3 years ago
One week after the Krishi Samagri Company Limited canceled the agreement with two Nepali companies Shailung Construction and Honiko Multiple to purchase urea fertilizer, Shailung Construction has issued a statement explaining the reasons for the delay.
Shailung also said that there is a plan to bring a relief package of 2 to 20 Lakhs in accordance with its CSR.
On April 24, 2020, the Krishi Samagri Company Limited had signed a contract with Shailung Enterprises for the import of 25,000 metric tonnes of urea fertilizer.
The government had decided to break the agreement on Bhadra 22,, seize the security deposit of USD 480,000 and recommend to the Public Procurement Monitoring Office to blacklist the company.
The reasons given by Shillong for not being able to bring manure on time:
1. Earlier, only foreign suppliers were supplying goods, so the tender documents and agreements were made accordingly, which was not suitable for Nepali suppliers and Nepali conditions.
2. Krishi Samagri Company Limited said that 90 percent of the letter of credit will be paid after the goods arrive at the port of Calcutta and the remaining 10 percent will be paid after the goods are delivered to the warehouse of Krishi Samagri Company Limited.
However, the provision of providing all the amount only after goods delivered to the warehouse was added later. At the same time, the letter of credit had to be amended accordingly.
3. Due to the additional provision, it has to be renegotiated after the supplier company informed that it cannot supply the goods as per the previous agreement with Nepali banks and supplier companies.
4. Due to the added provision, a large amount of money was required and the Land Revenue Office was closed to manage the collateral required to book a term loan for that amount. Due to the large amount of loan, there are technical difficulties such as having to hold repeated meetings of the Board of Directors of the bank to pass it.
5. Initially, the letter of credit was opened in the name of the Russian supplier and the manufacturer, but due to the closure of the Russian port and other institutions due to Covid 19, the supplier and the manufacturer had to be changed.
6. The second letter of credit was opened in the name of the supplier and manufacturer of Oman and had been printed from the vessel with the vessel nomination.
It had been stated that it would take 16 days for the sample to arrive and a photo of the bag and a copy of DHL have been sent as proof.
7. The Calcutta Port had informed the suppliers, logistics services and transporters that the Haldia port has been damaged due to the storm and the repairs will take until 30 September.
8. A recent survey conducted by a world-renowned SGS company to verify the physical damage at Haldia Port has also clarified in the report and damage report of September 2, 2020 that cargo cannot be kept safe at the port without maintenance.
9. After receiving an email from Haldia Port stating that cargo can be sent only at the end of September 2020, the ship that went to Oman port for loading could not be loaded and the nominated ship had to be returned.
10. Another vessel was nominated and informed.
11. The newspapers were notified on 2077/05/21 that the contract was terminated as the vessel nomination and the name of the vessel were not sent even after informing the entire transaction and the company was informed only on 22nd.
