# 16/I, Millers Tank Bed Area, Vasanthnagar, Bangalore – 560 052


For Hulling of Khariff Paddy under MSP Procured during 2010-11 in the Districts of Chickmagalur, Davanagere, Shimoga and Yadgir

Sl. No. Events Date & Timings Venue
1 Commencement of Sale of Tender Documents.18.01.2011 10AM to 5.30 PM At above district offices.
2 The last date for sale of Tender 28.01.2011 up to 5.30 PM At above district offices
3 Last date to receive the Tender Documents 01.02.2011 up to 5.00 PM At above district offices
4 Time and date of opening of Tenders. 02.02.2011 11.00 AM At above district offices

Sl. No. Index
1 Scope of Work
    Terms and Conditions
2 Eligibility / pre qualification
3 Documents to be furnished along with the pre qualification or technical bid.
4 Technical specification regarding conversion of paddy
5 Terms and conditions of transport, storage, packing and mode of delivery.
6 Evaluation of bids and award of contract.
7 Inspection
8 Terms of Payment
9 Period of Contract
10 Security Deposit and Agreement
11 Other Conditions/ Stipulations
                     1. Scope of Work:

1.1 The Karnataka Food and Civil Supplies Corporation is the agency appointed by the Government of Karnataka for purchase of khariff paddy of 2010-11 season from the farmers under the Minimum Support Price Operation Scheme. Accordingly the Karnataka Food and Civil Supplies Corporation is procuring paddy from the farmers under this scheme. Stock would be procured and stored in the storage points located in different places of the district and the particulars of which are given in annexure-A to the RFP.

1.2 The work tendered in the RFP involves conversion of paddy stored as per details in annexure-A to the RFP into rice by way of hulling in the rice mills owned by the successful bidders as per the specifications prescribed in paragraph of the RPF-4 and of the RFP subject to the terms and conditions in page-3

1.3 The successful bidder may inspect the paddy at the respective storage centers described in Annexure-A to RFP during the working hours of any working day in consultation with the respective District Manager.

1.4 The successful bidder shall deliver the rice after conversion to the godowns as suggested by District Manager.

2.Eligibility / pre qualification conditions:

2.1 (a) Persons having rice mills within a radius of 75 Kms from the storage centers where the paddy is procured as per annexure-A are eligible to bid.

      (b) A mill owner may submit bids whose mill is located within a radius of 75 Kms from the storage centers.

2.2 The mill owned by the bidder should have the milling capacity of 2.00 MTs or more per hour.

      (a) The rice mill should have cleaning machines like pre cleaners, paddy de-stoners and rice de-stoners.

      (b) The rice mill should have minimum three whiteners and two polishers preferably silky polishers.

      (c) Rice mills with optical colour sorters, length graders are preferable.

2.3 The rice mills of the successful bidders should have license by the concerned APMC to process stock and trade in paddy and rice.

2.4 Bidder should have valid registration certificate under VAT Act and Service Tax Act.

2.5 Bidder should have minimum three years of experience in rice milling with sound financial background.

2.6 Bidder should not have been convicted for any offence for violation of Essential Commodities Act 1955 or orders there under.

3. Documents to be furnished along with the pre qualification or technical bid:

3.1 Copy of the license for the rice mill issued under section-72 of the APMC Act-1966 for processing and stocking of paddy in addition to trading license issued by local APMC.

3.2 Audited profit and loss account for the last two years duly certified by a Chartered Accountant.

3.3 Copy of the Income Tax Returns filed by the bidder for the last two years along with a copy of the PAN card and also the copy of acknowledgement for having filed the said return.

3.4 Copy of certificate of registration under service tax Act, VAT Act and also copy of the acknowledgement for having filed service tax returns and VAT returns for the previous year.

3.5 An affidavit regarding.

(a) Not having been prosecuted under Essential Commodities Act-1955 or any orders there under in any court of law.

(b) Not having been black listed by any organization or Government for non-performance of contractual obligation.

3.6 In case of partnership firm or Co-operative or Corporate the bidder should furnish a copy of the partnership deed or bye-law or memorandum.

3.7 The bidder should furnish letter of authority or power of attorney having authorized the person to sign the documents on behalf of firm or society or corporate body.

