to Contract. However, a suggested price variation
formula could be as follows:
P = Po {(A + B(L/Lo)+ C (M/Mo)} P = Final price payable in the year of delivery Po = The base price
at _ (year) economic conditions Lo = Average Labour Index of the base _ (year) Mo = Average
Material Index of the base _ (year) L = Average Labour Index …….. Months prior to date of
delivery (as applicable at Seller's country). M = Average Material Index …….. Months prior to date
of delivery (as applicable at Seller's country). A, B & C = Percentages corresponding to fixed
elements, labour and material respectively. Escalation cap (+/-) applicable (percentage) with the
above price variation formula to be indicated. The indices incorporated in the escalation formula
should be Govt. Published/ in public domain and capable of being verified. Escalation/Revision in
price shall not be admitted for the delayed supplies.
25 Packing Conditions:The stores should be properly packed for tropical storage and for transport
by rail, road, sea or air so as to ensure and to protect them against loss, damage, corrosion in
transit on arrival at their destination. The packing and marking of packages shall be done by and
at the expense of the seller. Each package shall contain a Packing Note quoting Purchase Order
number and date showing its contents in detail. Each package shall be properly marked with
Purchase Order No., Consignee‟s name & address, gross weight, package-handling instructions
etc. The package shall have adequate provision for handling during transit and at destination.

The packing, shipping, storage and processing of the delivery must comply with the prevailing
legislation and regulations concerning safety, the environment and working conditions. In case of
Imports, items packed with raw/ solid wood packing material should be treated as per ISPM-15
(fumigation) and accompanied by Phytosanitory/ Fumigation certificate. If safety information
sheets exist for a delivery or the packaging, the seller must always supply these sheets direct (at
the same time). The packing shall allow for easy removal and checking of goods on receipt and
comply with carrier‟s conditions of packing or established trade practices. If any consignment
needs special handling instruction, the same shall be clearly marked with standard symbols /
instructions. Hazardous material should be notified as such and their packing, transportation and
other protection must conform to relevant regulations.
26 26.1. Inspection and Technical documents requirements:(a) The supply made against respective
orders will be subject to Buyer inspection at his premises. The Seller shall be responsible for
items supplied till the same have been inspected and accepted by Buyer. In case the goods /
services are rejected at the time of inspection at Buyer Place or the rejections are noticed at the
time of further processing the Seller will be informed of these rejections. On receipt of this
information the Seller shall immediately arrange to collect the rejected items at his cost and risk
and arrange for the replacement of goods within the shortest possible time. Under no
circumstances the Seller shall compel the Buyer to rework the rejected goods. The rejected
material will lie in Buyer factory premises at the risk and cost of the Seller, pending receipt of
disposal instruction from them. If so desired by the Seller, the rejected materials, for which no
payment made by Buyer may be packed and returned to the Seller for arranging replacement
/rectification on „freight to pay‟ basis at his cost and risk and the dispatch documents will be
forwarded to the Seller directly by Buyer to enable him to arrange insurance and take delivery of
the same. Wherever payment is already made by Buyer to the Seller, the rejected material will
be returned to the Seller against refund of the amount already paid by Buyer / submission of BG
for the value of rejected goods. The packing, freight charges etc., on replacement of returned
materials shall be borne by the Seller irrespective of the terms in the purchase order, since such
charges were already incurred and borne by Buyer on the original consignment, which got
 rejected and returned to the Seller. In case the rejected materials are not required to be
replaced, freight, insurance charges etc., incurred by Buyer on the original consignment shall be
recovered from the Seller's bills.

26.2. Ground Rent: If the material supplied by the vendors is rejected at the factory premises,
the vendor is required to lift the rejected material within 30 days of issue of rejection I-Note.
Factories have right to recover a charge for the storage space at @1% of the cost of material un-
cleared, per week or part thereof, with maximum ceiling of 10% of value of the items. After lapse
of 10 weeks, if it is found that firm has not taken any action for lifting of items, the goods may be
confiscated and disposed off as per disposal procedure in vogue after sending a notice and giving
30 working days time to the firm. Ground rent shall be calculated from the date of expiry of the
period of removal of item. No ground rent should be charged from Central/State Govt/Central
PSUs. When the firm fails to pay the applicable ground rent within the prescribed period, factory
is entitled to recover the ground rent due and all incidental expenses from EMD/PSD.

26.3. Buyer or his authorized representative shall be entitled at all reasonable times during
execution to inspect, examine and test at the Seller's premises the material and workmanship of
all stores to be supplied under the Contract, and if the part of the stores are being manufactured
at other premises the Seller shall obtain Buyer's or his authorized representative‟s concurrence
to inspect, examine and test as if the said stores are being manufactured at the Seller's premises.
Such inspection, examination and testing, if made shall not release the Seller from any obligation
under the Contract. If the defects are not remedied within a reasonable /stipulated time, the
purchaser may proceed to rectify the defects at the seller‟s risk & cost but without prejudice to
any other rights which the buyer may have against the Seller in respect of their failure to remedy
such defects. All costs related to inspections and reinspections shall be borne by the Seller. The
cost of inspection staff/ third party specified by the Buyer shall be borne by Buyer, unless
otherwise specifically agreed. When the Contract provides for tests on the premises of the Seller
or any of his Subcontractor/s, Seller shall be responsible to provide assistance such as, labour,
materials, electricity, fuels, stores, apparatus, instruments as may be required and as may be
reasonably demanded to carry out such tests efficiently. Cost of any type test or such other
special tests shall be borne by the Buyer only if specifically agreed. The Seller shall give the
authorized representative of the Buyer reasonable prior notice in writing of the date on and the
place at which any stores will be ready for inspection/ testing as provided in the Contract.
27 Acceptance of Goods:Material on arrival at Buyer‟s premises will be inspected by QA/Inspection
Department as per appropriate Quality Assurance Plan and their decision in the matter will be
final. The test certificate and relevant supporting documents should be sent along with the
consignment.
28 Training & Technical Assistance: The successful tenderer shall arrange for the training of a
reasonable number of the Buyer‟s technical personnel in shops manufacturing the equipment
and in plants where equipment similar to those covered in the tender documents are in
operation. The number of such personnel and the period of training will be mutually agreed
upon. The travelling and living expenses of the trainees will be borne by the Buyer. Training and
technical assistance clause may include:
i. Manufacturing processes of the stores wherever applicable, as well as quality assurance
procedures, programming, operation, mechanical maintenance and electronic/electronic
maintenance at seller‟s work and also during commissioning.
ii. Duration of training,
iii. No. of personnel to be trained.
iv. Place of training.
v. Charge applicable / or FOC
vi. Documentation / training material.
 vii. Boarding, lodging & travelling charges etc.
viii. Free Mandays / Extra Mandays for service engineering.
ix. Any other aspect related to training & technical assistance.

29 Payment Terms:The standard payment terms shall be 100% payment against Seller‟s bill by
Account transfer through NEFT/RTGS only for accepted materials within 30 days from the date of
receipt of material or submission of bills/documents, whichever is later. Normally no request for
Advance Payment is entertained. However, where Advance Payment is considered in select
cases, the same may be allowed, subject to furnishing Bank Guarantee (in prescribed format)
from a scheduled commercial Bank (other than Cooperative Bank) for an amount equal to 110%
of the advance released. (Applicable for this TE)
Or
90% of the contract amount shall be paid against provisional receipt of the item at the
consignee‟s premises along with inspection note from NABL accredited /authorised Lab and
other relevant documents. Balance 10% shall be paid after the stores have been properly
checked and accounted for. Alternatively, where considered necessary, 95% of the contract
amount can be paid against provisional receipt of the item at the consignee‟s premises along
with inspection note and other documents. Balance 5% can be paid after the stores have been
properly checked and accounted for.
Or
Stage-wise payments (may be considered only in complex cases, provided the stage-wise
payments admissible is indicated above) .
Or
Quarterly/ monthly payments for work completed on submission of User Clearance Certificate in
respect of AMC/ Service contract.
Or
Payment may also be made through TReDS (Trades Receivable Discounting System) on its
implementation
30 Warranty:(a) All the Stores supplied shall be warranted against any defect in material,
Workmanship, defective design, materials and non-conformance to intended performance,
manufacturing defects, or dimension etc., for a period of 12 calendar months from the date they
are actually put to use or 12 calendar months from the date of receipt and acceptance of supply
in Buyer's place / buyer's designated place, whichever is earlier and the seller shall remedy such
defects at his/her own cost or replace free of charge such stores when called upon to do so. (b)
The seller cannot absolve their responsibility for warranty of material even though it is inspected
& approved by Inspection authority. (c) In case of defective Stores which need to be re-exported
for repairs to the manufacturer‟s works, To &Fro freight, insurance charges & custom duty for
replacement have to be borne by the seller. (d) During warrantee period any equipment or
component thereof supplied by the seller, suffers due to defective material and or due to
improper design and or due to defective drawing or due to faulty workmanship the seller will
assume full responsibility of rectification of such defective equipment or component thereof
including direct expenses related to removal and re-positioning of the replacement/repaired
equipment or component thereof and subsequent test & trial, incurred thereon without any
financial implication to Buyer. (e) In the event Buyer desires to have extension of Warranty
period beyond the stipulated period, as above, the seller shall quote for the same (on monthly
basis) for the period of such extension. (f) If the defects intimated during the Warranty period
are not remedied within a reasonable / stipulated time, the Buyer may proceed to rectify the
defects at the seller's risk and cost, but without prejudice to any other rights which the Buyer
may have against the Seller in respect of the failure of the Seller to remedy such defects. (g) In
the event of Seller‟s failure to attend the Warranty defects within a reasonable period of time,
the Performance Bank Guarantee will be encashed by the Buyer. The Buyer‟s decision shall be
 final and binding on Seller in this regard. (h) All packing, forwarding, insurance and delivery
charges arising against this would be borne by the Seller. The guarantee period would be
extended by equivalent period for which the material is not available for the repaired parts,
which were repaired & replaced during the Warranty period. The Warranty is subject to proper
preservation, maintenance, storage, handling and usage of equipment by Buyer & Buyer's
customer and does not covers repairs carried out without the prior consent of the seller / seller
rep. (i) Warranty calls needs to be attended within ________ hrs. Warranty of the stores will be
extended by residual period
31 Option Clause:25%applicable for this TE.
(a) The Buyer reserves the right to place orders for additional quantity up to a maximum of
25% of the originally contracted quantity at the same rate and terms of contract within
the original Delivery Period (DP) as well as Re-fixed/Extended DP subject to : (i) there
being a requirement for the item, (ii) incorporation of Option clause in the contract, (iii)
there being no downward trend in price (consent of supplier is not necessary) or if there
is a downward trend, the supplier agreeing to reduce the price for the enhanced
quantity duly matching with the fall in prices, and (iv) if no fruitful result will accrue by
floating fresh TE or when the store is urgently required for meeting production targets.
(b) The Option clause can be exercised (if necessary more than once) provided the
cumulative of the Option clause quantities exercised does not exceed the option clause
quantity provided in the contract. (c) In multi vendor situation, to provide a level playing
field to all the vendors, any bid received without compliance to Option clause, may be
considered as unresponsive by concerned TPC. (d) Option clause may be operated
normally on completion of 90% quantity of original supply order (or lesser qty as decided
by concerned TPC).(As per MIL Stores Purchase Manual – 2021)
(b) The Purchaser reserves the right to increase or decrease the quantity to be ordered up
to 25 percent of bid quantity at the time of placement of contract. The purchaser also
reserves the right to increase the ordered quantity by up to 25%of the contracted
quantity during the currency of the contract at the contracted rates. Bidders are bound
to accept the orders accordingly.(As per GeM ATC)

32 Product Support:The successful Seller should agree to provide product support for the
equipment supplied, assemblies/sub-assemblies, fitment items and consumables, Special
Maintenance Tools (SMT) / Special Test Equipments (STE) subcontracted from other agencies /
manufacturer by the Seller, by making available spare parts, components& tools etc.,
accessories of equipment and services for a minimum period of ______ years from the date of
supply. Seller should supply recommended spares for operator level servicing and should carry
out necessary product support activities. Seller should also recommend a list of test equipment /
fixtures and special tools required for servicing at ______/its customer bases. Seller will extend
need based technical assistance to the BUYER for maintenance of the product/System during the
warranty period. Seller shall provide an effective Product Support and maintenance services on
demand from the BUYER and at mutually agreed financial consideration, for mutually agreed
period from the date of supply of the product/System. Product Support covers the following
areas: -Spares Support -Field Support -Maintenance Support
SPARES SUPPORT: 1.SELLER shall advice on the requirement of spares and stock to be
maintained as and when required by the BUYER. 2.Supply spares on demand. 3.Should any of the
spares or equipment be earmarked for discontinuance of production, give notification to BUYER
one year before the production is discontinued, to allow for a life time purchase. SELLER shall
assist the BUYER in establishing alternate source of supplies. FIELD SUPPORT: On the request of
the BUYER, SELLER shall resolve all technical queries and problems on product/System in service
and provide the services of its service engineers at base of the BUYER on mutually agreed terms
and conditions as and when required to facilitate repair of the product/System or to carry out
 modifications within the framework of system safety and for other field services. MAINTENANCE
SUPPORT: SELLER shall carry out scheduled, periodic and unscheduled maintenance and snag
rectification and for this purpose maintenance personnel will be deputed at mutually agreed
terms and conditions. In case of prices for long-term supplies of spare parts or price catalogue
are not available/applicable, provision for entering into long term business agreements on
supply, servicing and repairs like LTSA/LTRA should be provided by Seller in the scope of the
contract till establishment of Repair Overhaul Facility at ___________ or in India. Seller should
indicate lead time for supply of spares and should authorize _________ for direct purchase from
OEMs/Primary vendors. The Seller agrees to undertake Maintenance Contract for a maximum
period of ______ months, extendable till the complete Engineering Support Package is provided
by the Seller. In the event of any obsolescence during the above mentioned period of product
support in respect of any component or sub-system, mutual consultation between the Seller and
Buyer will be undertaken to arrive at an acceptable solution including additional cost, if any. Any
improvement / modification / up gradation by the Seller or their sub supplies on the stores /
equipment being purchased under the Contract will be communicated by the Seller to the Buyer
and, if required by the Buyer, these will be carried out by the Seller at Buyer‟s cost. The Seller
agrees to provide an Engineering Support Package as modified after confirmatory Maintenance
Evaluation Trials (METs). The Seller agrees to undertake the repair and maintenance of the
equipment, SMTs/STEs test set up, assemblies / sub assemblies and stores supplied under this
contract for a period of ______ years as maintenance contract as specified or provision of
complete Engineering Support Package to the Buyer whichever is later, as per terms and
conditions mutually agreed between the Seller and the Buyer.

