SOUTH EASTERN RAILWAY

General Conditions / Instructions / Notice to the Tenderer:

1. i) Submission of Tender:-

THE SCHEDULE FOR THIS TENDER MUST BE COMPLETELY AND UNAMBIGUOUSLY FILLED IN FOR EACH CONSIGNEE SEPARATELY. The purchaser will have no responsibility for incorrect evaluation of total unit rate and or ranking of a tender, if the schedule is not filled in completely & unambiguously for each consignee separately. No claim/clarification of a Tenderer regarding applicability, inclusion or exclusion of any element of tax or duty or any other change in the offer subsequently (after opening of tender) will be entertained. For this the Tenderer is advised to read conditions in General conditions and Special conditions (if specified) for submission of tender carefully.

ii) Wherever there is duplication of clauses in IRS and General/Special condition s of Contracts, the latter should be read as amplification.

iii) Tender Forms are not transferable and their cost is not refundable.

iv) The tenders must be submitted in sealed cover duly indicating Tender No. and opening date on the face of the cover (envelope) with brief description.

v) The sealed tenders must be either deposited in the tender box placed in the office of the Controller of Stores, South Eastern Railway, by the specified time & date, or if posted, must reach the said Office at 5^th floor, New Administrative Building, 11 Garden Reach Road, Kolkata-700 043, by that time and date. It is the responsibility of the Tenderer to ensure that the tender reaches on or before the date & time as specified. The said office undertakes no responsibility for any postal delay.

vi) In case the date of closing/opening of the tenders happens to be a holiday, the date of closing/opening of such tenders will be the next working day.

vii) Offer of firms who have not purchased tender documents from the office of the Controller of Stores, South Eastern Railway or who have downloaded from website and submitted without the cost of the tender shall be summarily rejected without assigning any reason. It will be presumed that the firms who have purchased the tender documents or downloaded have gone through all the terms and conditions of tender thoroughly and accept. IRS conditions of contract until and unless firms specify the deviations from terms and conditions of tender and IRS conditions of contract in their quotations. Purchased / down loaded tender documents booklet must accompany the offer duly signed.

viii) Quotations/Offers received through TELEX/e-mail will not be entertained/considered.

ix) Multiple tenders/offers from the same Tenderer with different rates and/or terms of conditions received are liable to be summarily ignored. Tenderers are expected to quote only one offer price strictly conforming to Tender specification in the prescribed schedule accompanying the tender documents.

x) No erasures, alteration or overwriting are permitted on the Tender Form and/or accompanying schedule. A tender with unattested erasures, alteration, or overwriting is liable to be considered as invalid.

xi) Past performance particulars for same/similar items supplied to Railways and other public sector institutions should be submitted in the proforma attached, along with offer.

xii) Tenders offered by distributors of any stores should be accompanied with valid authorization or distribution certificate from the Principal, with clear undertaking by the principals for quantity, originality and workmanship of the product including warranty, if necessary. Absence of such undertaking may result in ignoring of the offer.

xiii) Participation in the Advertised/Global tenders is open to unapproved and unregistered Tenderers also. However, such Tenderers will have to submit their offers against Advertised/Global tenders duly supported by all the documents described in the tender in support of their claim of capability both from the technical angle as well as financial angle, failing which their offer will be rejected. Further, their offers will have to be competitive for being considered for educational/developmental order. Consideration of placement of such an order is also subject to verification of the capability claimed/exhibited in the tender documents.

xiv) Tenderers should furnish a list of Plants, Machinery & Testing equipment’s duly giving the full address of their Workshops/Plant. They should also indicate the number of technical staff/workers engaged in their factory of workshop. This information should be submitted alongwith their offer.

xv) The Railway reserves the right to order entire or bulk quantity from approved firms/tenderers with proven performance as indicated in para (xi) above. The approval status of the tenderer should be reckoned as on the date of opening of the tender and not thereafter. However if there is a subsequent downgradation/banning/suspension of the Tenderer, the status of the Tenderer will no longer be taken as prevailing on the date of opening of tender. The offer of other Tenderers may be considered for developmental order if it is deemed fit.

xvi) The Controller of Stores or any other officer authorized on behalf of the President of India does not bind himself to accept the lowest or any tender, and reserves the right to cancel the tender, reduce or divide the contract without assigning any reason for such action.

xvii) Risk purchase for this item is tenable for a period of nine months.

