Memoranda of Understanding (“MOU”)
1: This MOU is dated on [The …………of …………… 2023] between:
1) Chakam Trading Promotion (CTP), (“A”) a company incorporated
under the laws of Ethiopia with address: South Western Region,
Bench Sheko Zone, Ethiopia Tel:. +251 911725209 Email:
netsanetmiftah@[Link] /
chakamtradingpromotion@[Link], PO Box: -------
2) UPI., (“B”) a company incorporated under the laws of the ……………..
with address: ……………………………………………………………..
Tel:.................................. Email…………………………, PO Box
………….
Each referred to as a “Party” and collectively referred to as the “Parties”.
2. BACKGROUND
2.1 Parties have knowledge toward the procurement of Projects
in identified voluntary carbon credit, market linkage of agricultural
commodities, including sesame, coffee, etc. and any other business
as a common area of interest.
2.2 In the principle of mutual benefit, benefit sharing and risk
sharing, Party A & Party B agreed through consultation to reach a
memorandum of understanding to cooperate to projects described in
section 2.1.
2.3 Party A is the member of the signatory of the memorandum
shall act as the Ethiopian Local partner responsible for the local
business contact work in public & private sector during the
execution of the mutually agreed projects.
2.4 Party B is the member of the signatory of the memorandum
shall act as the international partner responsible for the international
business contact work during the execution of the mutually agreed
projects described in section 2.1.
CONSIDERING the mutual benefits and the need to identify and implement viable
projects within the field of voluntary carbon market, commodities, AOB.
DESIRING to facilitate voluntary carbon market projects and market linkages for
commodities with the aim to develop and promote socio-economic.
RECALLING that promoting and strengthening project information exchange and
cooperation between the Parties in the field of voluntary carbon market projects and
commodities and AOB will further facilitate these goals,
Have reached the following understanding:
3. ARTICLE 3: OBJECTIVE
The objective of this Memorandum of Understanding is to establish the basis for a
cooperative institutional relationship to encourage and promote collaboration on
voluntary carbon market projects, commodities market, and AOB based on the
principle of mutual benefit, benefit sharing and risk sharing.
4. ARTICLE 4: MODALITIES OF COOPERATION
Cooperation under this Memorandum of Understanding may take the following
modalities:
a) Exchange of available project information and data.
b) Funding of viable voluntary carbon market projects on a commercial basis.
c) Development of voluntary carbon market projects on subjects of mutual interest.
d) Market linkage for agricultural commodities
e) Other modalities as may be agreed upon by the Parties.
5. ARTICLE 5: SCOPE
Areas or topics to address covered by this Memorandum of Understanding refer to:
a) Voluntary Carbon market access
b) Facilitating access to finance
c) Market access to agricultural commodities like coffee, spices and sesame.
6. ARTICLE 6: RESPONSIBILITY OF PARTY A
6.1 Party A shall in time take a role of Exporter, Consultant & Broker, in which
exepected to earn in variably.
6.2 Party A shall be responsible for the business contact work in Ethiopia at
the early stage of project Procurement.
6.3 Party A shall assume responsibility for the contract and accept the
instructions from the contracting authority and the supervisor, and be
responsible for the overall performance of the contract.
6.4 Party A shall be responsible for all relevant licenses required for the
Procurement in Ethiopia, including but not limited to Import, Export &
brokerage Licenses..
6.5 Party A shall be responsible for coordinating with the project contracting
authority, handling any problems that may arise during the performance
of the contract, so as to ensure the smooth delivery of the awarded
project contract.
6.7 After winning the project Contracts, Party A in consultation with Party B
shall be responsible for leading to organize the contract negotiation with
purchasing authority.
ARTICLE 6: RESPONSIBILITY OF PARTY B
6.8 Party B shall in time take a role of international Technical Partner.
6.9 Party B shall in time take a role of international Consultant & Broker,
6.10 Party B shall be responsible in facilitating international Funding of
viable voluntary carbon market projects on a commercial basis,
Development of voluntary carbon market projects on subjects of mutual
interest, Market linkage for agricultural commodities & Other modalities as
may be agreed upon by the Parties.
7. ARTICLE 7: COMPETENT AUTHORITIES
The Parties will be jointly responsible for implementing the agreements of this
Memorandum of Understanding.
8. ARTICLE 8: BENEFIT SHARING
8.1 In the principle of mutual benefits, all members of the signatory of
the memorandum shall be renumerated in accordance with the terms of the
Agreement stated below (the “Remuneration”), with respect to all future
contracts in which the signatories jointly secured it shall be considered to
fall under the agreed-up on terms.
8.2 Whereas Party A & Party B take a role as consultant or broker in
carbon credit projects, each party ( A & B) shall be remunerated with
50% of the proceed earned from the agreed upon consulting/Brokerage fee
of the executed projects.
8.3 Whereas Party A & Party B take a role as consultant or broker in
market linkage of agricultural products , each party ( A & B) shall be
remunerated with 50% of the proceed earned from the agreed upon
consulting/Brokerage fee of the executed projects.
8.4 Whereas Party A takes a role of exporter of agricultural products
while party B assumes the consulting/ Brokerage role in market linkage
of the products , Party B shall be remunerated with 100 % of the
mutually agreed upon consulting/Brokerage fee of the executed projects.
9. ARTICLE 9: CONFIDENTIALITY AND USE OF INFORMATION
1. The Parties shall take all appropriate measures in accordance with their respective
domestic laws and regulations to protect intellectual property rights including
commercial and industrial secrets transferred between authorized persons with the
jurisdiction of either Party.
2. The definition of confidential information is based on the regulations of each Party.
In no case may the information exchanged under the terms of this Memorandum of
Understanding be transferred by the recipient to any third party without the prior
written consent of the Parties.
10. ARTICLE 10: FUNDING
The Parties agree that the development and implementation of any project under this
Memorandum of Understanding shall be agreed by both Parties unless otherwise
stipulated in writing.
11. ARTICLE 11: AMENDMENT
This Memorandum of Understanding can be amended by the written consent of the
Parties. The method of amendment shall come into effects as decided by the Parties.
12. ARTICLE 12: ENTRY INTO FORCE, DURATION AND TERMINATION
1. This Memorandum of Understanding will enter into force on the date of the (last)
signature by the Parties and shall remain in force unless it has been terminated.
2. Either Party may terminate this Memorandum of Understanding by giving the other
Party a written notice of 90 (ninety) days in advance of its termination of this
Memorandum of Understanding. Termination will not affect activities initiated under
this Memorandum of Understanding and already underway at the time of termination.
In witness whereof the undersigned, being duly authorized thereto, have signed this
Memorandum of Understanding.
Signed in duplicate at ________on the______ day of _______ 2022, in the English
language.
___________________ ___________________
Netsanet Miftah Ahmed Million Kassa
General Manager Co-founder & Managing Partner
Tel. +251 911725209 Tel.: (+1)202-320-6725
Email: netsanetmiftah@[Link] Email: [Link]@[Link]