33 Taxes & Duties

a) GST: Rate of GST or any other Tax chargeable should be clearly indicated in the offer/ bid as
inclusive in the price quoted or extra. If not indicated, Buyer will assume that the rates quoted
are inclusive of taxes. GST/Tax invoice to be raised in the name of “MUNITIONS INDIA LIMITED,
PUNE”. GSTIN:- 27AAOCM8781H1ZQ.
b) Wherever Excise Duty is applicable and payable, the same shall be reimbursed at actual
against production of qualified Excise Duty gate pass in original as a proof for having paid the
duty on the particular consignment. The Seller should ensure that the Gate Pass accompanies
each consignment that are sent to us. In addition a photocopy of Gate Pass, in advance along
with Invoice to be sent to Purchase Department in case of payment through Bank. If the terms of
payment is other than the above, the photo copy of the Gate Pass with the bills etc., shall be
sent to concerned Accounts Department. The Excise Duty Gate Pass number and date shall be
incorporated in the Invoice, Delivery Challan and all other dispatch documents.
c) Seller is entitled for increase in statutory taxes, duties & levies within original DP and extended
DP. However, there is decrease in statutory taxes, duties & levies, the same must be passed on
to the Buyer.
d) Foreign Bidders: All taxes, duties, levies and charges which are to be paid for the delivery of
goods in their respective countries, shall be paid by the foreign bidders.
(e) Customs Duty: (i) In case of imported stores offered against forward delivery, the Bidders
shall quote prices exclusive of customs duty, duly specifying separately the CIF Price and the
customs duty payable. The Bidder shall also indicate the rate of customs duty applicable along
with Indian Customs Tariff Number. Customs duty actually paid shall be reimbursed on
production of necessary documents i.e. (1) copy of Bill of Entry, (2) copy of Bill of Lading, (3)
foreign Principals invoice. However, if the Bidder imports the stores in question against his own
commercial quota Import license, he will also be required to submit in addition to the triplicate
copy of bills of entry, etc., a certificate from his Internal Auditor on the bill, to the effect that the
following items/ quantity in the bill of entry are related to the stores imported against the
Buyers Contract Number …………………… dated …………. (ii) Subsequent to the reimbursement of
 customs duty if the Seller obtains any refund of customs duty, such refund shall immediately be
remitted, in full, to the Buyer. In case of failure to do so, the Buyer shall be fully empowered to
deduct a sum equivalent to the amount of customs refunded, without any further reference to
the Seller, from any of their outstanding bills against the contract or any other pending
Government contract and no disputes on this account shall be raised by the Seller. (iii)
Subsequent to the reimbursement of customs duty, the Seller shall submit to the concerned
Paying Authority a certificate to the effect that he has not obtained any customs duty refund. In
addition, Seller shall also submit to the Paying Authority a certificate, immediately after lapse of
the period specified in the Customs Act by which application for refund are to be filed with the
Customs Authorities, stating that he has not applied for refund of the customs duty.
34 Pre-contract Integrity Pact:
a) For purchases exceeding Rs. five(5) Cr, a Pre-contract Integrity Pact shall be signed between
the Buyer and the Bidder. This is a binding agreement between the Buyer and Bidder in which
both agree to enter into a pre-contract agreement to avoid all forms of corruption by following a
system that is fair, transparent and free from any influence prior to, during and subsequent to
the currency of the contract. b) Bidder shall submit duly signed Pre-contract Integrity Pact in
original, strictly as per the format (without any deviation) enclosed with the T.E/RFP. Bidders not
complying with this are liable for rejection and their bids will not be considered for evaluation. In
case of two bid system, the Bidder is required to submit the signed precontract IP as part of
technical bid, failing which offers are liable for rejection. c) The Pre-contract Integrity Pact shall
be valid, from the date of signing of the contract, for a period extending up to 5 years or
completion of contractual obligations whichever is later. d) The Pre-contract Integrity Pact
requires every Bidder to deposit along with his Bid the following amount as Security Deposit. i)
Rs. 1 Cr (Additional financial guarantee), if the estimated cost procurement is above Rs. 100 Cr
and up to Rs. 300 Cr. ii) Rs. 3 Cr (Additional financial guarantee), if the estimated cost
procurement is above Rs. 300 Cr. iii) All procurement cases above Rs. 5 Cr & up to Rs. 100 Cr,
Integrity Pact is required to be executed without any additional Financial Guarantee. The
EMD/SD/PBG required to be submitted by the vendor as prescribed in MILPM 2018 shall only act
as the financial guarantee for the IP. iv) For procurement cases above Rs. 5 Cr & up to Rs. 100 Cr,
in case EMD is exempted and/or PSD is waived, separate Bank Guarantee of the PSD value
required to be submitted by the vendor. v) Bidder shall furnish the said EMD/ Security Deposit
through any of the following instruments: 1) Bank Draft or Pay Order in favour of the GM/Sr.GM
Finance & Accounts of Factories . 2) A Confirmed Guarantee by an Indian Nationalized Bank,
promising payment of the guaranteed sum to the Buyer, on demand, within three working days
without any demur whatsoever and without seeking any reasons whatsoever. The demand for
payment by the Buyer shall be treated as conclusive proof for payment. 3) In case foreign
suppliers, the Bidder may, if necessary, furnish the Bank Guarantee from a first class
International Bank provided the same is confirmed/ verified by the State Bank of India. vi) The
EMD/ Security Deposit shall be valid up to a period of five years beyond the bid validity specified
in the TE (or subsequent request made by the Buyer for validity extension) or the complete
conclusion of contractual obligations to complete satisfaction of both the Bidder and the Buyer,
whichever is later. vii) In case there are more than one bidder, the Earnest Money/Security
Deposit shall be refunded by the Buyer to those bidder(s) whose bid does not qualify (do not
qualify)after the stages of TEC/ TPC, as constituted by the Buyer, immediately after a
recommendation is made by the TEC/ TPC on bid(s)after an evaluation. viii) No interest shall be
payable by the Buyer to the Bidder(s) on Earnest Money/Security Deposit for the period of its
currency. ix) The Buyer has nominated ________________________ (Name & address to be
given) as Independent Monitor (IEM) for this Pact.
35 Liquidated Damages (LD):The time for and the date of delivery of the stores stipulated in the
Purchase Order shall be deemed to be the essence of the contract, and delivery must be
completed not later than the dates specified therein. Should the Seller fail to deliver the material
 to our premises or any consignment thereof within the period prescribed for such delivery,
Buyer shall be entitled to recover from the Seller agreed liquidated damages, and not by way of
penalty a sum of 0.5% per week of delay or part thereof, subject to a maximum of 10% as our
claim towards liquidated damages on the undelivered part of the order. The LD will be charged
on the basic cost excluding taxes and duties. Imposition, recovery or settlement of this LD shall
not affect Buyer‟s right to performance, compensation and termination of the agreement.
Liquidated Damages in contracts with Price Variation formula shall be levied on the price as
varied by the operation of the Price Variation clause.
36 Earnest Money Deposit:a) EMD for a value of Rs. 35030/- to be submitted in the form of
Account Payee Demand Draft / Fixed Deposit Receipt /Banker‟s Cheque / Bank Guarantee (in
prescribed format) from any of the Commercial banks / payment online (to be specified, on
implementation). EMD should be valid for 45days beyond the validity of the bid. Bank details are
as follows:____________________. b) Offers not accompanied with requisite amount of EMD or
EMD not submitted in the specified form in original shall be summarily rejected. c) EMD will not
carry any interest for the period it is retained with Buyer. EMD will be forfeited if a Seller
withdraws, amends, impairs and/or derogates within validity period. d) EMD is to be submitted
by the bidders except Micro and Small Enterprises (MSEs) having UAM number as defined in
MSE Procurement Policy 2012 issued by Department of Micro, Small and Medium Enterprises
(MSME) or are registered with the Central Purchase Organisation or the concerned Ministry or
Department (including Ordnance Factories) or Start-ups as recognised by Department of
Industrial Policy and Promotion (DIPP), irrespective of the store for which they are registered.
EMD is also not required from Central PSUs. Bidders/Sellers exempted from submission of EMD
must submit certified copy of Govt of India authority for such exemption in lieu of EMD. e) EMD
of the technically rejected bidder shall be returned immediately after technical evaluation. EMD
of balance unsuccessful bidders will be returned to them at the earliest after expiry of the final
bid validity and latest on or before the 30th day after award of contract/ finalization of the
tender. The EMD of the successful bidder would be returned, without any interest whatsoever,
after the receipt of PSD from them as called for in the consequent Contract. f) In case of two bid
system EMD in original form should be enclosed along with the technical bid. Technical bid
without EMD in original will be rejected. g) EMD remittance document, either in Indian currency
or any other convertible currency of the specified amount, can be arranged by the Indian
subsidiary / branch office in India of a foreign Seller which shall be submitted along with a
certificate confirming the relationship of subsidiary / branch office in the Seller‟s offer. h) EMD
shall be submitted in favour of The GM OFDR, (A Unit of MIL), Pune.
37 Performance Security Deposit (PSD):
(a) The Seller (successful bidder awarded contract) shall deposit 3% of the contract value (as per
GOI, MOF, DOE, PPD OM No. F.9/4/2020-PPD, dtd 12.11.2020&dtd 30.12.2021)of this order
/contract value including taxes & duties as Performance Security Deposit which amounts to Rs.
_______ by way of Account Payee Demand Draft/Banker‟s Cheque/Fixed Deposit Receipt from a
Commercial Bank of India/Bank Guarantee in the prescribed format(enclosed) from a
Commercial Bank of India (for Indigenous Sellers)/ Bank of International repute for which
counter guarantee is given by Indian Bank (for Foreign Sellers) within specified date(normally 30
days after notification of the award of contract/ date of acceptance). Indemnity Bonds may be
accepted as PSD from Central PSUs. (b) PSD is not necessary for contracts valuing up to Rs. 10
lakhs. However, for cases of procurement through GeM, the value defined by GeM will prevail.
(c) The PSD/Performance Bank Guarantee should be valid for additional period of 60 days
beyond the delivery date of completion of all contractual obligation including Warranty period (if
any). In the event of the Contractual delivery period being extended by the Buyer, the Seller shall
be responsible to ensure that the validity of the Performance Guarantee is also simultaneously
extended/re-validated so that it is valid for additional period of 60 days beyond the new delivery
date of completion of all contractual obligation including warranty period (if any). (d) In the
 event of non-performance of the item and if Seller fail to attend the defects within reasonable
period of time, the PSD will be forfeited /the Performance Bank Guarantee will be encashed. In
case any claims or any other contract obligations are outstanding, the Seller shall extend the
Performance Bank Guarantee as requested by the Buyer till such time as the Seller settles all
claims and completes all contract obligations. The Performance Bank Guarantee shall also be
liable for encashment/forfeited if conditions regarding adherence to delivery schedule and other
provisions of the contract are not fulfilled by the Seller. The Buyer decision shall be final and
binding in this regard. (e) Performance Security Deposit is initially to be given by the supplier for
original supply order quantity without option clause quantity. PSD (without interest except FDR)
for the original supply order quantity may be returned after 60 days of fulfillment of all
contractual obligations of the original supply order quantity including warranty period (if any ).
Regarding Option Clause, PSD amount may be worked out based on Option Clause quantity. PSD
for Option Clause quantity may be returned after 60 days of fulfillment of all contractual
obligations of the Option Clause quantity including warranty period(if any). (f) PSD will be
submitted in favour of The GM OFDR, (A Unit of MIL), Pune. The Seller should sent original
copy of PSD to Factory /Unit concerned.
38 Spares Management: Seller should provide Product Support for full lifetime of the product.
SELLER: a) Shall advice on the requirement of spares and stock to be maintained as and when
required by the BUYER. b) Supply spares on demand. Should any of the spares or equipment be
earmarked for discontinuance of production, give notification to BUYER one year before the
production is discontinued, to allow for a life time purchase. c) Shall assist the BUYER in
establishing alternate source of supplies.
39 Obsolescence: The Seller shall continue to support the equipment for a minimum period of ___
years from the date of supply by making available spare parts and assemblies of the equipment
supplied. For any reason Seller wishes / decides to close / discontinue the line for manufacture
of the products or procurement of certain components, sub-components, Seller undertakes to
notify such a decision to Buyer by means of a prior __ years notice (before closure of the said
production line) in writing so as to enable Buyer to place buy order / a life time buy of all spares
before closure of said production line. Seller will transfer tools, drawings etc to Buyer after such
notice period. Seller to indicate the source from where Buyer can procure these items. The said
aspect would also form an integral part of the contract.
40 Withholding tax :(a) BUYER would be deducting at source applicable Income Tax as per
Government of India Rules applicable at the time of making payments in respect of services
rendered in India. (Generally on the amounts towards services like training, technical assistance
offered by the Seller and license fees). As per the Rules, Income tax has to be borne by the
recipient of the Income and relevant certificate to this effect will be issued to the Seller on
deduction of such amounts, if applicable. (b) Seller should bear the applicable withholding
income tax in India. Tax would be deducted at source by Buyer as per DTAA where the Seller
could claim the benefit of double taxation in their country as per the bilateral agreement
between the two countries. Certificate to this effect would be issued by Buyer to enable the
Seller to claim the benefit under DTAA. (c) Seller is required to indicate the PAN/TAN No. issued
by Indian Income Tax Authorities and Permanent Establishment Certificate, If Applicable.
41 Product Liability :The Product Civil Liability on the product, for any loss arising in course of its
utilization, for which Buyer may be held legally responsible, is the responsibility of Seller. Seller
will carry out Product Liability Insurance to the extent set for herein in an amount not less than
Rs. ___. Buyer will not be responsible for the payment of any premium for this policy.
42 Risk Purchase :(a) If the equipment / article / service or any portion thereof be not delivered /
performed by the scheduled delivery date / period, any stoppage or discontinuation of ordered
supply / awarded contract without written consent by Buyer or not meeting the required quality
standards, the Buyer shall be at liberty, without prejudice to the right of the Buyer to recover
Liquidated Damages / penalty as provided for in these conditions or to any other remedy for
 breach of contract, to terminate the contract either wholly or to the extent of such default.
Amounts advanced or part thereof corresponding to the undelivered supply shall be recoverable
from the Seller at the prevailing bank rate of interest. (b) The Buyer shall also be at liberty to
purchase, manufacture or supply from stock as it deems fit, other articles of the same or similar
description to make good such default and or in the event of the contract being terminated, the
balance of the articles remaining to be delivered there under at the risk & cost of Seller. Any
excess over the purchase price, cost of manufacture or value of any articles supplied from the
stock, as the case may be, over the contract price shall be recoverable from the Seller.
43 Termination Clause :Buyer reserves the right to cancel the order with 15 days notice without any
financial liability in the event of any of the following: a) When the item offered by the Seller
repeatedly fails in the inspection and/or the Seller is not in position to either rectify the defects
or offer items conforming to the contracted quality standards. b) When the Seller fails to honour
any part of the contract including failure to deliver the contracted stores/ render services in
time. c) Adulterated supplies as determined according to Prevention of Food Adulteration Act,
1954 and Rules, 1995 as amended from time to time. d) Supplies inferior to the specified quality.
e) Unbranded/deceptively branded / spurious supplies against branded items in the Purchase
Order. f) Time expired supplies. g) When the Seller is found to have made any false or fraudulent
declaration or statement to get the contract or he is found to be indulging in unethical or unfair
trade practices. h) Based on the decision of Arbitration Tribunal. i) The seller is declared
bankrupt or become insolvent.
44 Insolvency :If the Seller enters into liquidation, whether compulsory or voluntary (otherwise
than or amalgamation or reconstruction with another party taking over all his rights as well as
commitments) or becomes insolvent or Suffers a receiver of the whole or part of this asset to be
appointed, i) shall forthwith notify the same to Buyer and the Buyer shall have the right without
prejudice to his other rights or remedies to terminate the unexecuted part of this Contract. ii) In
such an event, the Buyer shall become entitled forthwith to get the refund within 30 days of all
the advance payments received by the Seller and expenditure incurred as a part of its obligations
under this contract.
45 Appropriation :Whenever under this contract any sum of money is due or recoverable from
Seller or payable by the Seller, Buyer shall be entitled to recover such sum by appropriating in
part or whole by deducting any sum then due or which at any time thereafter may become due
to the Seller in this or any other contract entered by Buyer as a whole its Divisions and Branch
Offices etc., held by him/her alone or in partnership with others. Should this sum be not
sufficient to cover the full amount recoverable, the Seller shall pay to Buyer on demand the
remaining balance due within 30 days of such written notice. The remaining balance due, if any,
will be recovered through due process of law in case seller becomes defaulter.
46 Applicable Laws/Jurisdiction:All questions, disputes or differences arising out of or in
connection with the contract, if concluded shall be subject to the exclusive jurisdiction of the
Court within the local limits whose jurisdiction the place from which the Acceptance of Tender is
issued, is situated. This contract shall be governed by and subject to and interpreted and
construed in accordance with the Laws of the Republic of India, as may be in force from time to
time.
47 Arbitration:
(i)Any dispute or difference whatsoever arising between the parties out of relating to the
construction, meaning, scope, operation or effect of this contract or the validity or the breach
thereof shall be settled by bilateral discussions. (ii) Any dispute or difference whatsoever arising
between the parties out of or relating to the construction, meaning, scope, operation or effect of
this contract or the validity or the breach thereof, which cannot be settled amicably within sixty
(60) days or such longer period as may be mutually agreed upon, from the date on which either
party informs the other in writing by a notice that such dispute, disagreement or question exists,
shall be settled by arbitration. (iii) The Arbitration Proceedings shall be conducted in India under
the Indian Arbitration and Conciliation Act, 1996 (amended time to time) and the award of such
Arbitration shall be enforceable in Indian Court only. The law applicable to an arbitration shall be
Indian law. In case of Foreign Seller, Indian law of Foreign law to be decided by contracting
parties is applicable.