Downloading Tender documents from Internet

xviii(a) In case of down loading of tender documents/forms from our web site (address www.serailway.gov.in/HQ/stores) or www.tenders.gov.in. the tenderers may submit their offers accompanied by signed tender documents/forms alongwith the cost of tender as specified therein failing which their offers shall be summarily rejected without assigning any reason.

(b) The cost of tender shall be deposited in cash to the Chief Cashier, S.E.Railway, 11, Garden Reach Road, Kolkata-700 043 and the money receipt issued therefor by the Chief Cashier be submitted alongwith their offer. Alternatively, a bank draft towards the cost of tender from any Nationalised bank drawn in favour of FA&CAO, S.E.Railway, 11. Garden Reach Road, Kolkata-700 043 may be submitted alongwith their offer. In case of the bank draft, the same should be valid for a period of minimum four months from the date of opening of tender.

NSIC firms registered specifically for the tendered item can download the tender form from Website and send the same without tender cost alongwith copy of NSIC certificate. However, NSIC firms not registered specifically for the tendered item shall submit their quotations with tender cost.

(d) The Railway reserve the right to issue any corrigendum to the tender till 10 days prior o the date of opening of the tender. The intending tenderers are hereby advised to check the web site before submitting their offer whether any such corrigendum to the tender has been issued or not.

(e) The tenderers are warned that if any change/addition/deletion with malafide intention is made by them in the tender documents and the same is detected at any stage even after the award of the contract, all necessary penal actions including removal/suspension/banning of business shall be taken by the Railway Administration. In addition, the defaulters are also liable to be prosecuted as per the law.

2. Earnest Money Deposit :

i) The Earnest Money Deposit (EMD) shall have to be deposited by all tenderers against Advertised Tenders subject to the following exemptions.

(a) Vendors registered with NSIC within the monetary limit of their registration for the items tendered.

(b) Vendors registered with this Railway within monetary limit of their registration for the items tendered/trade groups of the items tendered.

(c) Vendors on approved list of RDSO/Production units(CLW/DLW/ICF/RCF/DMW)/CORE/Railways etc. for those specific items for which they are on approved list.

(d) Manufacturers and their accredited agents with valid documentary support.

(e) Other Railways and Government Departments.

ii) Earnest Money is to be deposited in the form of a Demand Draft in favour of “FA&CAO, South Eastern Railway, Garden Reach, Kolkata-700 043” payable at Kolkata. The amount of EMD will be 2% of the estimated tender value subject to upper limit of (a) Rs.5-Lakhs for tender value up to Rs.10-Crores, (b) Rs.10-Lakhs for the tender value above Rs.10-Crores. Wherever exemption is given up to the monetary limit of their registration, the tenderers shall have to pay EMD over & above the monetary limit. The EMD should remain valid for a period of 45-days beyond the offer validity period of 120-days from the date of opening of the tender.

iii) Tenderers while depositing the Earnest Money should furnish the tender number, as well as the particulars of tender issuing authority quoting the full references as specified in the tender notice.

iv) A tender received without Earnest Money shall be summarily rejected.

3. Security Deposit :

(i) For Safety Item : The security deposit (SD)/Performance guarantee shall be taken from all firms for contract for all safety items placed against advertised tenders and global tenders subject to the following exemptions:-

(a) Vendors registered with NSIC up to the monetary limit of their registration for the items ordered.

(ii) For other than Safety item :- The security deposit (SD) shall be taken from all firms for contract for items other than safety items placed against advertised tenders and global tenders subject to the following exemptions :-

(a) Vendors registered with NSIC up to the monetary limit of their registration for the items ordered.

(b) Vendors registered with this Railway up to the monetary limit of their registration for the items ordered/trade groups for items ordered or vendors on approved list of RDSO/Production units/CORE/Railways etc. for those specific items for which they are on approved list or other Railways, Government Departments on their specific request and on merit of the case considered by Tender Committee.

