(A GOVERNMENT OF INDIA ENTERPRISE)   

 

BRIEF MANUAL OF SELLING AGENCY BUSINESS

 

 

 

MSTC disposes old/used/waste/scrap materials on behalf of its Principals on the basis of the bilateral agreement. The principals are PSUs, Govt. Depts. and also some private sectors. Services are mainly rendered by three modes such as Tender/E-auction/auction.

 

 

 

Uniform, equal, transparent dealings are done by following the standard operating  procedures.

 

 

 

The first step after executing the selling agency agreement is to obtain the material list in a prescribed format such as Description of materials, quantity of the materials(KG/tonne/number/lot), location, status of the delivery, inspection period  etc. and also Sales Tax rate if the Principal is registered with ST Authority. In case of Rate Contracts, ground stock is mentioned. On receipt of material list from the Principal, the same is scrutinized for forming the lots.

 

 

TENDER

 

First tender schedule is fixed and then it is advertised in the newspapers and also hoist in our website www.mstcindia.com. Tender documents are made. Tender document contains Terms & Conditions, Date of Inspection, Tender closing time, material list and offer form. Intending buyers may obtain tender document from offices of MSTC or may be down load from website.

 

As per schedule the tender is closed and then opened by the tender committee in presence of the respective tenderers. A comparative statement is made compiling the rates and EMD received, and conditions, if any. This is signed by the tender committee and forwarded to the principal vide a recommendation letter along with the copies of the offer sheets.  On receipt of approval of Principal Acceptance letters  are issued to the successful tenderers. EMD amount is converted into security deposit. Customers are to deposit material value along with ST & Duties within the time stipulated in the Acceptance letter. On receipt of payment Delivery Order is issued. Original copy of DO to the customer and principalís copy along  with  demand drafts are forwarded to the principal. Customers lift materials from the site of the principal. On receipt  of No Objection Certification from the principal, S.D. is refunded to the customer. In case of non-fulfillment of contractual obligation by customers SD is forfeited.

 

 

AUCTION

 

Auction catalogue is prepared incorporating rules, terms & conditions of Auction sale. The same is available free of cost. Entry permits are issued. Entry fee is refundable. Customer bid in the auction. Decision regarding Highest bid for each lot is communicated at the time of auction. Successful bidder has to deposit EMD at the auction hall. On receipt of EMD money receipt is issued. Balance payment is paid within next few days as mentioned in the terms. On receipt of  balance payment, Delivery Order is issued for lifting  materials. Entry fee is forfeited, if the bidder denies to honour the bid or violates the auction catalogue rules.

 

 

E-AUCTION

 

 

E-auction is a web enabled auction system and can be visualized as a virtual representation of physical auction where principals and buyers can reap maximum benefit. The system maintains rules for participation. It has inbuilt security features.

 

E-auction is done following respective General Terms & Conditions which is available on our website. E-auction website: www.mstcecommerce.com/auctionhome.

 

It is a pre-requirement that for participation in E-auction, customer has to register with our E-auction portal  online. After online registration, the customer has to furnish documents in support of his PAN, ST Registration, Bank A/c. No. etc. and Rs.10,000/- as online registration fee only when his registration no. is activated. No registration fee is for principals.

 

Every e-auction starts and closes as schedule, closing time is extended, if any bid comes at closing time. No bid is accepted after the auction closes. By default, minimum bid value is Re.1. Automatic bidding facility may be opted by a buyer.

All the activities relating to the auction are notified via e-mail. The highest bid is accepted if it is more than reserve price. STA lots are notified to the principal.

 

Payments are received in any office of MSTC. In case any Buyer fails to compliance of GTC, registration is deactivated.