For Indigenous Seller: The arbitration tribunal shall be consisting of sole arbitrator. The sole
arbitrator shall be nominated by the parties within ninety(90) days of the receipt of the notice
mentioned above through mutual discussions and referred to CMD, Munitions India Ltd for
appointment of the Sole Arbitrator with the mutual consent of the parties. The Arbitrator so
appointed shall be a Government Servant /Ex Government Servant (with mutual consent) who
had not dealt with matters to which this agreement relates and in course of his duties had not
expressed views on all or any of the matter in disputes or differences. Failing which the
arbitrator shall be nominated under the provision of Indian Arbitration and Conciliation Act,
1996 (amended time to time) at the request of either party or by dispute resolution institutions
like Indian Council of Arbitration or ICADR, but said nomination would after consultation with
both the parties. The Award of arbitration shall be final and binding on the parties to this
contract.

For Foreign Seller: The arbitration tribunal shall be consisting of sole arbitrator. The arbitrator,
who shall not be a citizen or domicile of the country of either of the parties or of any other
country unacceptable to any of the parties shall be nominated by the parties within ninety (90)
days of the receipt of the notice mentioned above, failing which the arbitrator may be
nominated under the provisions of Indian Arbitration and Conciliation Act, 1996 (amended time
to time) or by dispute resolution institutions like Indian Council of Arbitration and ICADR. In case,
nomination of third arbitrator under Indian Arbitration and Conciliation Act, 1996 (amended
time to time) or by dispute resolution institutions like ICA and ICADR are not acceptable to the
SELLER, then the sole arbitrator may be nominated by the President of International Chamber of
Commerce, Paris, but the said nomination would be after consultation with both the parties and
shall preclude any citizen with domicile of any country as mentioned above. The Arbitration
Tribunal shall have its seat in ___________ in India or any suitable place in India as may be
decided by the arbitrator. Each party shall bear its own cost of preparing and presenting its case.
The cost of arbitration including the fees and expenses of the arbitrator shall be shared equally
by the SELLER and the BUYER, unless otherwise awarded by the Arbitration Tribunal. In the event
of a vacancy caused in the office of the arbitrator, the parties which nominated such arbitrator
shall be entitled to nominate another in his place and the arbitration proceedings shall continue
from the stage they were left by the retiring arbitrator. In the event of both parties failing to
nominate arbitrator within sixty (60) days of the place of arbitrator falling vacant, then the other
party shall be entitled after due notice of at least thirty (30) days to request dispute resolution
institutions in India like Indian Council of Arbitration or ICADR to nominate another arbitrator as
above. The parties shall continue to perform their respective obligations under this contract
during the pendency of the arbitration proceedings except in so far as such obligations are the
subject matter of the said arbitrator proceedings. The language(s) of the arbitration shall be
English. “Except as may be required by law, neither a party nor its representatives may disclose
the existence, content, or results of any arbitration hereunder without the prior written consent
of (all /both) parties.” In case of technical disputes involving confidential matters, the issue shall
be referred to a high level technical authority for each party, appointed for this purpose.