(iii) The usual Security deposit should however be taken in case the contracts are placed on unregistered/unapproved firms or for items for which a particular firm is not registered/approved.

(iv) The amount of SD to be taken, wherever applicable will be 10% of the total value of contract subject to upper ceiling of Rs.10-Lakhs for contract value up to Rs.10-Cores, and Rs.20-Lakhs for contract value above Rs.10-Crores. Wherever exemption is given up to the monetary limit of their registration, the tenderers shall have to pay SD over & above the monetary limit. The SD should remain valid for a minimum period of 60-days beyond the date of completion of all contractual obligations of supplier/s.

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General Conditions of Tender

1. Tenderers must accept IRS Terms & Conditions of contract fully.

2. Price :-

i) The rates and all other figures involving financial implications must be quoted both in words & figures.

ii) The firm should quote their price for Free delivery at destination. The break up of such price must be given completely and unambiguously in the prescribed form (Tender schedule) accompanying the tender for each destination/consignee. The purchaser will not be responsible for any incorrect evaluation & consequent inter-se ranking, if a Tenderer does not fill in this form and quotes incomplete, ambiguous and/or misleading rates of taxes & duties and other charges in general terms. In case the Tenderer quote ex-works or ex-Godown price, they should invariably indicate the total freight charges i.e. from their Works/Godown to destination. In the event any Tenderer does not specifically record anything about the place of delivery in his offer it will be assumed that the Tenderer will bear the freight and that the offer is for Free delivery at the destination. This assumption will be final and binding on the Tenderer and will not be subject to any legal dispute or arbitration in future.

iii) Normally Tenderers should submit their offer on fixed price basis only. In case they stipulate an escalation clause in their quotation, they must indicate the formula for escalation with base prices and date, as applicable immediately before the tender opening date.

iv) Whenever a price variation clause is applicable, the firm will submit alongwith the Tender a copy of the relevant raw material price circulars (IEEMA, SAIL, HCL, HZL etc.) so that variations in prices can be worked out.

v) Effect of PVC will be considered on the base prices applicable on the month/date of opening of tender for the purpose of determining inter-se ranking.

vi) Packing & Forwarding charges should be quoted separately. The Excise Duty (ED), Sales Tax (ST) applicable on the Packing/Forwarding charges should be stated clearly & in words, failing which ED/ST on Packing/Forwarding charges will be not taken into account & considered payable.

vii) Conditional discounts (for quantity, early payment, delivery at other than specified location etc.) will not be considered for the purpose of determining inter-se ranking.

3. Taxes & Duties

i) Tenderers must clearly indicate the exact rate/amount of Sales Tax, claimed by them, as may be applicable for the consignees located in different states, alongwith their S.T. Registration Number and the Excise Duty applicable.

ii) The rate/amount of Sales tax and Excise Duty even when included in the rate quoted by a Tenderer must be spelt out separately. Where the rate/amount of Sales tax/ED included in the rate is nil, this should also be specifically stated in the offer.

iii) If the Tenderer in the matter of clearly indicating the chargeable E.D. and S.T. leaves any ambiguity for each consignee, the purchaser shall evaluate the offers by taking into account the highest rate of S.T. & E.D. as known to the purchaser’s decision in this regard will be final and no claim regarding applicability of S.T. & E.D. or otherwise will be entertained after opening of the Tender. The purchasers will, however, still reserve the right not to pay any S.T./E.D. not specifically claimed/indicated clearly or unambiguously by the Tenderers.

3.1 Excise Duty & MODVAT :-

i) Exact rate of Excise Duty as applicable must be stated. Vague offers regarding Excise Duty (like E.D. as applicable extra at the time of supply) without giving the said information shall be loaded with the maximum applicable rate of E.D. for that item, for the purpose of evaluation and inter-se ranking. The MODVAT benefits, where applicable, shall be passed on to the railways.

ii) Claim of E.D. due to increased turnover after entering into contract shall not be entertained.

