2

TENDER DOCUMENTS

5. Highest tender not necessarily to be accented. The President of Pakistan

(Hereinafter referred to as government) is not bound to accept the highest or any tender or to assign any reason for non-acceptance.

6. Price While submitting the offer prices must be based on following:

a. The rates/price mechanism must be indicated separately against each serial as per appendix I to annex A.

b. Percentage or amount of commission or any other fee if given to a local agent if appointed must be declared OR certificate given as per Annex “3’ be signed and returned.

c. Offer must be Inclusive of GST levied by the Govt.

7. Alteration to Tender and Schedule to Tender by the Tenderers. Any modification which the tenderer wishes to put up forward may be stipulated for as a qualifying condition to his tender and written thereon but permission in writing to do so must first be obtained from the DGDP, Disposal Wing, Rawalpindi. Otherwise the tender is liable to be ignored.

8. Earnest Money.  The offer must be accompanied with BANK DRAFT for Rs. 0.2 M as earnest money from any scheduled bank of Pakistan (as per annex C), prefer to National Bank. Should a tenderes resile from his tender before the date up to which offers are opened or if the tender is accepted and he I to deposit the flaIl price vide paragraph 25&26 of this IT, the earnest money will be forfeited in fill. On preparation of comparative statement will reftind Earnest money to unsuccessful tenderers. In case of successftil tendeN earnest money will be refunded within 7 days on opening/confirmation of Letter of Credit for the total value of contract (value of earnest money will not be taken as part of total value of contract). Government shaD neither be responsible for any loss depredation that may occur to it. while it is in its possession nor be liable to pay interest thereon,

9.Tender to be si and completed. This tender must be signed as per “Con DP (Dis)-65” annex A. In case of partnership, all partners should sign or someone holding a power of attorney may sign on behalf of others. The tender ‘should not be incomplete illegible or mutilated / tempered with in any ways, Disregard of these instructions will render the tender null and void.

3

TENDER DOCUMENTS

GENERAL CONDITIONS OF CONTRACT

10, Risk The awarded goods shall be and remain in every respect at the risk of the buyer from the date pf signing of acceptance certificate and preservation thereof, from that date.

11. Terms of Payment the buyer shall establish irrevocable Letter of Credit, duly confirmed by the seller’s Bank for 100% amount of contract value i.e. US$__________ in favour of CONTROLLER OF MIUTARY ACCOUNT (Defence Production), Pakistan within 21 days of signing of contract. 100% payment will be made to the seller out of Letter of Credit by the Letter of Credit Opening Bank on production of acceptance certificate duly signed by both the parties. The Letter of Credit established shall be opened with scheduled bank (State Bank) of Pakistan. The Letter of Credit is to be opened in US Dollars for the amount within 21 days from the date of signing of this contract and to be valid up to 60 days after collection shipment date for negotiation of Payment Document, Letter of Credit opening, amendment, as well as confirmation charges will borne by the Letter of Credit operating charges within Pakistan shall be borne by the seller and outside Pakistan shall be borne by the buyer. If the buyer does not open the Letter of Credit within stipulated time or the Letter of Credit does not fully correspond to the terms and conditions of this contract, the seller has the right to either cancel the contract at the risk and expense of the buyer or postponed the delivery for the corresponding period. Acceptance certificate will be provided to Letter of Credit operating Bank for release of payment to the seller account holder head 1221000 i.e. Controller of Military Account (Defence Production).

12. Disqualification. Offers are liable to be rejected if:

a. There is any deviation from the General/Special Instruction,

b. Found conditional or incomplete in any respect,

c. Multiple rates are quoted against one item.

d. Form DP-65 duly filled in and signed by the tenderer is not received with offer as per appendix I to annex ‘A’.

e. Received later than appointed date and time.

F. There is overwriting, erasing in rates / prices

4

TENDER DOCUMENTS

g. Prices are changed subsequent to opening of tender.

h. Non attachment of Bank Draft for Rs. 0.2M as Earnest Money.

13.       Return of IT.  In case you are NOT quoting, the tender inquiry may please be

Returned to this office before opening date declaring as NOT QUOTED.

14. Reasons for not quoting. In case you are NOT quoting rates against any item.

Please convey reasons for NOT doing so.

15. Inclusion of Clause ‘Disputes And Arbitration. In The Tender.

a. In the event of any dispute arising in connection with this contract or any regulating order both parties shall use their best efforts to settle such dispute amicably.

b. All disputes which cannot be settled amicably by the parties hereto shall be finally settled by arbitration under the rules of conciliation arid arbitration of the international chamber of commerce by three arbitrators appointed in accordance with the rule, the third arbitrator who shall act as the Chairman shall not be a national of Pakistan or the country tenderer belongs to.

16. Date and tine of receipt of tender. Your offer must reach through reputable courier to this Directorate General before/on 31 Dec 2009 offer received through telex / fax and after the scheduled date and time will not be accepted. This Directorate General will not be responsible for delay occurring in post (Please see Annex D fbr detail).