For CPSUs/DPSUsIn the event of any dispute or difference relating to the interpretation and
application of the provisions of the contract, such dispute or difference shall be referred by
either party for Arbitration to the sole Arbitrator in the Department of Public Enterprises to be
nominated by the Secretary to the Government of India in-Charge of the Department of Public
 Enterprises. The Arbitration and Conciliation Act, 1996 (amended time to time) shall not be
applicable to the disputes, provided, however, any party aggrieved by such award may make a
further reference for setting aside or revision of the award to be Law Secretary, Department of
Legal Affairs, Ministry of Law & Justice, Government of India. Upon such reference the dispute
shall be decided by the Law Secretary or the Special Secretary/ Additional Secretary, when so
authorized by the Law Secretary, whose decision shall bind the Parties finally and conclusively.
The Parties to the dispute will share equally the cost of arbitration as intimated by the Arbitrator.
If the Department of Public Enterprises fails to settle the dispute, the same will be referred to
the Committee constituted by the Cabinet Secretariat.
48 Indemnity against Patent rights:The Seller shall at all times protect, indemnify and save/ keep
harmless the Buyer, its successors, assigns, , any claim made by a third party against all liability,
including costs, expenses, claims, suits or proceedings at law, in equity or otherwise, arising out
of, or in connection with, any actual or alleged patent infringement (including process patents, if
any), or violation of any license with respect of the stores covered by the order.
49 Bribes:The Seller undertakes that he has not given, offered or promised to give, directly or
indirectly any gift, consideration, reward, commission, fees brokerage or inducement to any
person in service of the Buyer or otherwise in procuring the Contracts or forbearing to do or for
having done or for borne to do any act in relation to the obtaining or execution of the Contract
or any other Contract with the Government for showing or forbearing to show favour or
disfavour to any person in relation to the Contract or any other Contract with the Government.
Any breach of the aforesaid undertaking by the seller or any one employed by him or acting on
his behalf (whether with or without the knowledge of the seller) or the commission of any offers
by the seller or anyone employed by him or acting on his behalf, as defined in Chapter IX of the
Indian Penal Code, 1860 or the Prevention of Corruption Act, 1988 or any other Act enacted for
the prevention of corruption shall entitle the Buyer to cancel the contract and all or any other
contracts with the seller and recover from the seller the amount of any loss arising from such
cancellation. A decision of the buyer or his nominee to the effect that a breach of the
undertaking had been committed shall be final and binding on the Seller. Giving or offering of
any gift, bribe or inducement or any attempt at any such act on behalf of the seller towards any
officer/employee of the buyer or to any other person in a position to influence any
officer/employee of the Buyer for showing any favour in relation to this or any other contract,
shall render the Seller to such liability/ penalty as the Buyer may deem proper, including but not
limited to termination of the contract, imposition of penal damages, forfeiture of the Bank
Guarantee and refund of the amounts paid by the Buyer.
50 Sub-contracting/Sub-letting with the permission of the Buyer :Seller shall not be entitled
without buyer‟s prior written consent to Sub-contract/Sublet to a third party all or part of the
benefits or obligations of the Contract (even by way of change of ownership or control), except
as expressly permitted in this Contract if any, to subcontract any of its rights and interest under
this Contract.
51 Works & Payments during Arbitration:Work under the Contract shall be continued by the Seller
during the arbitration proceeding, unless otherwise directed in writing by the Buyer or unless the
matter is such that the work cannot possibly be continued until the decision of the arbitrators is
obtained, and save as those which are otherwise expressly provided in the Contract, no payment
due or payable by the Buyer shall be withheld on account of such arbitration proceedings, unless
it is the subject matter or one of the subject matters thereof.
52 Fall Clause:The price quoted shall be in no event exceed the lowest price at which you sell the
stores or offer to sell stores of identical description to any person(s) / organization including the
purchases by any department of the Govt. of India, the State Govt. or any statutory undertaking
of the Govt. of India / State Govt., as the case may be during the period till the completion of the
performance of the order placed and during currency of the order. If at any time during the said
period, the Seller reduces the sales price, sells or offers to sell such stores to any person/
 organization including the Buyer or any department of Central Govt. or any Dept. of State Govt.,
or any statutory undertaking of the Central or State Govt., as the case may be at a price lower
than the price chargeable under the contract, he shall forthwith notify such reduction/sale or
offer to sale to the Buyer and the price payable under the contract for the stores supplied after
the date of coming into force of such reduction or sale or offer to sale shall stand
correspondingly reduced with due allowance for quantities and intervening time period.
53 Export License:Foreign Seller making proposals should ensure availability of export license as per
their Govt. regulations for export to India. Seller shall be required to obtain and maintain all
Export/Import licenses and permits etc., as the case may be, required for performing supplies
against this tender. Obtaining export license shall be entire responsibility of the Seller and he
shall discharge this within a reasonable time. End User Certificate will be issued by the Buyer.
54 Immunity to the Government of India:It is expressly understood and agreed by and between
Seller & buyer that buyer is entering into this contact solely on its own behalf and not on behalf
any other person or entity. In particular, it is expressly understood and agreed that Government
of India is not a party to this contract and has no liabilities, obligations or right hereunder. It is
expressly understood and agreed that buyer is an independent legal entity with power and
authority to enter into contracts solely on its own behalf under the applicable laws of India and
general principles contract law. Seller expressly agreed acknowledges and understand that buyer
is not an agent, representative or delegate to the Government of India. It is further agreed and
understood that Government of India is not and shall not be liable for any acts, omissions,
commissions, breaches or other wrongs arising out of the contract. Accordingly, Seller hereby
expressly waives releases and foregoes any and all actions, including counterclaims, impleader
claims or counter claims against the Government of India arising out of this contract and
covenants as to any manner, claim cause or action or this whatsoever arising out of or under this
contract.
55 Intellectual Property Rights:(a) If any Patent design, trademark, copyright or any other
intellectual property rights apply to the delivery or accompanying documentation, Buyer shall be
entitled to the legal use thereof free of charge by means of a non-exclusive, worldwide,
perpetual license. All intellectual property rights that arise due to the execution of the delivery
by the Seller and by its employees or third parties involved by the Seller for performance of the
agreement belong to Buyer. (b) The Seller shall be obligated to do everything necessary to obtain
or establish the above mentioned rights. The Seller guarantees that the delivery does not
infringe on any of the intellectual property rights of third parties. The Seller shall also be
obligated to do everything necessary to obtain or establish the alternate acceptable
arrangement pending resolution of any (alleged) claims by third parties. The Seller shall
indemnify the Buyer against any (alleged) claims by third parties in this regard and shall
reimburse Buyer for any damages suffered as a result thereof.
56 Amendment &Waiver :Any amendment to Purchase Orders / Contracts would be enforceable
only if made in writing and duly signed by authorized representatives of the parties hereto.
Failure of either Party at any time to enforce any of the provisions of this Contract shall not per
se constitute a waiver by that Party of any such provisions nor in any way affect the validity of
the Contract or any part hereof.
57 Classified/Confidentiality: The conditions are as follows:-
(a) This Contract and its annexure(s) shall be treated as confidential by the Parties and their
officers and employees.
(b) Unless otherwise specified herein, neither Party or any of their affiliated companies shall
make any news release, public announcement, advertisement, denial or confirmation,
disclose of some or any part of this Contract or transactions contemplated under this
Agreement to any third party without the prior consent of the other Party.
(c) The Party Disclosing information is termed as Disclosing Party and the Party receiving
information is termed as Receiving Party, Each Party undertakes: i) to keep the other Party's
 Confidential Information confidential using the same degree of care as the receiving Party
uses to protect its own Proprietary Information against public disclosure but in no case any
less degree than reasonable care; and ii) not to make any disclosure of the other Party's
Confidential Information to any third party and to use the same only for the Purpose; and iii)
not to make any copies of the other Party's Confidential Information, or translation or
transfer of the same to other documents or media nor to disseminate the same within its
own organisation save as is strictly necessary for the Purpose; and iv) not to assign the rights
and obligations of the Parties without their prior written consent thereto.
(d) Provided, however, that the foregoing restrictions and obligations shall not apply to any
information which it can be shown: i) is already or hereafter becomes published otherwise
than through the fault or negligence of the receiving Party; or ii) is lawfully obtained by the
recipient from a third party having rights to disclose to the receiving Party, without
restrictions as to use or disclosure, or iii) is already known to the receiving Party at the date
of receipt of the information pursuant to this Agreement, or iv) is independently developed
by the receiving Party. v) is required to be disclosed under any law, judicial order or
Government order or regulation provided receiving Party gives disclosing Party timely
notice, where possible, of the contemplated disclosure so as to give the disclosing Party an
opportunity to intervene to preserve the confidentiality of the information. Or such
disclosure is limited to those persons to whom the Receiving Party is legally compelled to
disclose the information to; and
(e) The technical information provided by SELLER under this Contract shall be treated as
confidential by the BUYER and shall be used by BUYER only for purpose intended and shall
not be disclosed to any third party.
(f) The provisions of this clause shall survive and remain in force notwithstanding the
termination or expiry of this Contract.
(g) The BUYER shall limit access of technical documentation being provided under this Contract
only to such of its employees involved in relevant operations concerning the equipment on a
need to know basis.
(h) Non-adherence to this Clause by the Seller shall be treated, amongst others, as a material
breach of this Contract.
58 Agents / Agency Clause :The seller confirms and declares to the buyer that the seller is the
original manufacturer or authorized distributor / stockiest of original manufacturer or Govt.
Sponsored / Designated Export Agencies (applicable in case of countries where domestic laws do
not permit direct export by OEMS) of the stores referred to in this offer / contract / Purchase
order and has not engaged any individual or firm, whether Indian or Foreign whatsoever, to
intercede, facilitate or in any way to recommend to Buyer or any of its functionaries, whether
officially or unofficially, to the award of the contract / purchase order to the Seller; nor has any
amount been paid, promised or intended to be paid to any such individual or firm in respect of
any such intercession, facilitation or recommendation. The Seller agrees that if it is established at
any time to the satisfaction of the Buyer that the present declaration is in any way incorrect or if
at a later stage it is discovered by the Buyer that the Seller has engaged any such individual /
firm, and paid or intended to pay any amount, gift, reward, fees, commission or consideration to
such person, party, firm or institution, whether before or after the signing of this contract /
purchase order, the Seller will be liable to refund that amount to the Buyer. The Seller will also
be debarred from participating in any RFQ / Tender for new projects / program with Buyer for a
minimum period of five years. The Buyer will also have a right to consider cancellation of the
Contract / Purchase order either wholly or in part, without any entitlement or compensation to
the Seller who shall in such event be liable to refund all payments made by the Buyer in terms of
the Contract / Purchase order along with interest at the rate of 2% per annum above LIBOR
(London Inter Bank Offer Rate) (for foreign vendors) and Base Rate of SBI (State Bank of India)
plus 2% (for Indian vendors). The Buyer will also have the right to recover any such amount from
 any contracts / Purchase order concluded earlier with Buyer.
59 Force Majeure:(a) If at any time during the execution of the supply order, the performance in
whole or in part by either Buyer or and by the Seller(s) is / are delayed by any reason of force
majeure situations such as acts of civil war, civil commotion, sabotage, hostilities, war, fires,
explosions, epidemics, natural calamities like floods, earthquakes, volcanoes, storms, acts of God
& laws of respective governments or any other causes beyond the control of either parties,
hereinafter referred to as "events", provided notice of the occurrence of such event/s is / are
communicated by either party, to the other party within 21 days from the date of occurrence
thereof, neither party shall by reason such events be entitled to terminate the contract nor shall
either party have any claim for damages against the other in respect of such non performance
and or delay in performance of the contract / order. Executions on either side shall be resumed
as soon as practicable after such event has come to an end or ceased to exist and the decision of
Buyer as to whether activities can resume or not, shall be conclusive and final. Occurrence of the
events to be certified by Chamber of Commerce / Indian High Commission or Embassies /
Government in that Country. (b) The performance in whole or in part under the captioned
tender / contract is prevented or delayed by reason of any such event for a period exceeding
sixty days either party may at its option terminate the contract / further processing of the
tender. The relative obligations of both the parties remain suspended during the actual period of
force majeure. (c) The Buyer may extend the delivery schedule as mutually agreed, on receipt of
written communication from the Seller regarding occurrence of 'Force Majeure' conditions, but
not exceeding six months from the scheduled delivery date. If the 'Force Majeure' conditions
extend beyond this period, the Buyer shall have the right to cancel the order without any
financial implication to the Buyer or on terms mutually agreed to.
60 Exit Criteria:The contract/order may be terminated under the following circumstances: (a) In the
event of unsatisfactory performance by the Seller during the contract period, or any of the
information provided by the Seller is found to be untrue, or Seller is found to have attempted to
influence any person involved with the contract through unethical means, the contract shall be
terminated with 01month‟s advance notice without any financial implication to Buyer.
Notwithstanding, the foregoing, in cases where it is found that a Seller is engaged in unethical
practices, the same shall be barred from participating in the future contracts for a period of 01
years. (b) If there is change in Buyer requirement, contract shall be terminated with 01 months
advance notice. The liability of Buyer in this case will be agreed mutually. In the event of
termination of contract by either party the Seller shall ensure following:-i) IPR‟s are transferred
to Buyer to enable Buyer to proceed on the work with other Seller. Seller also will render all
assistance till the other Seller fully take over the balance work. ii) Transfer title and deliver all or
any part thereof of the supplies, materials, work-in-progress, finished Products, Tooling,
drawings and data produced or acquired by Seller specifically for the Product being terminated.
iii) Supply of products and its components / spares at least for a period of 01 years from the date
of such termination. (c) The Seller is declared bankrupt or becomes insolvent. (d) The delivery of
material is delayed due to causes of Force Majeure by more than (06 months). (e) Based on the
decision of the Arbitration Tribunal.
61 Cartel Formation:a) Cartel formation or quoting of pool rates or quoting in collusion is against
the basic principle of competitive bidding and shall attract penal and punitive measures;
including suspension/banning of such Bidders for a specific period as per Procedure for Penal
Action in OFs/Units of MIL under the Guidelines of the Ministry of Defence for Penalties in
Business Dealings with Entities in vogue, apart from reporting to the Competition Commission of
India, other Regulatory Authorities, Chambers / Association of Commerce, etc. b) Firms are
expected to quote for full quantity or part thereof but not less than 50% of tendered quantity.
Offers for quantity less than 50% of tendered quantity will be considered unresponsive and liable
to be rejected if CARTEL Formation is suspected. The management(CFA), reserves the right to
order any quantity on one or more firms. c) Whenever all or most of the approved firms quote
 equal rates in CARTEL, the purchaser reserves the right to place order on any one or more firms
with exclusion of the rest. The selection of firms for placement of order would be based on a
predetermined ranking of the firms. d) The purchaser reserves the right to place order on two or
three firms: in such cases tender quantity will be distributed between Rank 1(R1) and Rank 2(R2)
firms in the ratio of 60:40 or among R1, R2 and Rank 3(R3) firms in the ratios 50:30:20
respectively. e) The purchaser reserves the right to delete the registered firms who quote in
CARTEL from list of approved/registered sources or to debar them for competing for a period to
be decided by the purchaser. f) The name of the newly registered firm which enters into CARTEL
on getting registered will be summarily deleted from the list of registered suppliers. g) New firms
will have to submit an undertaking that they will not be part of a cartel with other vendors and
will quote competitive rates in the tenders; otherwise would face expulsion from the list of
vendor.
62 Access to Books of Accounts:In case it is found to the satisfaction of the Buyer that the Bidder
has engaged an Agent or paid commission or influenced any person to obtain the contract as
described in clauses relating to Agents/Agency Commission and penalty for use of undue
influence, the Bidder, on a specific request of the Buyer, shall provide necessary information /
inspection of the relevant financial documents / information.
63 Non-disclosure: Except with the written consent of the Buyer/Bidder, the other Party shall not
disclose the TE or consequent Contract or any provision, specification, plan, design, pattern,
sample or information thereof to any third party.

Firm has to upload Non Disclosure declaration Certificate (on Letter Head) to be uploaded with
bid as the format “ I…M/s….. (Firm name) hereby declare that I shall not disclose the contract or
any provision, specification, plan, design, sample or information thereof to any third party during
and after expiry of contract. (Kindly submit NDA as per Annexure- 3)
64 Freak Rates: Any quote that is less than 70% of simple average of the basic rate (LTE and
successfully executed SDOTE/OTE) at which orders (excluding import orders) have been placed
over the preceding three years (reckoned from the date of tender opening) shall be deemed as
freak rate and rejected.
65 Applicable Currency:Domestic Bidders shall quote and be paid only in Indian Rupees (INR).
Foreign Bidders may quote in US Dollars or Euros and may be paid in the same currency. If the
offer of foreign Bidders includes some portion of the allied work/ services to be undertaken by
Indian purchaser (e.g. installation, commissioning, etc.) such portion shall be quoted and paid
only in INR. Authorised Indian dealers of foreign OEMs participating in the TE shall quote and be
paid only in INR. The foreign exchange rates applied for conversion from one currency to another
shall be the exchange rate (BC Selling Rate) notified by the Parliament Street Branch of SBI, New
Delhi / RBI on the last date of submission of Bids.
66 Stage Payments: Stage payments are admissible, as well as relevant, only in rare cases involving
very high value and where the throughput time for manufacture of the stores under
procurement is very long. The Buyer, if satisfied that the throughput time and the value of
procurement are very high, may then allow stage payment only against satisfactory completion
of clearly identifiable physical milestones with the quantum of the stage payment being
commensurate with the quantum of work completed up to the milestone, subject to the Seller
submitting a Bank Guarantee in the prescribed format(enclosed) from a Commercial Bank of
India (for Indigenous Sellers)/ Bank of International repute for which counter guarantee is given
by Indian Bank (for Foreign Sellers), with validity up to additional period of 60 days beyond the
delivery date of the completion of all contractual obligations, for an amount equivalent to the
stage payment to be released. The physical milestones/ stages and the admissible stage payment
as percentage of the total contract value are given in the table below. When stage payments are
made in contracts with Price Variation formula, no price variations shall be admissible on such
portions of the price, after the dates of such stage payments.
 Stage Number Physical Activity to be completed Stage payment as % of the total
for claiming the stage payment contract value

67 Mode of Payment: Indigenous Bidders: It will be mandatory for the Bidders to indicate their
bank account numbers and other relevant e-payment details to enable payments through ECS/
NEFT mechanism instead of payment through cheques, wherever feasible. A copy of the model
mandate form prescribed by RBI to be submitted by Bidders for receiving payments through ECS
is enclosed as Annexure-4.

Foreign Bidders: a) If the value of the contract is up to US $ 100,000, payments shall be made by
Direct Bank Transfer. DBT payment will be made within 30 days of receipt of clean Bill of Lading/
AWB/ Proof of shipment and such other documents as are provided for in the consequent
Contract, but such payments will be subject to the deductions of such amounts as the Seller may
be liable to pay under the agreed terms of the Contract. OR b) The payment shall be through
Letter of Credit from State Bank of India/ any other Indian Public Sector Bank, as decided by the
Buyer, to the Bank of the Foreign Seller. The Seller shall give a notification within a specified
period of ………… days about the readiness of goods. Letter of Credit shall be opened by the
Buyer within …………….. days on receipt of notification of readiness from the firm. The Letter of
Credit shall be valid for ninety days from the date of its opening, on extendable basis by mutual
consent of both the Seller and the Buyer. All expenses related to Letters of Credit outside India
shall be borne by the foreign vendor. In case of extension of delivery period the LC extension
charges shall be borne by the Seller, if the extension is due to reasons attributable to the Seller.
68 Paying Authority: The Sr.GM/GM of the Unit or Finance Division of the Unit.
69 Document to be submitted for Effecting Payments: The Seller submit the requisite documents
to the Paying Authority to enable effecting the payment.
(a) Indigenous Sellers: Payment of bills will be made on submission of the following documents
by the Seller to the Paying Authority along with the bill: i) Ink-signed copy of Sellers Bill/
Commercial Invoice/ Contingent Bill ii) Inspection Note (and User Acceptance, if applicable) iii)
Copies of Supply Order/ Contract along with all amendments to the Supply Order/ Contract. iv) If
DP was extended, copy of the amendment (s) to the Supply Order/ Contract duly indicating
whether the extension was granted with or without LD v) Claim for statutory and other levies to
be supported with requisite documents/ proof of payment, like GST Invoice, Excise Duty Challan
(wherever applicable), Customs Duty Clearance Certificate,proof of payment for EPF/ ESIC
contribution with nominal roll of beneficiaries, etc., as applicable vi) Exemption Certificate, if
applicable. vii) UAM number of MSEs for availing benefits of Procurement Policies for MSEs
Order 2012 viii) Bank Guarantee for advance, if any, paid ix) Performance Bank Guarantee/
Indemnity bond (only for PSUs), as applicable x) Guarantee / Warranty certificate xi) Name and
address, Account type, Account number, IFSC code, MICR code (if these details are not
incorporated in supply order/contract) xii) Any other document / certificate that may be
provided for in the consequent Supply Order/ Contract (Note – From the above indicative list,
the documents relevant to the procurement undertaken shall be included in the TE)
(b) Foreign Sellers: Paid Shipping documents shall be provided to the Bank, by the Seller, as
proof of dispatch of goods as per consequential Contractual terms to enable the Seller to get
payment from the LC. The Bank will forward these documents to the Buyer for getting the Stores
released from the Port/ Airport. Documents shall include: i) Clean on Board Airway Bill/ Bill of
Lading ii) Original Invoice iii) Packing List iv) Certificate of Quality and current manufacture from
OEM v) Performance Bond/ Warranty Certificate vi) Dangerous Cargo certificate, if applicable vii)
Insurance policy for 110% of the CIF/ CIP contract viii) Certificate of Conformity & Acceptance
Test at PDI, if applicable ix) Fumigation Certificate, if any x) Any other document/ certificate
provided for in the Supply Order/ Contract (Note – From the above indicative list, the documents
 relevant to the procurement undertaken shall be included in the TE).