iii) If concessional Excise duty based on the turnover is applicable at the time of quoting and the tenerers wish that actual Excise duty as applicable at the time of supply should be paid, then the Tenderers should clearly indicate that the E.D. will vary based on the slabs of turn-over and they should indicate the upper ceiling limit of E.D. payable. In that circumstance, offers will be evaluated and the inter-se positions of the tenderers will be arrived at, on the basis of such upper ceiling limit of E.D. If the tenderers quote “ED at Actuals” then the tender will be evaluated based on the maximum rate of E.D. as known to the purchaser as applicable for that item. The purchaser’s decision in this behalf will be final. In case, variation of E.D. on account of increases in turn over is not claimed in the offer, the purchaser will not admit any increase in E.D. due to increase in turn over.

iv) If Tenderers quote a lower Excise Duty rate due to misclassification of the goods under Excise tariff rules, the purchaser will not pay increased E.D. payable due to such misclassification.

v) A format for submitting declarations in respect of applicable ED & MODVAT benefit is enclosed as Annexure – ‘A’. This must be duly filled in and submitted alongwith the offer duly signed by the tenderer or his authorized signatory.

3.2 VAT of Local Sales Tax/CST in the Tenders as a Special Conditions

i) The Tenderer should quote the exact percentage of VAT that they will be charging extra.

ii) While quoting the rates, tenderer should pass on (by way of reduction in prices) the set off/input tax credit that would become available to them by switching over to the system of VAT from the existing system of sales tax, duty stating the quantum of such credit per unit of the item quoted for.

iii) The tenderer while quoting for tenders should give the following declaration :

“We agree to pass on such additional set off/input tax credit as may become available in future in respect of all the inputs used in the manufacture of the final product on the date of supply under the VAT scheme by way of reduction in price and advise the purchaser accordingly.”

iv) The suppliers while claiming the payment will furnish the following certificate to the paying authorities:-

“We hereby declare that additional set offs/input tax credit to the tune of Rs.______________

has accrued and accordingly the same is being passed on to the purchaser and to that effect the payable amount may be adjusted.

v) Even for contracts where CST is payable, this input tax credit may become admissible to the supplies where the supplier happens to be located in the state in which VAT has been implemented. Accordingly the certificate under para (4) above should also be obtained in all such existing contracts where CST is payable.

vi) For the states in which the VAT has not yet been introduced, the existing system of sales tax shall continue.

3.3 Other States Sales Tax:-

i) Other State or Inter-State Central Sales Tax, where leviable and intended to be claimed from the purchaser, must be clearly shown for each consignee separately.

ii) Where Sales Tax Registration No. is not quoted, the claim for the payment of Sales tax will not be admitted.

3.4 Octroi Charges :-

Purchaser will not pay any Octroi duty. The purchaser if required will issue the octroi exemption certificate. In respect of Road deliveries where the Municipal/Local authorities do not accept Octroi Duty Exemption Certificate, the Octroi levy shall be borne by the Seller.

3.5 Entry Tax/Road Permit/Octroi :-

Suppliers/Contractors must quote Road Permit charges / Entry Tax / Octroi specifically in their offer. In case Entry Tax/Octroi is not quoted specifically, it will be construed that Entry Tax/Octroi element is already included in the quoted rate. In other words the Railway will not reimburse any Entry Tax/Octroi to the Contractor/Supplier. In case of quotation with remarks as “Entry Tax/Octroi” to Purchaser’s account or Entry Tax/Octroi extra as applicable”, the quotation will be evaluated with Nil. Entry Tax/Octroi, and no reimbursement shall be paid to the Supplier/Contractor. Only if Entry Tax has been quoted specifically, the same will be paid against documentary evidence and no Road Permit/Octroi Exemption Certificate will be issued in that case.

4.0 Conditions of Delivery :-

4.1 Delivery Period :-

i) The Tenderer should refer to the desired Delivery Schedule given in the Tender Schedule and

quote accordingly.

ii) The delivery stipulations in the offer should be clearly defined as to commence within …………..

days/months @ _____ per month/week and completion in ……….. days/months from date of issue of the purchase order. This may also be stated in terms of installments with definite date for completion of supply for each installment.

iii) Deliveries like 2 to 10 months, without indication of rate of supply will be treated as unresponsive. The Tenderer may also define such delivery terms for each installment. In case a monthly rate of delivery is quoted, the purchaser will have the right to define the delivery period of each installment.