4.Technical specification regarding conversion of paddy.

4.1 The successful bidder on receipt of the release /milling order has to lift the paddy from the storage centers and shall transport the paddy at his cost including loading and unloading charges, convert the paddy into rice as per the specifications mentioned in paragraph 4.2 below within given time as per the quality standards prescribed by Government of India stated in paragrapah 4.3 below to 5% polish and specification.

4.2 The successful bidder if entrusted with the work of hulling paddy, shall give a minimum conversion of 67 Kgs of rice including broken grains for every 100 Kgs of paddy. Out of the 67 Kgs of rice so obtained, half broken rice shall not exceed 25% and multiple broken shall not exceed 1%. The successful bidder may retain remaining all byproducts with himself. The gunny bag in which paddy was supplied to him would be retainable by the millers at Rs.10/- per bag and it shall be adjustable out of service charges payable to the millers.

4.3 The successful bidder will be responsible to deliver the resultant rice conforming to Government of India FAQ uniform specification for Grade'A' and common rice for marketing season 2009-10 prescribed vide its letter No.8-9/2009-S&I dated 11.08.2009 as detailed below;

(Rice should be in sound merchantable condition, sweet, dry, clean, wholesome of good food value, uniform in colour and size of grains and free from moulds, weevils, obnoxious smell, admixture of unwholesome poisonous substances, Argemone mexicana and Lathyrus sativus (khesari) in any form, or colouring agents and all impurities except to the extent in schedule below. It should also conform to PFA Standards.) Schedule of specification
Sl. No. Refractions Maximum Limit(%)
Grade ’A’Common
1 Broken *
Raw 25.025.0
Parboiled 16.016.0
2 Foreigh Matter **
Raw/Parboiled 0.50.5
3 Damaged#/Slightly Damaged Grains
Raw 3.03.0
Parboiled 4.04.0
4 Discoloured Grains
Raw 3.03.0
Parboiled 5.05.0
5 Chalky Grains
Raw 5.05.0
6 Red Grains
Raw/Parboiled 3.03.0
7 Admixture of lower class
Raw/Parboiled 6.0
8 Dehusked Grains
Raw/Parboiled 12.012.0
9 Moisture Content @
Raw/Parboiled 14.014.0
* Including 1% small brokens.
** Not more than 0.25% by weight shall be mineral matter and not more than 0.10% by weight shall be impurities of animal origin.
# Including pinpoint damaged grains.
@ Rice (both raw and parboiled) can be procured with moisture content up to a maximum limit of 15% with value cut. There will be no value cut up to 14%. Between 14% to 15% moisture, value cut will be applicable at the rate of full value.

5. Terms and conditions of transport, storage, packing and mode of delivery:

6. Evaluation of bids and award of contract:

6.1 The tenders will be evaluated by evaluation committee constituted by the Managing Director. The evolution of the technical           bids will be taken up first.

6.2 The documents which have been enumerated in the list of documents in para-3 of this RFP shall be enclosed to the pre               qualification bid along with the Demand Draft towards EMD and placed in a cover superscribed with words “prequalification bid       for hulling of paddy 2010-11” and the cover should be properly sealed. The documents enclosed if found to be defective,               insufficient or invalid the same will be rejected. The financial bid of such a bidder will not be opened.

6.3 The decision of the district tender evaluation committee is final and binding regarding disputes at the time of opening the               tender.

6.4 The bidder shall quote the amount payable for converting one quintal of paddy into rice as per the technical specifications           prescribed in para-4 of this RFP and shall include cost of transportation, conversion cost or hulling cost, cost of new gunny           bags in which the hulled rice is packed and delivered, cost of loading, unloading, stitching, stenciling etc. In other words, the         bid amount shall include all the costs incidental to transportation of paddy from the KFCSC storage points, processing of the       same into rice and delivering the rice so produced in new gunny bags to the place as suggested by the District Manager as per     the terms and conditions of the RFP. Separate bid amounts shall be mentioned in respect of paddy stored in different storage       centers. Bid evaluation will be separately done and decided storage point wise.

6.5 The financial bid should be in the format prescribed in annexure-B to the RFP. Conditional bid if any will be rejected     summarily.