17. Date And Time For Opening of Tender. Duly completed tenders will be opened in the conference room of DGDP at 1100 hours on 31 Dec 2009 in the presence of tendered or their authorized representative (with firm authority ether).

18. Right Reserved. Government of Pakistan (represented by Directorate General Defence Purchase) does not pledge itself to accept the tender and reserves the right of accepting the whole or any part thereof. Please note that the tender does not constitute any obligation or commitment what so ever, on the part of the Government of Pakistan to negotiate or conclude any or part of the tender under any terms or conditions irrespective of the cost,

5

TENDER DOCUMENTS

Highest cost or any gradation of the cost. Government of Pakistan reserves the right to cancel the IT orb reject any all offers or quotations without assigning any reason or explanation.

19. Secrecy of Tender. All matters connected with this tender and any subsequent action arising there from, comes within the scope of the Official Secret Act 1923 promulgated by Government of Pakistan which forbids providing tender / contractual information to any other unauthorized / unconcerned person organization / agency. The information regarding the stores concerned must not be disclosed by you or your employees/ agent to ny unauthorized person, agency or any Government without prior written permission from this directorate General.

20. Validity of Offer. The of shall be valid at least for 90 days from the date of opening of IT. However, the same may be extendable to 120 days.

21.  IT Instruction. The tender shall comply with all instructions contained in the tender document and the same be clearly indicated in the offer The offer must be accompanied NTN certificate, pro tax certificate and registration copy of DGDP (if available).

22. Clarification of IT.           In case of any doubt or clarification required regarding this

tender, undersigned may please be contacted through following contacts:-

Telephone: 0092-51-9271910

Fax: 0092-51-9270954

E-Mail: dddisposal@dgdp.gov.pk, sardarshamim64@hotmail.com

23. Receipt of this IT may please be acknowledged by fax/telex/e-mail.

24. Delivery/Collection. The goods sold will be removed by the buyer from the position where they Tie as shown in the special condition. Should the original buyer wish to take delivery of the goods supply through a representative, he will give the letter authorizing him to take delivery of the same. The authority letter must contain details of the goods together with a reference to the number and date of the DGDP’s letter accepting this offer. Unless these instructions are complied with explicitly, the officer holding the stores will not give delivery.

6

TENDER DOCUMENTS

25. Failure to pay price. If the buyer shall make default in payment b the goods in accordance with the contract, in that case the Government will cancel the contract by notice in writing to the buyer. Government shall be entitled to recover from the buyer any lost of storage, warehousing or removal of the goods and any expense incurred in or in connection with a sale or attempt sale thereof. Any gain as a result of resale as aforesaid shall belong to Government. This is without pr to Government’s right under Para 8 hereof or other wise.

26. Failure to take delivery after Payment If the buyer having paid the h amount of his supply, fails to remove the goods by the date or dates specified in the special condition, Government may keep the goods at the buyers risk and charge the buyer in respect of room space © 1/2% per diem on the original sale price of the states such charges to be paid before the goods or any part thereof are removed. If the goods are not claimed within three weeks of the date of delivery, Government may sell the same without notice as and when they think best and recover the cost of the sale from the buyer. If delivery is by installments, the DGDP may at his option treat the de as a breach of contract and cancel the contract and sell the balance of the goods and recover any loss from the buyer.

27. Recovery of Sums Due Whenever under the contract any sum o money recoverable from or payable by the buyer, government shall without prejudice to any other remedy be entitled to deduct it from the proceeds of such resale or to appropriate the earnest money in whole or balance may be deducted from any sum then due or which at any time hereafter may become due to the buyer under this or any other contact with Government and if this is not sufficient the buyer shall pay any balance to Government on demand.

28. Damage. The buyer shall make good all damages which may be caused to any prop of Government or of any other person by any act of default of the buyer, his agent or servant in connection with the removal of any of the goods provided that Government may at their option make good such damage and charge the buyer with the expense thereof.

29. Corrupt Practice. Any bribe, commission, gifts gratifications or advantage given promised or offered by or on behalf of the buyer or his partner, agent or servant or any-one on his or their half (whether with or without knowledge of the buyer) to any officer, servant or

7

TENDER DOCUMENTS

representative or agent of government, in relation to the obtaining or to the execution of this or any other contract with the DGDP shall in addition to any criminal liability which he may incur, subj6tct the buyer to the cancellation of this and all other contracts and to payment to Government of any loss resulting from any such cancellation.

30. Insolvency. The government may at any time terminate this contract if the buyer is adjudicated insolvent or enters into any arrangement with creditor or being a company would up voluntarily or otherwise unless it be for the purpose of reconstruction and recover from the buyer any loss resulting there from,

31. Assignment or sub-letting of contracts. The buyer shall not assign or sub-let the contract or any part thereof without the written permission of the DGDP and even if permitted to do so shall remain liable for fulfillment of the contract.