4.2

Terms of Delivery :-

i) Material should preferably be delivered by Road Transport/Personal Courier Service direct to the respective consignee.

ii) Risk in Transit is to be borne by the Tenderer.

iii) Delivery of stores required to be delivered to one Depot/Consignee will not be accepted at another Depot/Consignee’s place. Therefore, Tenderers should submit offers for direct delivery to the ultimate consignee only, otherwise, the offers are liable to be ignored.

5. Specification & Drawing :-

i) IRS Specifications, IRS Drawing, ICF Drawing, BEML Drawing or RDSO Drawing is not available with this Railway. These may be obtained from the Director General Research Design and Standards Organisation, Manak Nagar (Alambagh), Lucknow – 226 011 or from the respective Organizations on payment.

ii) This Railway’s Drawing will be available from IB (Drawing) Section of the Office of the Controller of Stores, S.E.Railway or from other offices, wherever indicated in the Notice inviting tender, on payment of cost from the respective section or office. Cost of Drawing, as indicated in the tender, should be remitted separately, this is not a part of the cost of the tender.

6. Payment terms :-

i) 100% payment shall be admissible on consignee’s receipt and acceptance of the stores. Only in cases of Tenderers of repute and of sound financial standing, payment up to 98% against Receipt Challan and Inspection Certificate, hereafter referred to as I/C, and balance against R-Note will be admissible. The purchaser'’ decision as to whether a Tenderer is of repute & sound financial standing will be final. In a case, where Price Variation Clause (PVC) is applicable, working sheet supported with documents in support of the PVC is required to be submitted at the time of claiming any payment.

ii) In case of booking by Railway Transport, Railway may however, agree for advance payments against clear RR or PWB and I/C in original alongwith other documents, if and as, mentioned in the contract. Balance payment will be made only after final acceptance of stores by consignee.

7. Inspection :-

The inspection will be conducted by M/s. RITES/RDSO/DQA or the representative of the Railway as decided by the Railway at manufacturer’s/Vendor’s premises. The tenderer’s acceptance of the same will be implied unless his offer stipulates inspection clause to the contrary.

8. Purchase/Price Preference :-

The purchaser reserves the option to give a purchase/price preference to offers from Public Sector Units and/or from the Small Scale/Cottage Industries Units registered with the prescribed authorities, over those from other firms in accordance with the policies of the Govt. issued from time-to-tome. The purchase preference above can not, however, be taken for granted and every endeavor needs to be made by such units to bring down cost and achieve competitiveness.

9. Warranty/Guarantee: -

Unless otherwise specified in the tender schedule, the warranty/guarantee shall be as specified in the IRS condition of contract.

Suppliers are advised to ensure that the materials are invariably stamped with manufacturers name, month and year of manufacture as may be detailed in the Drawing/Specification of material, so that warranty can be correctly acted upon.

10. Validity of offer :-

The tender should be valid for acceptance for a minimum period of 120 days or as specified in the tender. Tenderers should hold the offer open till such time as may be specified in the tender, which is for a minimum period of 120 days from the date of opening of the tender. The contravention of the condition would automatically result in forfeiture of Earnest Money and render the tender liable to be rejected.

. Purchase according to Sample :-

i) When samples are required this fact will be indicated in the tender form. Samples must strictly conform to the specification, drawing and description given. Any sample submitted will be considered as supplement to and not in supercession of any specification issued unless otherwise specifically indicated. In the absence of a specified acceptance in writing of any variation, the purchaser shall be entitled to reject a claim for an acceptance of a supply embodying such variation.

ii) Samples where called for, should be sent duly sealed separately to the Reception Counter or Sample section of the Office of the Controller of Stores, S.E.Railway, Garden Reach before the date & time of opening of tender. These should not be enclosed with tender quotation.

iii) The tenderers, who deposit samples with their offers, are required to collect the samples so offered within 6-months from the date of opening of tenders. If the samples are not collected within 6-months, they will be disposed of and no claims whatsoever will be entertained thereafter.