70 Quantity Tolerance:Normally no quantity variation in the supplies under the consequent

Contract shall be permitted. However, in justified cases, such excess/ short supplies may be
accepted by the Buyer, subject to the value of such excess/ short supplies not exceeding five
percent of the original value of the contract, and the payment being admitted only for the
actually quantity supplied.
71 Capacity Constraints of L1:Firms are expected to quote for full quantity or part thereof but not
less than 50% of tendered quantity. The management (CFA), reserves the right to order any
quantity on one or more firms. If the L1 Bidder has not quoted for the entire tendered quantity,
then the supply order shall be placed for the balance quantity on L2 provided the L2 accepts the
L1 rates. If the L2 is not agreeable to the L1 rate or if the L1 and L2 Bidders together cannot meet
the tendered requirement, then the order for the balance quantity shall be placed on the next
ranking supplier (L3) at the L1 rates provided L3 accepts the L1 rates. If the situation so warrants,
this process shall be repeated in the order of the ranking (i.e. L1, L2, L3... so on) till the entire
tendered quantity is covered or no Bidder is left.
72 Distribution of Quantity for Strategic Reasons:60:40 is applicable for this TE.Public
Procurement Policy for MSEs Order, 2012 is also applicable for this TE.

As a strategic requirement the Buyer may need multiple sources, in such cases the Buyer may
conclude orders on more than one firm in the order of ranking on financial evaluation (in the
distribution ratio clearly specified at the Sl. No. 9 & 10 hereinabove. The ratios of splitting may
be either (a) 60:40 if two sources are necessary (provided at least three sources were issued
tenders and have also quoted). Or (b) 50:30:20 if three sources are necessary (provided at least
four sources were issued tenders and have also quoted). The distribution shall be done between
L1 and L2 (on the L2 accepting the L1 rates) or between L1, L2 and L3 (on the L2 and L3 accepting
the L1 rates) depending on whether 60:40 or 50:30:20 is specified as the distribution ratio. If the
L2 or L3 Bidder (s) does not accept the counter-offered L1 rate then such undistributed quantity
shall revert back to the L1 Bidder. If the distribution ratio is not specified hereunder then the
supply order shall be concluded only on the L1 Bidder.

73 Acceptable Year of Manufacture:Unless stated other-wise in the TE, the goods supplied shall be
of current manufacture. Quality/ Life certificate will need to be enclosed by the Seller along with
the Bill.
74 Transportation: F.O.R. At Ordnance Factory Dehu Road, Pune-412101. Price quoted should on
F.O.R. destination basis, for delivery at buyer/consignee premises (loading/unloading of goods)
inclusive of all charges including transit insurance. Octroi Exemption Certificate (OEC) will be
issued, if required.

a)CIF/CIP (Port of Destination): Seller will bear the costs and freight charges necessary to bring
the goods to the port of destination. The Seller shall also procure Marine Insurance against the
Buyers risk for loss or damage during the carriage. In this regard the Seller shall contract for the
insurance and pay the insurance premium. Seller shall obtain the necessary clearances for export
of the goods. The date of issue of the Bill of Lading shall be considered as the date of delivery. No
part shipment of goods would be permitted. Trans-shipment of goods would not be permitted.
In case it becomes inevitable to do so, the Seller shall not arrange part-shipments and/or
transshipment without the express/prior written consent of the Buyer. The goods may be
shipped through Indian vessels. Seller will be required to convey the following information well
in advance before the Ship sails the port of loading: i) Name of the Ship: ii) Port of Loading and
name of Country: iii) ETA at Port of Discharge: iv) Number of Packages and Weight: v)
Nomenclature and details of major equipment: vi) Special instructions, if any, to be provided by
 the Buyer:

b)FOB/ FAS (Port of Shipment): The stores may be shipped through Indian Ships in case of FOB/
FAS contracts. Notice about the readiness of Cargo for shipment shall be given by the supplier
from time to time at least eight weeks in advance for finalizing the shipping arrangement,
through Fax and courier, to Factory concerned. Within 3 (three) weeks of receipt of the advance
notice, as above, the Factory Concerned will advise the supplier, through Fax and courier when,
and on board what vessels, these goods, or such part thereof, are to be delivered. If the advice
for shipping arrangement is not furnished to the Seller within 3 (three) weeks as aforesaid or if
the vessel arranged is scheduled to arrive at the specified port of loading later than 15 (fifteen)
days of the date of readiness of cargo, as aforesaid, the Seller may arrange for such transport on
alternative carriers with the prior written consent of the Buyer. Where the Seller is required
under the contract to deliver the goods on FOB/ FAS basis, and to arrange on behalf and at the
expense of the Buyer, for ocean transportation on Indian flag vessels or vessels of conference
lines in which India is a member country, the Seller may arrange for such transportation on
alternate carriers if the specified Indian flag vessels or conference vessels are not available to
transport the goods within the time period(s) specified in the contract, with the prior written
consent of the Buyer. Should the goods or any part thereof be not delivered on the nominated
vessel (except in case where prior written consent of the Buyer was obtained), the Seller will be
liable for all payments and expenses that the Buyer may incur, or be put to, by reason of such
nondelivery including dead and extra freight, demurrage of vessels and any other charges,
whatsoever incurred by the Buyer. The date of issue of the Bill of Lading shall be considered as
the date of delivery. No part shipment or Trans-shipment of goods would be permitted. In case it
becomes inevitable to do so, the Seller shall not arrange part-shipments/ trans-shipment without
the express/prior written consent of the Buyer. The Seller may contact Factory concerned.
OR
c)FCA (Airport): The dispatch of goods shall be made by air to the port of the consignee. The
Buyer shall advise full details of its freight forwarder to the Seller no later than 60 days prior to
the delivery of the first consignment otherwise the Seller may nominate the freight forwarder at
the Buyers expense. Delays in advising or delays by the Buyers freight forwarders shall not be the
responsibility of the Seller. The date of issue of the Air Way Bill shall be the considered as the
date of delivery.
75 Air lift: Should the Buyer intend to airlift all or some of the stores, the Seller shall pack the Stores
accordingly on receipt of an intimation to that effect from the Buyer. Such deliveries will be
agreed upon well in advance and paid for as may be mutually agreed.
76 Quality:The quality of the stores offered shall strictly comply with the technical parameters
contained in the Technical Specifications & its related standards and shall be new & of current
manufacture. The mode of Inspection may be Buyers Inspection/ Joint Inspection/ Self-
certification. The inspection of the stores may be Pre-dispatch Inspection (and/ or) Joint Receipt
Inspection/Buyers Receipt Inspection to check their compliance with the Technical Specification.
77 Pre-Dispatch Inspection (PDI):
The Buyer will send his authorized representative(s) to attend the PDI. The Seller shall intimate
the Buyer at least 45 days before the scheduled date of PDI. The time required for completing
visa formalities by the Seller should not be included in this notice. The list of Buyers
Representatives along with their details like, Name, title, date & place of birth, passport number
(including date of issue & expiry), address, etc., shall be communicated to the Seller, by the
Buyer, reasonably in advance of the PDI date. Upon successful completion of such PDI, the Seller
and Buyer will issue a Certificate of Conformity in the specified format enclosed in annexure. The
Buyer reserves the right not to attend the PDI or to request for postponement of the beginning
of the PDI in order to allow his representative(s) to attend such tests, in which cases he shall
inform in writing the Seller within 15 days before the date of the beginning of the PDI. Should
 the Buyer request for such postponement, liquidated damages, if any, shall not apply for such
period of postponement. In case the Buyer informs the Seller within the period mentioned
hereinabove that he cannot attend the PDI or in case the Buyer does not come at the postponed
date requested by him for performance of the PDI as mentioned above, the Seller shall be
entitled to carry out said tests alone as scheduled. The Certificate of Conformity and the
Acceptance Test Report shall be signed by the Sellers Quality Assurance Representative alone,
which will have the same value as if they were signed by both the Parties. In case Buyer does not
elect to attend the PDI, the same shall be intimated to the Seller in writing. The Seller shall
provide all reasonable facilities, access and assistance to the Buyers Representatives for safety
and convenience in performance of their duties in the Sellers country. All costs associated with
the stay of the Buyers PDI Representative (s) in the country of PDI, including travel expenses,
boarding & lodging, accommodation, daily expenses shall be borne by the Buyer.
78 Joint Receipt Inspection (JRI):
The Joint Receipt Inspection (JRI) of delivered goods shall be conducted jointly by the Buyers
Representative (s) and the Sellers Representative (s), on arrival in India, at the location to be
nominated by the Buyer. JRI shall be completed within …………….. days of arrival of good at the
Consignee Port. The JRI shall consist of:
a) Quantitative checking to verify that the quantities of the delivered goods correspond to the
quantities defined in this contract and the invoices.
b) Complete functional checking of the stores as per specifications in the contract and as per
procedures and tests laid down by Buyer.
c) Check proof and firing, if required.
d) Any other checks (to be specified)

The Buyer shall give the Seller a prior notice of at least fifteen (15) days for attending the JRI. The
bio-data of the Sellers Representatives shall be communicated at least fifteen (15) days prior to
the dispatch of goods to the Buyer for obtaining necessary security clearance, etc.

Upon completion of each JRI, the JRI proceedings and Acceptance Certificate shall be jointly
signed by the Buyers Representative (s) and the Sellers Representative (s). In case the Seller does
not depute his Representative for JRI on the scheduled date, then the Buyer Representative (s)
shall carryout the Inspection alone and the same shall have the effect of the regular JRI and shall
be fully binding on the Seller.