32. General Sale Tax. The buyer will pay the General sale tax and any other taxes liable by Islamic Republic of Pakistan prior to transportation of goods/stores out of depots. However, content of revenue department letter no.1/22-STB/2002 (R-1)/09858-R dated 01 Sep 2007 are reproduce have under for the consumption of potential foreign buyers/domestic exports. Under S. No. 4 of the Fifth Schedule to the Sales Tax Act, 1990, supplies against in tenders are zero-rated for sales tax purposes. However, supplies made against local/national tenders are chargeable to sales tax @) 16%. In case the goods purchased in local/national tenders are subsequently exported by the buyer, the exporter is. Entitled to refund of sales tax as exports from Pakistan are zero-rated for sales tax purposes,

33. Port Handling I Clearance Charges. It will be responsibility of the buyer to arrange and clear Karachi port trust handling and custom charges.

34. Import License The buyer will provide Import License from his Government (Ministry Concerned) and on the basis of this License, Government of Pakistan Ministry of Defence, and Production will issue Export License for taking purchased goods/Stores out of Pakistan.

SPECIAI CONDITION OF CONTRACT

35. All offers from foreign bidders or their agents in Pakistan must specify the price in US Dollar.

36. Successful foreign bidders will have to open Letter of Credit with any scheduled bank of Pakistan (State Bank of Pakistan) for the full amount within 21 days of award of stores.

8

TENDER DOCUMENTS

37. In case of successful foreign bidder, the earnest money will be refunded as soar as the Letter of Credit is opened for full amount.

33. All tenders must be accompanied by earnest money, Rs. 0.2 N of the price o in this form of bank draft payable to Controller of Military Accounts (Defence Production). Earnest money thus forwarded will be refunded to unsuccessful bidders, as soon as possible.

39. In case of foreign buyers, tender may be u after carrying out the inspection of in question stores in Pakistan. In this regard, the firms may contact/coordinate in Pakistan with Officers on addresses mentioned at Para 4.

40. Condition.  Serviceable. However, the same can be verified by the buyers, through physical inspection / visits to PAF Base Chaklala after having sought pre visit permission from this directorate.

LtCol

For Director G Defence Purchase

(Muhammad Shamim)

9

TENDER DOCUMENTS

Annex A

Both copies to be returned                                                                        Con DP (Dis) 65

1. Con DP (Dis)-65
2.  Appendix I to Anx ‘A’

Name of Firm _______________

Contractor’s Telegraphic

Address______________________

Code Used___________________

Date______________________

Telephone ___________________

To:

The Director General Defence Purchase

Pak Sectt No. II, Rawalpindi

Pakistan

Dear Sir,

1. I hereby offer to purchase from the Director General Defrnce Purchase the stores detailed in schedule to the tender inquiry or such portion thereof as you may specifi’ in the acceptance of tender at the prices offered against the said schedule and frirther agree that this offer will remain valid for 120 days after tender opening and will not be withdrawn or altered in terms of rates quo and the conditions already stated therein on or before thi5 date. I/We shall be bound by a communication of acceptance to be dispatched within the prescribed time.

2. I/We have understood that instruction and General Condition governing this tender.

3. The following pages have been added with the heading as per appendix I to Annex A and form part of this tender as under:

a.

b.

Your,s faith filly

Capacity in which signing

Address______________

Dated ___________

Signature of witness

Signature _________

Address __________

Telephone no______

10

TENDER DOCUMEN

Appendix “I” to Annex A

I 1st Column	2nd column		3rd column	4th column
Goods for which tender is made	Quantity	Condition	Price tendered in US$	No of days guaranteed for removal/lifting of goods purchase from good own

____________________

 (Signature of tenderer)

The above tender is hereby accepted/rejected by me on behalf of the president of Pakistan for the whole/portion of the said goods as described below:

Item (s) __________Quantity __________ Price____________

Station ___________

Date this __________ day of ___________

Director General De Purchase

11

TENDER DOCUMENTS

ANNEX ‘B’

CERTIFICATE

It is certified that no person, firm, corporation, subsidiary or entity in Pakistan or elsewhere shall directly or entirety receive any rebate, bonus, commission, gift or favour in cash r kind other than the commission except allowed to N/S (Full Name, Title of the company with address), against subject IT No, 1347/Gen/CESSNAJIT/PAF/DGDPJDis date 19 Oct 2009. In case it is infringed/violated by the Buyer, the seller will have the right to cancel the contract and or impose a penalty equal to 2 of the contract value.

Agent                                                                                                              Principal

­­­____________                                                                                    ________________

____________                                                                                    ________________

____________                                                                                    ________________

Seal & Sig nature                                                                                  Seal & Signature

COUNTERSIGNED

________________

________________

DP CONCERNED

SEAL & SIGNATURE

12

TENDER DOCUMENTS

Appendix “I” to Annex B

ACKNOWLEDGEMENT SLIP

Tender No & Date

­­­­__________________________________________________________________________­­­­­­­­­­­­­­­______________________________________________________________________