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KALITI METAL PRODUCTS FACTORY

Revision No. 0 Document Title:

WI/KMPF/004
Page No.

TENDER No.009/2002 Commercial terms & conditions

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1.

General Bidders are expected to examine and observe all instructions, terms, specifications, stipulations and forms in this bid document. Failure in this regard may result in the rejection of offers as being unresponsive. Language The bid and supporting documents submitted by the bidder shall all be in the English language. Cost of Bid Preparation The bidder shall bear all costs associated with the preparation and submission of a bid regardless of the conduct and outcome of the bidding process. Amendment of the Bid Document KMPF may, at any time prior to the deadline for submission of bids, modify the bid document by amendments. Any such amendment will be notified in writing to all prospective bidders who have received the bid document, and shall be binding upon them.
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Document No. 2

KALITI METAL PRODUCTS FACTORY

Revision No. 0 Document Title:

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KMPF may extend the deadline for submission of bids in order to afford reasonable time to prospective bidders by taking any amendment into account. 5. Scope of Offer This bid relates to the supply of : 5.1 Corrugated Machine, 5.2 Digital Crane Scale 5 Ton, 5.3 Tube Forming Dies 5.4 Heat Treatment Electrical Furness

6.

Documents to Comprise the Offer The offer prepared by bidders shall include all of the following: 6.1 price schedules as specified in clause 8 of this section for the supply of the products and services which are the subject matter of the offer. Clear, complete and itemized descriptions of the products and services proposed. Documentary evidence in accordance with clause 9 of this section that the bidder is eligible to bid and is qualified to perform any contract that may be awarded.
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6.2 6.3

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6.4

6.5

6.6

Documentary evidence in accordance with clause 10 of this section that the products and services proposed for supply conform to this bid document. A copy of the bidder's proposed supply and service contract. Such contract: a. should be complete in that all relevant provisions, terms and conditions must be included; b. the content and wording should take into account the stipulations of clause 20 of this section. c. should be clearly drafted so as to leave no room for more than one interpretation; d. should represent the best possible terms and conditions the bidder can offer; e. should address, among other matters, the following: warranties as to patent rights, design and life of product, and as to their fitness to KMPF's intended purpose; delivery, installation and testing periods, and the resolution of delays; payment terms. Bid security as per clause 11 of this section .

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6.7

The Bidder should submit two sealed envelopes indicating one for technical offer and the other for financial offer.

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Bid Currency Prices shall be quoted in Foreign currency / Birr. Bid Prices All prices associated with the bid shall as far as possible be analyzed so as to show clearly or separately basic unit and total prices per type of item/sub item. Bidder's Eligibility & Qualification The bidder shall furnish documents establishing the bidder's legal, technical, financial and production capability to perform the contract if its bid is accepted. 9.1 This invitation is open to all qualified supplier. Conformity of Products and Services 10.1 The bidder shall furnish documents establishing the conformity to this bid document of all products and services which the bidder proposes to supply.

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10.

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10.2 The documentary evidence of the products and services' conformity to this bid document may be in the form of literature, drawings and data, and shall include: a) a detailed description of the products essential technical and performance characteristics, and country of origin; b) a clause-by-clause commentary on the requirements specifications demonstrating the products' and services' substantial responsiveness to those specifications or a clear statement of deviations and exceptions to the provisions of the requirements specifications which demonstrate clearly to KMPF's satisfaction that the stated deviations and exceptions are substantially equivalent or superior to the corresponding provision designated in the requirements specifications of KMPF. 11. Bid Security 11.1 The bidder shall furnish a bid security amounting to 2% of the offered price in CPO or CBE Bank Guarantee. 11.2 Any bid not secured as above shall be rejected by
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KMPF as being non-responsive. 11.3 An unsuccessful bidder's bid security shall be discharged and returned as promptly as possible but no later than 30 days after the expiry of the period of bid validity prescribed by KMPF under clause 19 of this section. 11.4 The successful bidder's bid security will be discharged upon the bidder executing the contract, per clause 25 of this section, and furnishing the performance security, per clause 26 of this section. 11.5 The bid security may be forfeited: a) if a bidder withdraws its bid during the period of bid validity specified by the bidder on the bid form; or b) in the case of a successful bidder, if the bidder fails: (i) to sign the contract(s) in accordance with clause 24 of this section, or (ii) to furnish performance security in accordance with clause 25 of this section.

12.

Format & Signing of Bid 12.1 The bid should be typed and signed by the bidder or
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a person or persons duly authorized to bind the bidder in contract. All pages of the bid, except for unamended printed literature, shall be initialed by the person or persons signing the bid. The bid shall be submitted in two copies, clearly marked as "Original" and "Copy" respectively. 12.2 The bid shall contain no interlineations, erasures or over-writing except as necessary to correct errors made by the bidder, in which case such corrections shall be initialed by the person or persons signing the bid. 12.3 The bid shall show the legal name and address of the bidder company. 13. Sealing & Marking of Bids 13.1 The bidder shall seal the bid in two inner and one outer envelops. One of the inner envelops shall contain the details of the proposed products and services and the second one the financial proposal, marked Technical Proposal and Financial Proposal respectively. 13.2 The outer envelope shall: (a) be addressed in accordance with clause 5 of section 1, 2 and/or 3;
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14.

15.