Copy of the JRI proceedings and Acceptance Certificate shall be dispatched to the Seller within
30 days of completion of the JRI. In case of deficiencies in quantity and (or) quality or defects,
details of these shall be recorded in the JRI proceedings, however, Acceptance Certificate shall
not be issued. Further, necessary claims shall be raised by the Buyer as per the Article on Claims
in the contract.
79 Claims:Claims may be presented either on (a) quantity of the stores, where the quantity does
not correspond to the quantity shown in the Packing List/Insufficiency in packing, or (b) quality
of the stores, where quality does not correspond to the quality mentioned in the contract. The
time frame for raising claims shall be as follows:
a) Quantitative Discrepancy: Within ninety days from the date of delivery of the consignment in
case of delivery by Air or road and within one hundred and twenty days from date of delivery in
case of delivery by Sea.
b) Qualitative Discrepancy: The warranty should remain valid for twelve months after the goods
or any portion thereof, as the case may be, have been delivered to and accepted at the final
destination indicated in the contract, or for eighteen months after the date of shipment from the
place of loading, whichever period concludes earlier.
c) Quality Claims on account of Defects or Deficiencies in JRI: The quality claims for defects or
 deficiencies in quality noticed during the JRI/PDI shall be presented within forty five days of
completion of JRI/PDI and acceptance of goods. Quality claims shall be presented for defects or
deficiencies in quality noticed during warranty period earliest but not later than forty five days
after expiry of the guarantee period. The quantity and quality claims should be submitted to the
seller in the prescribed format enclosed in annexures.
The Seller shall settle the claims within 45 days from the date of receipt of the claim at the
Sellers Office, subject to acceptance of the claim by the Seller. In case no response is received
during this period the claim will be deemed to have been accepted.
The Seller shall collect the defective or rejected goods from the location nominated by the Buyer
and deliver the repaired or replacement goods at the same location under the Sellers
arrangement.
Claims may also be settled by reduction of cost of goods under claim from bonds submitted by
the Seller or payment of claim amount by Seller through demand draft drawn on an Indian Bank,
in favour of Paying Authority.
80 Market Exploration:If the Buyer intents to explore the Market prior to finalisation of the
requirement, then the Buyer may through a separate Expression of Interest explore the Market
for the current availability and trends.
81 Buy-Back Offer: In case the Buyer desires to trade the existing old goods while purchasing new
ones, the details of the old goods to be traded and other relevant details in this regard shall be
indicated hereunder, whereupon the Bidders may formulate and submit their tenders
accordingly. Bidders can also inspect the old goods to be traded through this TE. Buyer, however,
reserves the right to trade or not to trade the old goods while purchasing the new ones,
therefore, Bidders are required to frame their bids covering both the options, i.e. with buy-back
and without buy-back. Handling charges and transportation expenses to take out the old items
will be on account of the successful Bidder. Factory may fix reserve price for the items to be
offered for the buyback well before the TE opening. In case, the firm quoted the buy back price
below than the reserve price then buyback offer of the firm may not be considered. In the
rankings the buy back price may not be considered. Details for the buy-back are: a) Details of
Items for buy-back: (make/model, specifications, year of production/ purchase, period of
warranty/ AMC, etc) b) Place for inspection of old items: (address, telephone, fax, e-mail, contact
personnel, etc) c) Handing over details: (date & time, place, mode of handing-over, etc.) d)
Timings for Inspection: All weekdays between …….. hours to …….. hours e) Last date for
inspection: 1 day before the last date of submission of bids
82 Exchange Rate Variation (ERV) :ERV is applicable only in contracts involving substantial import
content(s) and having a long delivery period (exceeding one year from the date of contract). The
bidder should indicate the import content(s) and the currency (currencies) used for calculating
the value of import content(s) in their total quoted price, which (i.e. the total quoted price) will
be in Indian Rupees. The bidder should also indicate the Base Exchange Rate for each such
foreign currency used for converting the FE content into Indian Rupees and the extent of foreign
exchange rate variation risk they are willing to bear. To work out the variation due to changes (if
any) in the exchange rate(s), the base date for this purpose will be the last date of submission of
commercial bid. The variation may be allowed between the above base date and the date of
remittance to the foreign principal/ mid-point of manufacture of the foreign component/…..
(Purchaser shall decide an appropriate date). The applicable exchange rates as above will be
according to the TT selling rates of exchange of SBI, Parliament Street Branch, New Delhi/RBI on
the dates in question. No variation in price in this regard will be allowed if the variation in the
rate of exchange remains within the limit of plus/minus 2.5 percent. Any increase or decrease in
the customs duty by reason of the variation in the rate of exchange in terms of the contract will
be to the buyer‟s account. In case delivery period is extended due to default of the vendor, any
increase in exchange rate will not be admissible and exchange rate on the last date of original DP
shall be considered. In case there is decrease in exchange rate during extended DP, lower
 exchange rate will be considered. The following documents would need to be submitted by
Seller in support of the claim on account of ERV:
(i) A bill of ERV claim enclosing working sheet
(j) Banker’s Certificate/ debit advice detailing FE paid, date of remittance and exchange rate
(iii) Copies of import order placed on supplier
(iv) Invoice of supplier for the relevant import order.
83 Public Procurement (Preference to Make in India) Policy:Provisions contained in Public
Procurement (Preference to Make in India), Order 2017 issued by DIPP, Ministry of Commerce &
Industries vide letter No. P-45021/2/2017-B.E-II dated 15-06- 2017 along with MoD I.D No.
59011/8/2015-D(HAL-II) dated 19-07-2017 and subsequent amendment issued by DIPP dated
28.05.2018 shall be followed. No such restrictive clauses should be mentioned in terms and
conditions of tender enquiries including matter like turnover, production capability and financial
strength for the bidders that would be advantageous to the foreign manufactured goods at the
cost of domestically manufactured goods. The minimum local content shall ordinarily be 50%.
The Requirement of Purchase Preference under PPP-MII, Order 2017 is as follows:-
(a) If the estimated value of procurement is Rs. 50 lakhs or less for which sufficient local capacity
and local competition available, only local suppliers shall be eligible to participate.
(b) In the procurement of goods more than Rs. 50 lakhs and which are divisible in nature,
following procedure shall be followed:-
i. Among all qualified bids, the lowest bid will be termed as L1. If L1 is from a local supplier, the
contract for full quantity will be awarded to L1.
ii. If L1 bid is not from a local supplier, 50% of the order quantity shall be awarded to L1.
Thereafter, the lowest bidder among the local suppliers, will be invited to match the L1 price for
the remaining 50% quantity subject to the local suppliers quoted price falling within the margin
(20%) of purchase preference, and contract for that quantity shall be awarded to such local
supplier subject to matching the L1 price. In case such lowest eligible local supplier fails to match
the L1 price or accepts less than the offered quantity, the next higher local supplier within the
margin of purchase preference shall be invited to match the L1 price for the remaining quantity
and so on, and contract shall be awarded accordingly. In case some quantity is still uncovered on
local suppliers, then such balance quantity may also be ordered on the L1 bidder.
(c)In the procurement of goods more than Rs. 50 lakhs and which not divisible in nature,
following procedure shall be followed:-
i. Among all qualified bids, the lowest bid will be termed as L1. If L1 is from a local supplier, the
contract will be awarded to L1.
ii. If L1 is not from a local supplier, the lowest bidder among the local suppliers, will be invited to
match the L1 price subject to local suppliers quoted price falling within the margin (20%) of
purchase preference and the contract shall be awarded to such local supplier subject to
matching the L1 price.
iii. In case such lowest eligible local supplier fails to match the L1 price, the local supplier with
the next higher bid within the margin of preference shall be invited to match the L1 price and so
on and contract shall be awarded accordingly. In case none of the local suppliers within the
margin of purchase preference matches the L1 price, then the contract may be awarded to the
L1 bidder.
84 Public Procurement Policy for MSEs Order, 2012 :Any order issued by Central Government in
relation to Micro, Small or other sections of Industries relevant to procurement shall be followed
by Factories / Units. One such Public Procurement Policy for Micro and Small Enterprises (MSEs)
Order, 2012 is in force w.e.f 01.04.2012 and should be strictly adhered to. The Public
Procurement Policy shall apply to Micro and Small Enterprises (MSEs) registered with District
Industries Centres or Khadi and Village Industries Commission or Khadi and Village Industries
Board or Coir Board or National Small Industries Corporation or Directorate of Handicrafts and
Handloom or any other body specified by Ministry of Micro, Small and Medium Enterprises
 (MSME). Declaration of Udyog Aadhaar Memorandum(UAM) number by the MSME vendors on
CPPP/MIL e-procurement portal should be made. The MSE bidders who fail to submit UAM
number will not be able to avail the benefits available to MSEs as contained in Public
Procurement Policy for MSEs Order, 2012 for tenders invited electronically through CPPP/MIL e-
procurement portal as follows:- (a) Tender set free of cost (b) Exemption from the payment of
Earnest Money (EMD) (c) In tender, participating MSEs quoting price within price band of
L1+15% shall also be allowed to supply a portion of requirement by bringing down their price to
L1 price in a situation where L1 price is from someone other than a MSE and such MSE(s) shall be
allowed to supply up to 25% of the total tendered value.However, the figures of 15% and 25%
given above will be suitably modified as per notification by Govt. of India issued from time to
time. (d) 358 items are also reserved for exclusive procurement from MSEs.
85 Safeguard while Taking Support from Private Companies in RFP Cases – Conflict of Interest
Clause:Any company and or their group/associate company who are participating in the < Details
of the RFP Proposal issued by the Service HQrs>* will not be eligible to participate in this Tender
Enquiry. An undertaking to the effect that the firm or its group associate is not participating in <
Details of the RFP Proposal issued by the Service HQrs> * is to be provided by the firm. At any
stage during the period of the contract, if the aforesaid undertaking is found to be false the
BUYER (OFs/MIL) to take all or any one or more of the following actions, wherever required:-
(i) To immediately call off the pre-contract negotiations without assigning any reason
or giving any compensation to the Bidder. However, the proceedings with the other
Bidder(s) would continue
(ii) The Earnest Money Deposit/Performance Security Deposit/Performance Bond shall
stand forfeited either fully or partially, as decided by the Buyer and the Buyer shall
not be required to assign any reason therefore.
(iii) To immediately cancel the contract, if already signed, without giving any
compensation to the Bidder.
(iv) To recover all sums already paid by the Buyer (OFs/MIL), and in case of an Indian
Bidder with interest thereon at 2% higher than the prevailing Prime Lending Rate of
State Bank of India (or Base Rate of State Bank of India in the absence of Prime
Lending Rate), while in case of a Bidder from a country other than India with interest
thereon at 2% higher than the LIBOR. If any outstanding payment is due to the
Bidder from the Buyer (OFs/MIL) in connection with any other contract for any other
defence stores, such outstanding payment could also be utilized to recover the
aforesaid sum of interest.
(v) To encash the advance bank guarantee and performance-bank-warranty bond, if
furnished by the Bidder, in order to recover the payments, already made to by the
Buyer (OFs/MIL), along with interest.
(vi) To cancel all or any other Contracts with the Bidder.
(vii) To ban the Bidder from entering into any bid from the MIL organization and/or MoD
and/or other Ministries/Departments of Government of India for a minimum period
of five years and not more than ten years at the discretion of the Buyer (OFs/MIL) as
per Procedure for Penal Action in OFs/Units of MIL under the Guidelines of the
Ministry of Defence for Penalties in Business Dealings with Entities in vogue (or
amended time to time). [*Details of such RFP/TE No & Date; Details of item/service
being procured‟ Details of the procurement agency of Service HQrs] *
86 Evaluation Criteria: The broad guidelines for evaluation of Bids will be as follows:
a) Only Bids that fulfill all the eligibility & qualifying requirements of the TE, both technically and
commercially, shall be considered for evaluation.
b) In Two-Bid system, the Technical Bids shall be evaluated with reference to the technical
requirements of the stores/ service prescribed in the TE. The Buyer may obtain technical
clarifications during the evaluation of the Technical Bids. Further, if considered necessary during
 the course of Technical evaluation, the Buyer may invite the vendors who meet the essential
parameters for technical presentation/ clarification.
c) The Price Bids of only the technically complaint Bidders shall be opened.
d) The Lowest Bid (L1) will be decided, from out of the Technically & Commercially compliant
Bids, based on the lowest price quoted. Consideration of Taxes & Duties in evaluation process
shall be as follows:
i) When competition is only among Indian Suppliers, the F.O.R Prices at destination (Consignee’s
premises) shall be the basis for ranking of the quotations.
ii) If the competition is amongst foreign suppliers, the basis for comparison shall only be the
landed price at the destination (designated port).
iii) When the competition is amongst indigenous and foreign suppliers, the basic cost (CIF)
quoted by the foreign suppliers shall be the basis for comparison with the basic cost offered by
the indigenous suppliers, after offloading the GST & Excise Duty (if applicable). Therefore, to
enable evaluation of the Bid, it is important for foreign Bidders to ensure that they duly quote,
both on, CIF as well as FOB basis. Similarly, it is important for the Indian Bidders to duly indicate
the GST & Excise Duty (if applicable) in their quote as separate elements.
e) The quotes of foreign suppliers in foreign currency shall be brought to a common
denomination in Indian Rupees by adopting the exchange rate as BC Selling Rate of the
Parliament Street Branch of State Bank of India, New Delhi/RBI on the date of the closing of Bids.
f) If there is any discrepancy between the unit price and the total price that is obtained by
multiplying the unit price and quantity, the unit price will prevail and the total price will be
corrected accordingly. If there is a discrepancy between words and figures, the amount in words
will prevail for calculation of price.
g) The Buyer reserves the right to evaluate the offers received by using Discounted Cash Flow
(DCF) method. If this method is applied the discounting rate shall be the lending rate of the
Government of India on loans given to the State Government as notified annually by the Budget
Division of Ministry of Finance. The DCF may be applied for converting differing Payment Terms
of Bidders to a common basis and thereby determine L1 status.
h) The Lowest Acceptable Bid will be considered for placement of contract/ Supply Order, after
complete clarifications and price negotiations, if so necessary. The Buyer also reserves the right
to award contracts to different Bidders for being lowest in particular items. The Buyer further
reserves the right to apportion the quantity, if it is convinced that Lowest Bidder will not be able
to supply the full tendered quantity in stipulated time.
i) Any other criteria as applicable to suit a particular case.

87 Procurement under this bid is reserved for purchase from Micro and Small Enterprises whose
credentials are validated online through Udyog Aadhar for that product category. If the bidder
wants to avail the reservation benefit, the bidder must be the manufacturer of the offered
product in case of bid for supply of goods. Traders are excluded from the purview of Public
Procurement Policy for Micro and Small Enterprises. In respect of bid for Services, the bidder
must be the Service Provider of the offered Service. Relevant documentary evidence in this
regard shall be uploaded along with the bid in respect of the offered product or service. – Not
Applicable for this TE.
88 Bidder financial standing: The bidder should not be under liquidation, court receivership or
similar proceedings, should not be bankrupt. Bidder to upload undertaking to this effect with
bid.
89 Bidders are advised to check applicable GST on their own before quoting. Buyer will not take any
responsibility in this regards. GST reimbursement will be as per actuals or as per applicable rates
(whichever is lower), subject to the maximum of quoted GST %.

While generating invoice in GeM portal, the seller must upload scanned copy of GST invoice and
 the screenshot of GST portal confirming payment of GST.
90 Bidder shall submit the following documents along with their bid for Vendor Code Creation:
a. Copy of PAN Card.
b. Copy of GSTIN.
c. Copy of Cancelled Cheque.
d. Copy of ECS Mandate duly certified by Bank.
91 Registration / Empanelment Requirement: Contract shall be awarded to only such sellers , who
are registered / empanelled / approved / enlisted with MIL for the required goods / service
category. Prospective bidders (if not already registered), are advised to get themselves
registered with the said registration authority before bid opening date. (It is certified that the
registration is granted by the registering agency as per Rule 150 of GFR following a fair,
transparent and reasonable procedure.)
92 To be eligible for award of contract, Bidder / OEM must possess following Certificates / Test
Reports on the date of bid opening (to be uploaded with bid): MAF/OEM AUTHORIZATION
CERTIFICATE. (For PAC/SKS)
Upload Manufacturer authorization: Wherever Authorised Distributors are submitting the bid,
Manufacturers Authorisation Form (MAF)/Certificate with OEM details such as name,
designation, address, e-mail Id and Phone No. required to be furnished along with the bid.
Not Applicable for this TE.
93 Bidder's offer is liable to be rejected if they don't upload any of the certificates / documents
sought in the Bid document, ATC and Corrigendum if any.
94 Material Test Certificate Should Be Sent Along with The Supply. The Material Will Be Checked by
Buyer’s Lab & the Results of the Lab will be the Sole Criteria for Acceptance of the Item.
95 The bidder is required to upload, along with the bid, all relevant certificates such as BIS licence,
type test certificate, approval certificates and other certificates as prescribed in the Product
Specification given in the bid document.
96 Bidders can also submit the EMD with Account Payee Demand Draft in favour of THE GENERAL
MANAGER, OFDR, PUNE payable at DEHU ROAD, PUNE. Bidder has to upload scanned copy /
proof of the DD along with bid and has to ensure delivery of hardcopy to the Buyer within 5 days
of Bid End date / Bid Opening date.
97 Bidders can also submit the EMD with Fixed Deposit Receipt made out or pledged in the name of
THE GENERAL MANAGER, OFDR, PUNE (Name of the Seller). The bank should certify on it that
the deposit can be withdrawn only on the demand or with the sanction of the pledgee. For
release of EMD, the FDR will be released in favour 6 / 8 of bidder by the Buyer after making
endorsement on the back of the FDR duly signed and stamped along with covering letter. Bidder
has to upload scanned copy / proof of the FDR along with bid and has to ensure delivery of
hardcopy to the Buyer within 5 days of Bid End date / Bid Opening date.
98 Successful Bidder can submit the Performance Security in the form of Fixed Deposit Receipt also
(besides PBG which is allowed as per GeM GTC). FDR should be made out or pledged in the name
of General Manager OFDR, Pune (Name of the Seller). The bank should certify on it that the
deposit can be withdrawn only on the demand or with the sanction of the pledgee. For release
of Security Deposit, the FDR will be released in favour of bidder by the Buyer after making
endorsement on the back of the FDR duly signed and stamped along with covering letter.
Successful Bidder has to upload scanned copy of the FDR document in place of PBG and has to
ensure delivery of hard copy of Original FDR to the Buyer within 15 days of award of contract.
99 Shelf Life The supplier shall declare the shelf life/best before use for a minimum period equal to
the warranty period as given in the DFS for the item. The item should be of the latest
manufacture, conforming to the current production standard and having 100% defined life at the
time of delivery.
100 All other Terms & Conditions will be as per the MIL Stores Purchase Manual – 2021.
101 If there is any discrepancy between GeM GTC/ATC & Buyer added bid specific additional Terms
 &Conditions (text/attached), Buyer added bid specific additional Terms & Conditions
(text/attached) will prevail.
102 Name/ designation of the contact personnel: Shri. Suhas M Kulkarni, JWM/PV
Telephone number (s) of the contact personnel: 020-27167268
Official e-mail ID (s) of contact personnel:ofdrpv@ord.gov.in
Annexure-1