12. Evaluation of the offers :-

i) Rates quoted without any conditions attached (viz. Discount/Rebates having linkages to quantity, payment, Inspection agency, destination, delivery place etc.) will only be considered for evaluation purpose. Thus discounted rates linked to quantities, prompt payment etc. will be ignored for determining interse position. Purchaser however reserves the right to use the discounted rate/rates considered workable and appropriate for counter offer to the successful Tenderers.

ii) Total unit rate comprises of the Basic Rate, Excise Duty, Sales Tax, Packing charges, Forwarding Charges, Insurance (if any) and freight charges up to destination.

iii) All offers will be arranged in the ascending order of the Total Unit Rate.

iv) After arranging the offers, as above, technically unsuitable offers will be passed over. Offers not confirming to tender schedule may also be passed over.

v) The Tender quantity may be split among two or more Tenderers for reasons like vital/critical nature of the items, quantity to be procured, meeting production targets, past performance and capacity of the bidders, delivery required etc. Zone of consideration of such eligible tenderers will be the right of the purchaser.

vi) Though the rates without any conditions attached will only be considered for evaluation purposes, this does not preclude Purchaser from making counter offer for rates of any of the discounted offers.

vii) For multiple items with single consignee: if unit is not specified as a set or a kit, the criteria for evaluation of offers will be based on the basis of individual items and not on the basis of total value for all items unless otherwise mentioned in the tender schedule.

viii) For Single item with multi-consignees: the criteria for evaluation of offers will be consignee-wise unless otherwise mentioned in the tender schedule.

ix) For multiple items with multi-consignee: The criteria for evaluation of offers will be consignee-wise and item-wise unless otherwise mentioned in the tender schedule.

13. Splitting of Quantity :- In all cases of pre-decided split ordering, the following will be followed :

(i) The Purchaser reserves the right to distribute the procurable quantity on one or more of the eligible tenderers. Zone of consideration of such eligible tenderers will be the right of the Purchaser.

(ii) Whenever such distribution / splitting of the tendered / procurable quantity is made, the quantity distribution will depend upon the differential of rates quoted by the tenderers (other aspects i.e. adequate capacity-cum-capability, satisfactory past performance of the tenderers, outstanding orders load for the Railway making the procurement etc. being same/similar). For example; if the differential of rates between the L-1 and L-2 eligible vendors is 5%, then the distribution of quantity will be approximately in the ratio 55:45 (55% for the L-1 tenderer). If the price differential is 3%, then the distribution of quantity will be approximately in the ratio 53:47 (53% for the L-1 tenderer) and so on.

14. Conditions for sources approved by RDSO/CLW/DLW/ICF etc. only.

(i) If the bulk quantity of this item is procurable from sources approved by RDSO/CLW/DLW/ICF etc. only. Tenderers must submit the valid and current approval certificate for this item alongwith their offer failing which their offer is liable to be ignored. Exception can, however, be made only in case the Tenderer’s name appears in the current list of approved sources if available with the purchaser.

(ii) If the tendering firms(s) is not approved by RDSO/Pus/CORE as mentioned above as Part-I or Part-II, then they must submit their credential details i.e. Machinery & Plants, Testing Facilities, QAP, Technical Man Power etc.

(iii) All Part-II approved tenderers must submit attested photocopies of Pos, inspection certificates and receipt notes/certificates related to the maximum quantity of the material under procurement, successfully supplied by them in any single order placed on them over the preceding three years by any Zonal Rly./PU. Such tenderers are to note that non-submission of such documents shall be taken as their not having any such past performance and their offers shall be considered further as per extant rules and no back reference in this regard will be made to them.

15. i) Tenderers may, however, note that in case all or most of the approved firms quote equal rates and cartel formation is suspected, Purchasers reserve the right to place order on one or more firms with exclusion of the rest without assigning any reasons thereof.

ii) Wherever cartel formation is suspected, Purchaser reserves the right to place orders on any firm/firms for any quantity without assigning any reason thereof.

iii) Firms are expected to quote for a quantity not less than 50% of tendered quantity. Offers for a quantity less than 50% of tendered quantity will be considered unresponsive and liable to be rejected in case cartel formation is suspected. Purchaser, however, reserve the right to place order on one or more firms for any quantity.

iv) The firms, who quote in cartel should note that their names are likely to be deleted from the list of approved sources.

End of general conditions for tender