(b) be boldly marked with the words in accordance with items/sub item supplied. 13.3 On the inner envelope shall be shown the name and address of the bidder to enable the envelope to be returned unopened in case it is declared late. 13.4 If all three envelops are not sealed and marked as required under 13.1 & 13.2 above, KMPF will assume no responsibility for the bid's misplacement. Late Bids Any bid received by KMPF after the deadline for submission of bids specified in clause 6 of section I will be rejected and returned to the bidder. Withdrawal of Bid 15.1 A bidder may withdraw its bid by providing a written notice of withdrawal to KMPF, prior to the deadline specified for submission of bids. 15.2 The notice of withdrawal shall be sealed and addressed in accordance with clause 13.2 of this section. 15.3 Once withdrawn, a bid may not be reinstated or resubmitted. 15.4 No bid may be withdrawn in the interval between deadline for submission of bids and the expiration of the period of bid validity specified by the bidder on the
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bid form. Withdrawal of a bid during this interval may result in the bidders forfeiture of its bid security. 16. Clarification of Bid To assist in the examination, evaluation and comparison of bids, KMPF may ask the bidder for a clarification of its bid. The request for clarification and the response shall be in writing. Modification of Bid A bid may be modified but only through written communication to be received by KMPF prior to the deadline for submission of bids. Such modification shall be sealed and marked in accordance with clause 13 of this section. Opening of Bids KMPF shall open the bids in the presence of bidders representatives who choose to attend on February 09/2010 at 10:00 a.m. The place shall be at the office of the Commercial Managers Office, at KMPF. The bidders representatives shall sign a register evidencing of their attendance. The financial proposals shall be opened

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18.

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after the technical evaluation of the products and services is completed. 19. Period of Bid Validity Bids or offers shall remain valid for 60 (sixty) days after the date of bid opening specified in clause 18 of this section. Examination and Evaluation of Bid 20.1 After the opening of the bid per clause 18 above, the technical proposal shall be opened immediately. Prior to technical evaluation, the evaluation team will assess the responsiveness of each bid. The bids that confirm to all the conditions of the bid document will be considered for evaluation. The responsiveness of a bid will only be based on the contents of the bid itself. 20.2 Bids that confirm to the conditions of the bid document will then be evaluated on their technical merits. Each proposal will be given a technical score. A proposal shall be rejected at this stage if it does not fulfill the technical specifications outlined in this bid document or if it fails to achieve the minimum technical score. The evaluators of the technical
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20.

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TENDER No.009/2002 Commercial terms & conditions

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proposal shall have no access to the financial proposal until the technical evaluation is concluded. 20.3 Bid evaluations will be based on the expertise required as described in the Terms of Reference, and carried out as indicated in the paragraphs below. Bids failing to meet standards in any of the steps described will be rejected. The criteria presented below have been tailored to the requirements of this particular case. Bidders should note that these criteria will: (a) Serve as the standard against which all technical proposals will be evaluated; and (b) Serve to identify the significant matters which Bidders should address in their technical proposals Contract award will be based on: Examination compliance specification. Evaluation of the technical quality of the tender; Cost consideration. of with technical the conformity, laid in particular in the conditions down

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20.4After

the evaluation of the technical aspect, bidders shall be notified of the results. For those who have failed, their financial proposals will be returned unopened. Those who have come out successfully will be notified of the date and time set for the opening the financial proposals. 20.5 The financial proposals shall be opened publicly in the presence of the bidders. The evaluators will determine the completeness of the financial proposals. If the financial proposal is not complete, it shall be rejected as being non responsive. 20.6 Proposals will be ranked according to their combined technical and financial scores using the weights given to each aspect. The bidder achieving the highest combined technical and financial score will be awarded the contract. 21. KMPFs Right To Accept/Reject Bids KMPF reserves the right to accept or to reject any bid, and to annul the bidding process and reject all bids, at any time prior to the award of contract(s), without thereby incurring any liability to any bidder. 22. Award of Contract(s)
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Subject to clause 21 of this section, KMPF may award to the successful bidder a contract for the supply of the products and services or a part thereof, as the case may be, offered by the bidder.

23.

Notification of Award Prior to the expiry of the period of bid validity, KMPF will notify the successful bidder by registered letter or telefax that its bid has been accepted. Signing of Contract A contract in writing and incorporating all agreements between KMPF and the successful bidder shall be signed by both parties within 15 (fifteen) days from the date of notification of award (clause 23 of this section). Performance Security 25.1 The successful bidder shall, within 10 (ten) days from the date of notification of award furnish KMPF with performance security in the amount of 10% (ten percent) of the contract price. 25.2 The performance security shall be denominated in the currency of the contract(s) and shall be a guarantee
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24.

25.

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issued by a bank acceptable to KMPF. The performance security shall be in the form acceptable to KMPF. 25.3 The performance security shall be discharged by KMPF no later than 90 (ninety) days following the date of completion of the successful bidder's obligations, including any warranty obligations, under the contract(s) entered into per clause 24 of this section; or else, the proceeds of the performance security shall be payable to KMPF as compensation for any loss resulting from the successful bidder's failure to complete its performance under the contract(s) entered into per clause 24 of this section. 26. Failure of Successful Bidder Failure of the successful bidder to comply with the requirements of clauses 24 and 25 of this section shall constitute sufficient grounds for the annulment of the award and forfeiture of the bid security. Clarification of Bid Document 27.1 The bidder may, at least five days prior to the deadline for the submission of bids, request clarification of any aspect of this bid document.
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27.

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Document No. 15

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27.2 The request for clarification shall be in writing (English) and shall be addressed in accordance with the clause 5 of section 1,2, or 3. 27.3 The response of KMPF shall also be in writing and, where KMPF at its discretion deems it appropriate, the response shall be communicated to all other prospective bidders.
27.4 Price: Net FOB and C+F Djibouti required.( order will be placed on Net FOB price by ESL. 27.5 27.8 27.9 Delivery time: Within 2 months after receipt of L/C Payment: By Irrevocable L/C. Origin, manufacturer and Definite port of shipment to be stated in the offer. 27.10 Any bidder who has complaint on the decision given by the factory regarding the tender could necessary. submit his/her claim to the General manger and or to the Board of Directors as

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