COMPLIANCE STATEMENT FOR TECHNO-COMMERCIAL CUM ELIGIBILITY/ACCEPTANCE CRITERIA

Sl. No. Commercial & General Terms Compliance to TE If not complied,

Specification Specify
(Yes/No) deviation
1 Quoted for at least 50 % of tender quantity
2 Price quoted Firm and Fixed
3 Delivery & Prices on F.O.R destination basis.
4 Whether the offered store is as per specifications
mentioned in TE.
5 Inspection at OFDR acceptable.
6 Delivery as per Delivery Period mentioned In TE
acceptable.
7 Payment Terms of the TE acceptable.
8 Agreed for Option Clause as mentioned in TE.
9 Agreed to Distribution of Quantity for strategic reason
clause
10 Agreed for Submission of Security Deposit/
Performance Security Deposit.
11 Liquidated Damages Clause accepted.
12 Arbitration Clause accepted.
13 Jurisdiction Clause accepted.
14 Access to Books of Accounts Clause accepted.
15 Cartel Formation Clause accepted.
16 Agents / Agency Commission Clause accepted.
17 Agreed for condition of Non-disclosure of Contract
documents
18 Agreed to Freak Rate Clause
19 Agreed to Downward Trend Clause
20 Agreed for condition of Evaluation Criteria
21 Validity of offer-as per the Buyer Added Bid Specific
Terms and Conditions
22 Guarantee/ Warranty Clause accepted.
23 Pre-Integrity Pact Clause accepted.(Not Applicable for
less than Rs. 5 Cr.)
24 Risk Purchase Clause accepted
25 Bribes Clause accepted
26 Classified /Confidentiality Clause accepted
27 Intellectual Property Right Clause accepted
28 Force Majeure Clause accepted
29 Immunity to Govt of India Clause accepted
30 Termination Clause accepted
 31 Appropriation Clause accepted
32 Obsolescence Clause accepted
33 Product Liability Clause accepted
34 Indemnity against Patent rights accepted
35 Export License Clause accepted
36 Amendment & Waiver Clause accepted
37 Exit Criteria Clause accepted
38 Insolvency Clause accepted
39 Product support Clause accepted
40 Packing conditions Clause accepted
41 Price Variation Clause accepted
42 Conflict of Interest Clause accepted
43 Copies of valid registrations with MIL attached. In case
of MSEs, UAM no. and relevant documents
44 GSTIN No. and relevant documents attached.
45 Implementation of EMS Compliance
46 All other Terms and Conditions will be as per MIL
Stores Purchase Manual 2021

Date: Signature of authorized person & seal of the firm

Note:
(i) Please indicate YES/NO clearly. Also furnish details wherever required. Please note that the offer deviating
from Tender Terms and Conditions likely to be ignored/ rejected.
(ii) The offer must be accompanied by duly filled in compliance statement; otherwise the offer is likely to be
ignored/ rejected.
(iii) No attachment deviating from Terms & Conditions of TE will be entertained. The firm should mention the
samein Compliance Statement.

Annexure-2

Inspection details:
Inspection Type: At OFDR (Buyer’s Premises)

Inspection Authority: GM/OFDR

Inspection Officer: GM/OFDR or his authorized representative

Place of Inspection: At OFDR, Pune

i. After award of contract successful bidder shall have to get raw material tested in NABL Lab
(Annexure-A) or any Govt. owned lab at their own cost and submit the raw material test
reports to factory passed in all chemical and physical parameters as specified in drawing and
specification before commencement of bulk production within30 days from the placement
of supply order. The Raw material test reports will be scrutinized by OFDR and based on
the test reports permission* to manufacture advance sample/bulk production will be
given to the firm.
 Permission of bulk production/ to manufacture advance sample based on the NABL
test reports submitted by firm in no way shall dilute further responsibility of the
 supplier to use the raw material strictly as per the drawing and specification. If
required, OFDR may carry out process Audit at the firm premises at any stage of
manufacturing. During the process Audit a sample from the raw material being used
during manufacturing can be collected, sealed in presence of firms rep. and get
tested by OFDR on their own cost in any of the NABL Govt Lab. If required, OFDR
can also depute rep. to firm’s premises to verify the quantity of material available at
firm’s premises as per the challan submitted by the firm.
ii. Firm shall submit the challan issued in the name of firm for procurement of raw materials
along with test reports.
iii. During the bulk supply firm shall submit the undertaking that the components are
manufactured from the raw materials as per relevant specifications as specified in the
drawing of the components and against the challan submitted.
iv. The firm shall submit the NABL Lab test reports of intermediate tests specified in the
drawing and relevant specification during the manufacturing of components before supply
of bulk to factory. After receipt of bulk consignment in factory will carry out all the tests
mentioned in drawing and relevant specification for the finished components.

v. The firm shall forward the raw material NABL test reports with date not earlier than date of
supply order. Also NABL test reports submitted by the firm shall not be older than 06
months at the time of submission of the same to OFDR.

vi. The test reports shall be submitted along with letter with details such as raw material
shape, size, Qty, specification details, sufficiency of raw material I following format.

S Nome Specifi Raw material Qty Qty Qty NABL Purchas Sufficie
r. nclatur cations dimensions offered require require Lab test e ncy
N e of as per details (No. of (I Kgs, d to d to report Challan
o raw Drawin Rods, Sheets, Ltrs, manufa manufa No. & /invoice
. materi g Bundles, Rolls, Nos, ctured cture - - Date. No. &
al Size of raw etc) 01 unit - - -units Date
material, Lot
sizes, batch
sizes, Lot
Numbers etc)

(LIST OF NABL LAB FOR REFERENCE IS ATTACHED AS ANNEXURE ‘A’)

(Note: The firm should forward the call letter for inspection of bulk of input material/raw
material only after confirming the availability /readiness of materials at their end. If
during the visit of OFDR inspector for inspection at firm premises, the materials is not
found ready/available then firm will be liable to pay the charges of transport and stay of
the inspector to OFDR, from PSD/pending bills with OFDR else firm would be debarred
for future Tender Enquiry for a period & condition as decided by the competent
authority.)
 Annexure-3
NON-DISCLOSURE AGREEMENT

This Non-Disclosure Agreement (herein after referred to as the "Agreement") is made

and entered into this dd/________MM/____________Year____________ (hereinafter, the
Effective Date"), by and between (The President of India acting through) The
General Manager, Ordnance Factory Dehuroad, Pune-412101 (MAHARASHTRA -
INDIA), a unit of MIL, Department of Defence Production,
Ministry of Defence, Government of India (hereinafter referred to as "OFDR"), having a
Place of business at Dehuroad, Pune-412101(MAHARASHTRA-INDIA) and _________________________________ having a place
of business at ______________________________________________________ (hereinafter, singularly, the "Party" and, collectively,
the "Parties.)

WHEREAS, the Parties have agreed to document the understandings reached between them relating to the
exchange, protection and use of Proprietary Information associated with the Purpose set forth below.

Background

(A) ORDNANCE FACTORY DEHUROAD, a unit of MIL, is a manufacturing unit functioning under the
Department of Defence Production of Ministry of Defence, Government of India.

(B) The Parties wish, and are willing, to disclose to and receive from each other such
Proprietary Information for the purpose of entering into discussions regarding co-
operation for specific Defenceprogrammes for production in India (hereinafter referred
to as the "Purpose"), subject to the terms and conditions set out in this Agreement.

NOW THEREFORE, in consideration of the foregoing, the Parties hereby agree as

follows:

1. Definitions and Interpretation:

1.1 In this Agreement (including the Background):

Affiliate means a company which is (a) a wholly-owned subsidiary of a Party, (b) the ultimate
holding company of a Party (where that Party is the ultimate holding company's wholly-
owned subsidiary) or (c) a wholly-owned subsidiary of such ultimate holding company. For this
purpose, a company is a whollyowned subsidiary of another company if it has no members
except that other and/or that other's direct or indirect wholly-owned subsidiaries.

Agreement means this Proprietary Information Agreement.

ProprietaryInformation means any and all confidential information, including

without limitation any and all specifications, drawings, sketches, models,
samples, computer programs, reports, data, techniques, designs, codes,
documentation, and financial, statistical or other technical information or
 financial, commercial or other information or trade secrets, (howsoever
recorded, preserved or disclosed) disclosed by the Disclosing Party to the Receiving Party

and either identified by a suitable legend or other marking as being confidential (or similar
designation) or, if communicated orally, described as being confidential at the time of disclosure
and subsequently presented by the Disclosing Party in written, visual or machine readable form
to the Receiving Party within thirty (30) days of such communication. All the protections and
restrictions in this Agreement relating to the use and disclosure of Proprietary Information shall
apply during such thirty (30) day period.

Proprietary Information shall also mean any information obtained by examination,

testing or analysis in any way from such Proprietary information; and any derivative of any such
confidential information.

Proprietary Information shall not include any information which the Receiving Party can show
through documentary evidence:

(a) is or becomes publicly available otherwise than as a result of a breach of

this Agreement or the fault of the Receiving Party or a third party;

(b) has been lawfully received from a third party without restriction as to its
use or disclosure;

(c) was already in its possession free of any such restriction as to its use or
disclosure prior to receipt from the Disclosing Party;

(d) was independently developed by or for the Receiving Party without

making use of any Proprietary Information; or

(e) has been approved for release or use (in either case without restriction)
by written authorisation of the Disclosing Party.
Disclosing Party means a Party that discloses any Proprietary Information to the Receiving Party.

Effective Date means the date of this Agreement.

Party means a party to this Agreement and Parties means both of them.

Purpose shall have the meaning given to it in the Background.

Receiving Party means a Party which receives any Proprietary• Information from the Disclosing Party.

1.2 Paragraph headings are for convenience only and shall not affect the
Interpretation of this Agreement.
1.3 References to Paragraph are to the Paragraphs of this Agreement.
1.4 Words in the singular shall include the plural and vice versa.

2. In consideration of the Disclosing Party agreeing to disclose Proprietary

Information to the Receiving Party, the Receiving Party undertakes:
only to use, or allow to be used, any Proprietary Information to the extent reasonably necessary
 for the Purpose and not to use any Proprietary Information, or allow it to be used, for
any other purpose except with the prior written consent of the Disclosing Party;

(b) to keep any Proprietary Information confidential and not copy or disclose it to any person
or party except as permitted under this Agreement, save
that the Receiving Party may disclose Proprietary Information where
required by law, court order or any government or regulatory body
provided that the Receiving Party will, where possible without breaching
any legal or regulatory requirements, give the Disclosing Party advance
notice of the disclosure requirement and will cooperate with the
Disclosing Party in seeking to oppose, minimise or obtain confidential
treatment of the requested disclosure to the extent reasonably
practicable;

(c) only to disclose any Proprietary Information to its directors, persons employed in or
by its business, its professional advisers or any of its
Affiliates, its inhouse consultants, in each case, which have a need-to-
know such Proprietary Information for the Purpose provided that the
Receiving Party shall make each such person or party agree to observe
terms no less stringent than those contained in this Agreement and the
Receiving Party shall be responsible for such person or party's
compliance;

(d) not to disclose any Proprietary Information to any third party (other than as permitted
under this Agreement) except as required for the Purpose and with the prior written
consent of the Disclosing Party provided that the Receiving Party procures such third
party's written undertaking to the Disclosing Party to observe terms no less stringent
than those contained in this Agreement;

(e) not to copy, reproduce or reduce to writing any Proprietary Information, or any part
thereof, or allow any person or party receiving such Confidential Information from
the Receiving Party to do so, except as is reasonably necessary for the Purpose;

(f) to establish and maintain adequate security measures to safeguard the Proprietary
Information from unauthorised use, reproduction, disclosure or access (such measures
being at least equivalent to those it applies for the protection of its own Proprietary
Information);

(g) to notify the Disclosing Party as soon as reasonably practicable if it becomes aware
of, or reasonably suspects, the possession, use or knowledge of any Confidential
Information by a third party other than in accordance with the terms of this Agreement;
and
(h) to not directly or indirectly reverse engineer, disassemble, decompile,
or otherwise attemptto discover the trade secrets embedded in
the Proprietary Information

3. The Parties agree that nothing in this Agreement shall affect either Party's
obligation to comply with all applicable national and international export,
import and security laws and regulations.

4. The individuals identified below are designated as the primary point of contact
Forreceiving Proprietary Information exchanged between the Parties
pursuant to this Agreement.

Seller Buyer

The General Manager

Ordnance Factory Dehuroad
Pune -412101( MAHARASHTRA-
INDIA)

The individuals identified below are designated as the primary point of contact for receiving
notices under this Agreement.

Seller Buyer

The General Manager

Ordnance Factory Dehuroad
Pune -412101( MAHARASHTRA-
INDIA)

Either Party may change their designated point of contact upon written notice to the other Party.