7. Inspection:

7.1 The successful bidder shall make arrangements to inspect the stocks of both paddy and rice by the offices of Karnataka Food       and Civil Supplies Corporation Ltd, State Government / Central Government, Department officials etc, right from the stage of         lifting of paddy till the delivery of rice

8.Terms of payment:

8.1 The payment will be made only against the bill preferred, and will be made only for actual operations carried out. No extra             storage charges is payable for delayed lifting of paddy/rice for the reasons beyond one’s control.

8.2 If the successful bidder fails to hull and deliver the rice within the specified time, the EMD and Security deposit will be forfeited       in addition to claiming of the loss and differential cost suffered by the Corporation.

8.3 The successful bidder is entitled to retain to himself byproducts (brawn, husk etc) The gunny bag would be retainable by the       millers at Rs.10/- per bag in which paddy was supplied and it shall be adjustable out of service charges payable to the millers.

9.Period of contract:

9.1 The successful bidder should not insist for minimum business in other words the quantum of business cannot be assured, as         the same is dependent on the procurement of paddy.

9.2 The successful bidder should agree that the terms and conditions shall be in operation for a period of one year from the date         signing the agreement or till the completion of hulling the entire paddy procured by the KFCSC during the Khariff season of           2010-11 and delivering the resultant rice in full (till the completion of work assigned)

10. Security Deposit and Agreement:

10.1 The successful bidder should submit a Demand Draft drawn in favour of KFCSC payable at concerned district head quarters         for Rs........ lakh towards security deposit. Further he should submit a bank guarantee issued by a scheduled bank in favour         of KFCSC for Rs........... lakhs towards security.

10.2 The successful bidder should sign the combined agreement confirming the execution of contract on a bond paper of Rs.200/-         and submit to the concerned district office within three (3) days from the date of communicating his appointment.

11.Other conditions / stipulations:

11.1 In case of disputes, the matter will be referred to a sole arbitrator as per mutual agreement of both the parties i.e the successful bidder and the KFCSC.

11.2 The successful bidder is liable for breach of contract including any loss for damage caused to the stocks.

11.3 The Corporation reserves right to accept or reject any offer or tender without assigning any reason what soever.

                            I accept the above Terms and conditions

                                                                                                                Signature of the bidder with seal

Annexure-A to RFP No....................Dated.....................

Sl. No. Name of the District / storage centers


Annexure to RFP No................dated................

Financial Bid

Karnataka Food and Civil Supplies Corporation Ltd.,


Ref: Tender Notification No.....................                               Date...............

1. Name of the bidder with address.. . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . .. . . . . . . . . .. . . . . . . . . . . . . . .. . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . .. . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . .. . . . . . . . .. .

2) I agree to deliver not less than 67Kgs (in words) of rice as per the technical specification prescribed in paragrah-4 of the RFP, for each quintal of paddy received by me for milling.

Sl. No. Location of the storage point in which the paddy is stored Bid amount for conversion of paddy into rice inclusive of all operations detailed in paragraph 6.4 of the RFP

                                                                              Signature of the bidder with seal

Brief Short term Tender Notification

  No.KFCSC/PRO/MSP/Khariff-Paddy/2010-11/                                                    Date:14.01.2011

Short term sealed tenders are invited under two cover system from rice millers for milling of khariff paddy purchased in in districts of Chickmagalur, Davanagere, Shimoga and Yadgir. The particulars of the locations of the godowns are furnished in Annexure-A to the request for proposal (RFP).

Persons having rice mills within a radius of 75 Kms from the godown where the paddy is procured and who satisfy the other terms and conditions stipulated in the RFP are eligible to bid.

The request for proposal containing the terms and conditions can be obtained from the District Managers of the concerned district from 18.01.2011 to 28.01.2011 during the office hours on payment of Rs.500/- (Rupees Five hundred only) non-refundable. The tender shall accompany with a Demand Draft for Rs.1,00,000/- towards EMD and also the documents enumerated in the RFP.

The last date for submission of completed tenders forms is 01-2-2011 at the respective district offices up to 5.00 PM.

The tenders will be opened in the presence of the bidders or their representatives present at the time of opening on 02.02.2011 at 11 AM in the respective district offices. The details of the tender can be obtained from the concerned district office.