Domestic Business Partnership

Memorandum of Understanding for Exclusive Domestic Business Partnership for ANUPAM® Animal and Poultry Feeds

 The Stated Document is a technical business draft clearly demarking all the possible clarifications between both the parties of the future association. Wherein it’s understood and agreed that an Individual / Company / Organization is assigned the Exclusive Marketing Rights of the products produced by the above stated Company  and branded in the name of ANUPAM®  for a given Geographical Area on the below stated mutually agreeable clauses. This also refers to the details mentioned by the applicant in the format of Application for Provisional Appointment of Dealership of Dealership (ETRH), issued by this office.

  1. Security Deposit: No Security Deposit is required / demanded for attaining the Exclusive Marketing Rights of our Products, irrespective of Tehsil, District, Block, State or National Level business activity.
  2. Terms of Business: All Business Transaction shall be on Advance Payment basis, through bank to bank fund transfer. Whatsoever the magnitude of the Business may be, the channel partners are pre informed to not to forward any requests related to business on credit basis. Financial Securities such as Bank Guarantees, In Land Letter of Credits shall also have no impression on the terms of business mentioned above.
  3. Purchase Order: For confirmation of any business orders the authorized channel partners have to place a Purchase Order in Hindi or English language either by hard copy or soft copy communication, stating all the required details of the order including the payment deposit details.
  4. Product Pricing: shall either on Ex-Factory or on single destination delivery basis, wherein the minimum standard purchase lot has to be ordered in a Quantity of 17 MT, 24 MT or 28 MT Consignment. In the stated quantity Multiple Products as per the requirement can be ordered. In the case of Ex-Factory Product Pricing, the Authorized Channel Partner is free to decide the Minimum Order Quantity, but it should not be less than truck load.
  5. Price Fluctuation: In the case of Price Increments, all the appointed Authorized Channel Partners / Associates will be informed well in advance to procure the material at the existing price and book the short term capital gain.
  6. M.R.P Policy: Determining the Retail Price or the Market Price of the finished product in the appointee area of activity is the autonomous right of the Authorized Channel Partner. Wherein no directives shall be issued from our side.
  7. Product Delivery Schedule: On Confirmation of the order, the respective channel partners will be informed by an Authorized Company Official regarding the Actual or Expected Date of Delivery. The regular Delivery schedule is structured within 7 Working days from the date of order confirmation.
  8. Buffer Stock Management: All the appointed Channel Partners / Associates will have to maintain at least 35% Buffer Stock always on Hand. At the time of 35% Stock on Hand the new orders have to be placed, which will ensure a smooth and fresh product supply management. There is no need for unnecessary stocking of the products, as different products are produced round the year.
  9. Violation of Buffer Stock Management: In case of violation of Buffer Stock Management clause, it’s not the responsibility of the Company to provide Material before then the regular delivery period.
  10.  Defining Area of Activity: The Appointed Channel Partner has to meticulously define its Actual Area of Activity, wherein he has all the autonomous rights to Promote and decide the business / trading policies of our product range. There would be zero interference from our side in respect to the same.
  11. Business Jurisdiction: A business jurisdiction is a pre charted and informed area of activity. This is an exclusive business zone of the appointed channel partner, wherein neither any other entity shall be appointed (subject to clause 12 & 19) by the above stated company nor as the producers of the product shall be able to do any business activity unknown to the appointed Dealer.
  12. Common Area Multiple Products and Multiple Dealerships: If the appointed Channel Partner is not compatible to market multiple product lines (Eg. Cattle Feed, Poultry Feed, Ratite Feed etc) due to any given cause and wishes to possess exclusive marketing rights (channel partnership / dealership) of one or few product line (but not all). In such case a common area of activity shall be divided with multiple Channel Partners in multiple products lines on exclusive basis.
  13. Violation of Dealer Jurisdiction Norms: shall not be permitted or pardoned under any given circumstances. Any marketing encroachment activity directly or indirectly in the other appointed Channel Partners Area shall be considered as an unpardonable breach of channel partnership conduct. In such events it’s the autonomous rights of the Company to write off / dissolve the Business Partnership understanding of the accused entity, without prior notice.
  14. Extension in the Business Jurisdiction: If the existing Channel Partner wants to expand its area of activity to the neighboring prospective locations, on the conditions of the same lying empty; then in such cases on recommendations of the Business Manager (appointed for that area), the extension in the Business jurisdiction shall be possible. The extension of jurisdiction shall be totally dependent on prevailing circumstances effectively applicable at that point of time.
  15. Uninformed Extended Business Jurisdiction: If an existing Channel Partner voluntarily extends its Business jurisdiction (to area lying empty/vacant) without informing this office. In such case the company is free to appoint any other prospective entity (arrived through direct contact) as a Channel Partner of the vacant marketing space and that shall not be claimable by the unauthorized business developer.
  16.  Product Penetration Effort: The appointed channel partner has to make effective product penetration policy in order to make the product reach to each and every corner of its area of activity. During the business expansion process, due care has to be taken control and zero up any product penetration process in the neighboring Channel Partner area.
  17. Appointment of Dealers: is the Autonomous right of the channel partner in its area of activity. We shall not be intervening in the stated matter unless and until any participation of such nature is demanded by the appointed Channel Partner.
  18. Monthly Business Target: It’s the responsibility of the Authorized Channel Partner to achieve basic business targets on Monthly basis and maintain the same on regular basis. In case of negative business inclination due to natural cause; shall be considered effectively on mutual end.
  19. Prolonged Business Deprivation: shall be considered as individual cause and effect of the appointed channel partner. It would be assumed as the individual lack of efficiency of the channel partner. In such case either the Area shall be partially or wholly transferred to other prospective entities i.e. either an existing Channel Partner area in two new jurisdictions or termination of the existing Channel Partnership with prior notice.
  20. Unilateral Business Strategy: The finished products in the Brand Name of ANUPAM® produced by the above stated company shall be in straight line pattern i.e. between the Company and the Authorized Appointed Channel Partner. Wherein the company shall not be dealing directly or indirectly with the sub dealers / retailers / customers / any other appointed by the Authorized Channel Partner. Also there shall be no intermediary in the supply chain.
  21. Dispute Management: All disputes between two or more Channel Partners shall be resolved by the Company acting as a Mediating Agency on an unbiased platform in favor of both /all the entities. Wherein it’s assured to attain an equilateral consensus between all the disputes and attain business harmony between all the channel partners. All disputes between the Company and the channel partners shall be subject to the Court of Laws pertaining to Jamnagar (Gujarat) Jurisdiction.
  22.  Role of Business Manager / Portfolio Manager: The Business Manager/ Portfolio Manager / State Marketing Officer / Marketing Officer is a permanent employee of the above stated Company to maintain and monitor business activities of nature on behalf of the above stated company. For technical or commercial information sharing process, an appointed channel partner has to coordinate with the allocated official by the above stated company.

Declaration

I/We hereby solemnly declare that I/We will abide prevailing Channel Partnership/ Channel Partnership Rules and Conditions framed there under and clauses amended from time to time. In case of violation of any clause(s) by me/us knowingly or unknowingly – the above stated Company is free to exercise required steps – that would be acceptable to me/us and all associated with me/us.

For, Hindustan Animal Feeds

Authorized Signatory                                         _________________________________

(Applicant Signature with Seal)


For, Hindustan Animal Feeds

Officer in Charge                                                     _________________________________

(Witness of the Applicant)

Name of Witness  
Relationship with the Applicant  
Telephone Contact  
Mobile Contact  
Postal Address   

 

 

 

Date:______________

Time:______________

Place:______________

State:______________