5. Either Party shall be allowed to make copies of any Proprietary Information disclosed by the
other so long as the markings on the original information are
affixed to all copies (including partial copies) and provided such copies are
necessary to fulfil the Purpose of this Agreement. The Receiving Party shall
maintain the confidentiality of all Proprietary Information with regard to all such
copies. Nothing in this Agreement shall be deemed to replace or prejudice any
governmental security classification referenced on any part of the Proprietary
Information and the Receiving Party undertakes to respect and observe any such
classification and to treat the same with such degree of care and security as is
required by the relevant governmental authority in the country of the Disclosing
Party
6. Nothing in this agreement shall, by express grant, implication, estoppel or
otherwise, create in theReceiving Party any right, title, interest, or license in or
to the inventions, patents, technical data, computer software, software
documentation or other intellectual property of the Disclosing Party, the
ownership of which shall remain vested in the Disclosing Party at all times.
7. Proprietary Information received hereunder shall be protected by the Receiving Partyduring the
term of this Agreement and for a period of five (5) years from the date of expiration or
termination of this Agreement.
8. The Receiving Party acknowledges and agrees that due to the unique nature of the(Disclosing
Party's Proprietary Information, there can be no adequate remedy at law for any breach of
its obligation hereunder, that any such breach will result in irreparable harm to the disclosing
Party, and, therefore, that upon any such breach or any threat thereof, the disclosing Party
shall be entitled to seek appropriate equitable relief in addition to remedies it might have at
law. The Receiving Party shall notify the Disclosing Party in writing immediately upon the
occurrence of any unauthorized release of Proprietary Information, whether inadvertent or
otherwise, and shall use reasonable efforts to prevent or limit any further dissemination of such
Information.
9. In the event that any of the provisions of the Agreement shall be held by a court
or othertribunal of competent jurisdiction to be unenforceable, that
portion shall be severed and a new enforceable provision shall be negotiated
by the Parties and substituted therefore to accomplish the intent of the
severed provision as nearly as practicable. The remaining provisions of the
Agreement shall remain in full force and effect.
10. No waiver or modification of this Agreement will be binding upon either Party
unlessmade in writing and signed by a duly authorized representative of such
Party, and no failure or delay in enforcing any right will be deemed a waiver.
11. All documentation, correspondence and communications relating to this agreement shall
be in the English language.
12. Export regulations may apply to any authorized release of a disclosing Party's Proprietary
Information by the receiving Party. This Agreement does not
authorize export of technical data. The Receiving Party shall control access to
information received hereunder in accordance with all applicable laws and
regulations.
13 Upon the expiration or termination of this Agreement, the receiving Party shall cease all use of
Proprietary Information received hereunder and

(a) the Receiving Party shall on written demand by the Disclosing Party:

(i) return to the Disclosing Party any Proprietary Information (and any copies
thereof) reduced to any permanent form disclosed by the Disclosing Party
under this Agreement;

(ii) permanently delete all electronic copies of Proprietary Information

from any computer systems, save that the Receiving Party shall not be obliged
to erase Proprietary Information held in any archived computed system in
accordance with its security and/or disaster recovery procedures;

(iii) provide to the Disclosing Party a certificate, signed by an officer of the Receiving
Party, confirming that the obligations in this Paragraph 13(a) have been
complied with;
(b) if the Disclosing Party has not made a demand under Paragraph 13(a) within three (3)
calendar months of expiry or termination, the Receiving Party may destroy, erase or procure
the destruction or erasure of, such Proprietary Information (and any copies thereof) in
accordance with its usual business practices; and

14. Neither Party may assign or otherwise transfer this Agreement or any of its rights and
obligations hereunder to any third party (except to a legally recognized successor in
 interest to all or substantially all of the Party's assets) without the prior consent in writing from
the other Party, which consent shall not be unreasonably withheld.
15. This Agreement supersedes all prior discussions and writings with respect to the subject matter
hereof, and constitutes the entire agreement between the parties with respect to the subject
matter hereof. This Agreement cannot be changed in any respect except as agreed in a writing
of subsequent date that is duly executed by authorized representatives of both parties.
16. The Agreement may be executed in one or more counterparts, each of which shall be deemed
an original but all of which together shall constitute one and the
same instrument. Copies or facsimiles of this Agreement with signatures shall be
given and shall have the same effect as instruments with original signatures.

IN WITNESS THEREOF, the Parties have caused this Proprietary Information Agreement to be
executed in duplicate originals by their duly authorized representatives as of the Effective
Date.

SellerBuyer

The General Manager

Ordnance Factory Dehuroad
Pune -412101( MAHARASHTRA-
INDIA)

Annexure-4

MODEL ECS MANDATE FORMAT

Customer’s option to receive payments through e-Payment (ECS/ EFT/ DIRECT CREDIT/ RTGS/ NEFT/
Other payment mechanism as approved by RBI.)

Credit Clearing Mechanism

1. Customer’s Name

2. Particulars of Bank Account –

a. Bank name
b. Branch name
c. Address
d. Telephone numbers
e. IFS code
f. 9 Digit code number of Bank and Branch appearing on MICR cheque issued by Bank
g. Account Type (S.B. Account / Current Account or Cash)
h. Ledger number
i. Ledger Folio number
j. Account number as appearing on Cheque Book
3. Please attach a blank cancelled cheque, or, photocopy of a cheque or front page of your savings bank
passbook issued by your bank for verification of the above particulars.
4. Date of Effect “I, hereby, declare that the particulars given above are correct and complete. If the
transaction is delayed or not effected at all for reasons of incomplete or incorrect information, I would
not hold the user institution responsible. I have read the option invitation letter and agree to discharge
the responsibility expected of me as a participant under scheme.”

(……………………………….)
Signature of Customer
Date :

Certified that the particulars furnished above are correct as per our records.

Bank’s Stamp : ( ……………………………………….)

Date:

Signature of the Authorized Official from the Bank

CERTIFICATE OF CONFORMITY FORMAT

Date :
No :
Product Name :
Product No :
Lot No :
Quantity :
Contract No :
Packaging List No :

THIS IS TO CERTIFY THAT THE ABOVE MENTIONED PRODUCT/S HAVE SUCCESSFULLY PASSED ALL THE
ACCEPTANCE TESTS IN ACCORDANCE WITH THE RELEVANT SPECIFICATIONS AND DRAWINGS.

----------------------------------- ---------------------------------- --------------------------------

QUANTITY CLAIM FORMAT

Quantity Claim to the Contract No ………………………………dated ………………………………………

Claim Protocol number ……………………....
Laid down …………………………………………………………………….
For inter/tare storage Commission, consisting of Chairman …………and Members
………………………………………………………………………. having examined the state of the delivered equipment
ascertained as follows:-
1. The equipment was delivered by M/s …………………………… against Bill of Lading No
…………………………….. of ………………………………….. in the quantity of one collie with the Marking
………………………………. Case No …………………………………………..
2. The obtained equipment is delivered under Contract number………………………… Item Sr
Number ……………… Cost…………………………
 3. The state of packing and seals on goods packages, correspondence of the gross weight and
the weight indicated in the way bills (packing lists) Nos of the collies are to be pointed out
……………………………… Condition of the collie ………………………………………………….. Gross weight of the collie
…………………………………….. Net weight of the collie ………………………..
4. While unpacking the goods packages, the following discrepancy between the shipping
documents (packing lists as the packed equipment was discovered/separately for the each package
………………………………………….……………………….……………………………………………………………………..………………
5. Conclusion of the commission ………………………………………………….
6. The following documents confirming the justification of the complaint are attached to the
report (Packing list, photos of the damaged sports and others) ……………………………

Chairman ……………………………..
Members ………………………………

Place and date of issue ……………………………………………………….

QUALITY CLAIM FORMAT

Quality Claim to the Contract No ……………………..………………………dated………………………………………

Claim Protocol number ……………………..
Laid down on Concerning (Name of the claimed equipment) Commission Members
…………………………………………………………………..
Chairman ……………………………. ………………………………………………………..
The Commission has acquainted with the claimed equipment and made the following decision:-
1. ……………………………………………………………………... Serial No …………………………………(equipment) Production
by the ………………..…. Made by the manufacturer …..…………….... …………………………………..
………………………………………………………… (date of manufacture) No of running hours ……….. With guarantee
period of ……………………………... (completed) …………………………………………………………….
………………………………………………….. (years, months) From the beginning of operation, the product has
been operating for …………. hours.
2. Indicate operation conditions of the equipment ……………………………..… ……………………………......
(State type of fuel and oil used during operation of the equipment)
3. Description of the defect …………………………………………………………… …………………………………………
(the date and circumstances under which the defect was ascertained, short description of the probable
causes and probable consequences of the defect)
4. List of units (or their parts) (defective equipment will remain in that organization store-room
5. Conclusion of the Commission ……………………………………………… ………………………………………………
……………………………………………………………………………………………………………………………………………………………
…………………………………………………………………… (on investigation the commission decided that the claimed
equipment is not serviceable and that it must be subject to repair or must be replaced with a new
equipment. The kind of repair and place where the repair should be carried out are to be stated).
6. The following parts are required for the repair of the equipment (or its parts)
……………………………………………………………………………………………………………………………………………………………
……………………………………………………………………………………………………………………………..
7. The defect occurred …………………………… within the guarantee period from the reason as
follows ……………………………………………………………………………………………………………………………………………
8. The costs of the repair of the equipment or its parts …………………………
……………………………………………………………………………………………………………………………………………………………
……………………………… ………………………………………………………………………………………………
9. The defect occurred …………… within the guarantee period from the reason as
follows……………………………………………………………………………………..…………………………………………………………
………………………… ……………………………………………………………………………………… The costs of the repair will be
debited to (….. manufacturer/owner………..) 258
10. To settle the claim, the Seller has to replace the equipment and dispatch the unit and other
parts, reimbursement of costs connected with the repair of the equipment, etc.
Supplementary data:
The equipment was handed over in accordance with the ……………………. No
………………………………………………………………………………… on (date)
………………………………………………………………………………………………
The following documents are enclosed to this claim protocol to support the justification of the
claim (photos, samples, results of analysis, packing sheets, etc.)

Signature of the commission members

…………………………………………………
………………………………………………..

PERFORMANCE BANK GUARANTEE FORMAT

From:

Bank _______________

To,
The General Manager
Ordnance Factory Dehu Road,
Pune-412101
(Unit of Munitions India Limited)

Dear Sir,

Whereas you have entered into a contract No._______ dated_________(hereinafter referred to as the
said Contract) with M/s__________________________, hereinafter referred to as the “seller” for supply
of goods as per Part-II of the said contract to the said seller and whereas the Seller has undertaken to
produce a bank guarantee for( % ) of total Contract value amounting to _________ to secure its
obligations to The General Manager, Ordnance Factory Dehu Road/MIL Unit. We the
_______________ bank hereby expressly, irrevocably and unreservedly undertake and guarantee as
principal obligors on behalf of the seller that, in the event that The General Manager, Ordnance Factory
Dehu Road/MIL Unitdeclares to us that the goods have not been supplied according to the Contractual
obligations under the aforementioned contract, we will pay you, on demand and without demur, all and
any sum up to a maximum of ____________Rupees _____________ only. Your written demand shall be
conclusive evidence to us that such repayment is due under the terms of the said contract. We
undertake to effect payment upon receipt of such written demand.
2. We shall not be discharged or released from this undertaking and guarantee by any arrangements,
variations made between you and the Seller, indulgence to the Seller by you, or by any alterations in the
obligations of the Seller or by any forbearance whether as to payment, time performance or otherwise.
3. In no case shall the amount of this guarantee be increased.
4. This guarantee shall remain valid for …… months from the date of JRI acceptance of test consignment
in India or until all the store, spares and documentation have been supplied according to the contractual
obligations under the said contract.
5. Unless a demand or claim under this guarantee is made on us in writing or on before the aforesaid
expiry date as provided in the above referred contract or unless this guarantee is extended by us, all
your rights under this guarantee shall be forfeited and we shall be discharged from the liabilities
hereunder.
6. This guarantee shall be a continuing guarantee and shall not be discharged by and change in the
constitution of the Bank or in the constitution of M/s____________________________

Annexure-5

IMPLEMENTATION OF EMS( ENVIRONMENTAL MANAGEMENT SYSTEM ):- OFDR Pune has been
implementing Environmental Management System implement the following :-
i. Support our Environmental Policy.
ii. Help us to achieve our environmental objective and targets by conserving resources, energy and
water and by minimizing waste while on-site.
iii. Prevent pollution wherever possible.
iv. Comply with legislative requirement pertaining to contract.
v. We would also welcome any suggestion to improve our environmental performance.
vi. The successful contractor will given undertaking as per “ Contractor Briefing Format – OCP-20”

I have read the above briefing and agree to support the OFDR , Pune ‘s EnvironmentalManagement
System where relevant , whilst working on-site .

Name of the Contractor : ANANTA ENGINEERING SOLUTION

Signature : Date : 25/11/2022

Nature of works:-

Does the company operate

under its own environmental YES
policy

Annexure-A
LIST OF NABL LAB FOR REFERENCE

Sl. No. Details of Lab

1 Accurate Laboratory Services, Bhosari, MIDC, Pune -411026
2 Om Metalab Service P.Ltd, Tiny Industrial Co-Op Estate , Plot No.,37, UndriPisoli Road,
KondwaBudruk Pune
3 Elca Quality System & Calibrations Pvt. Ltd
S.No. 232/2, Pune Nashik Road, Bhosari, Pune – 411039
4 Eskaps (India) Pvt. Ltd., 30, Jawahrlal Nehru Road, Kolkata- 700016
5 Industrial Development & Testing Laboratory 40/107, Joy Bibi Road, Plot Nos. 18 & 20
Ghusuri, Howrah – 711 107
6 Heat Fabs, Block T-183, M.I.D.C., Bhosari, Pune-Nasik Road, Pune - 411026
7 Jyothi Spectro Analysis (P) ltd, Plot No. A-30, APIE, Balanagar, Hyderabad -500 037
8 Manjula Laborataries,1320, Friends Industrial Estate, Focal Point, Opp. R.P.Steel Ltd.
 Ludhiana-
9 Metalab (Industrial Lab), Plot No. 10, S.No. 47, Near Post Office, Akurdi, Pune -411035
10 Narang Metallurgical & Spectro Services, 1E/18, 2 nd Floor, Jhandewalan Extn., New Delhi-
110055
11 Perfect Laboratory Services, MIDC, Chinchwad, Pune -411019
12 Spark Testing Services, B/G/SEI-11-05, Next to BSNL office, Bhosari, MIDC, Pune -
411026
13 Spectro Analytical Lab, C-55, Okhla Industrial Area, Phase- I, New Delhi-11000
14 Testing Concern, 158/12, Belilious Road (1st Floor), Howrah- 711 101
15 Testing Research Engineering and Technological Services, 14, Ramnathpal Road,
Kidderpore, Kolkatta-700023
16 Treats Lab., 14, Ramnath Pal Road, Kiddispare, Kolkatta-700023
17 Vimta labs Ltd, Hyderabad
18 CQA(SV), Dehuroad , Pune -412101
19 M/s Kulkarni Laboratories, E-1, Omega Heritage, Chavan Bagh, DSK Vishwakarma,
Dhayari, Pune-411 041
20 CQA(ME), Khadki, Pune
21 M/s Dutech India Laboratory , Shop No.10, Sunder Park(E) , Nirjan Park, Manikbang,
Singhad Road, Pune-51
22 M/s Shanmukha Laboratories & Allied services , K-34, MIDC , Industrial Estate
Ambad, Nashik 422 010
23 NDT Metal Solution Laboratory ,B1/3/9/10, Naveena, Telco Road ,Near M’la Sales, Pimpri
,Pune 411018
24 M/s UGC Lab, Chakan –Alandi Road, Pune

The above details are only of some of the NABL labs available/known to QCM section.
The NABL scope of the above labs and the NABL labs available in India are available
on Website https://www.nabl-india.org (Click Tab Laboratory search → Accredited
Laboratories). Also the scope of testing of NABL labs can be downloaded from the
above website. It is the responsibility of the firms to verify if the tests as per relevant
specification of material as mentioned in drawing and specification of the item are within
the NABL scope of a particular Lab.
Also the firms can avail facility of any NABL lab/Govt. Lab in India for testing of
the material as per relevant specification if the tests are within the NABL scope of Labs.