TRANSPORTATION AGREEMENT
This Transportation Agreement (“Agreement”) is made and entered
into at Bangalore, Karnataka on this 1st June 2023 by and between;
NEO FOOD PVT LIMITED, a Company incorporated under the
Companies Act, 1956 and having its Registered office at “NITON” B-
block, 2nd floor, #11, Vasanathnagar, Palace road, Bangalore-
560001
AND
Page 1 of 6
Sendhur Murgan Transport Company incorporated under the Companies
Act, 1956 and having its Registered office at 540, Attur main Road, KN
Colony, Ammapet Salem-636014 Tamilnadu. Represented by its Authorized
Representative [Link] Director (hereinafter referred to as the
“Transporter” which expression shall unless it be repugnant to the
context of meaning thereof be deemed to mean and include its
successors, executors and permitted assigns) of the OTHER PART,
WHEREAS the Transporter has informed and represented to the Company
that it has all the necessary licenses and approvals of the concerned
authorities and is carrying on the business of transporting and delivering
goods by its vehicles on the roads and by railways through various states
within India.
WHEREAS based on the representation of the Transporter, the Company
is desirous of engaging the services of the Transporter for transportation
of the Empty glass Jars from various locations to Neo Foods Plants.
AND WHEREAS the Transporter has agreed to transport and deliver the
Goods of the Company by supplying its vehicles to such Locations as and
when called upon to do so by the Company on the terms and conditions
hereinafter appearing.
This Agreement shall be deemed to have commenced from 1st June
2023 and will, unless otherwise terminated as per the terms
mentioned herein, continue to remain valid till 31.05.2024 and
thereafter this Agreement may be renewed further for such further
period and on such terms and conditions which may be mutually
agreed between both the parties in writing.
1)The Goods will not be trans shipped in another truck/vehicle
during transit (unless due to an accident or any major
breakdown subject to approval of Neo Foods).
2)The Transporter shall ensure that the Truck driver has
appropriate license to drive vehicle and has all the RTO
related papers. No truck driver should be allowed to operate
vehicles if he is under medication. The vehicle used for
transportation of Goods under this Agreement must have valid
Page 2 of 6
third party insurance, a valid P.U.C. certificate and all the
necessary documentation..
3)Truck/Vehicles/Containers must be fit for use i.e. truck must
have right body/lights/good state etc. and must be clean and
in proper condition.
4)Transporter shall ensure that all the necessary transport
related activities are attended to. Neo Foods will not take any
responsibility to settle any violation of Rules or Regulations of
any law and the Transporter shall be liable for
penalty/punishment that may arise from such violations.
5)The Transporter shall ensure that it has necessary licenses,
approvals, consents including but not limited to under the
Food Safety and Standards Act, 2006 for performance of its
obligations under this Agreement
6)The Transporter shall ensure that the driver of the Vehicle
shall be in sound health. If any driver is suffering from a
disease or illness which is likely to be transmitted through
food/Goods, such driver shall not be allowed and prevented
from driving the vehicle to avoid contamination of food/Goods.
7)The freight rates as more specifically mentioned in
Annexure - A for vehicles supplied by the Transporter under
this Agreement.
8)The Transporter agrees that they shall not withhold,
restrain, delay or make any claim on the delivery of the Goods
to the Consignee in case there is a delay in releasing the
payment on the part of the Company.
9) Transporter shall ensure that open trucks with goods is
properly covered with good tarpaulins to avoid spoiling from
rain, dust etc.
10) Transporter shall ensure that goods collected from the
supplier gets delivered to Neo Foods in good condition without
any damages. Neo Foods reserve the rights to debit the value
of such damaged goods to transporter account.
Page 3 of 6
11) If the goods completely damaged in transit due to
accident then Neo Foods shall apply for the insurance
towards this damage goods. If Neo Foods gets less insurance
amount towards the damaged loss then differential amount
shall be deducted from the transporters account.
12) If the truck drivers made any damage to the Neo Foods
property/employees then the value of the such damages shall
be deducted from transporter’s bill.
Neither party shall be held liable for its failure to comply with its
obligations under the terms of this Agreement caused solely by fire,
nationwide strike, earthquake, floods, acts of god, war, government
restriction, terror attacks or other causes beyond its control. Such
failure or non-performance shall be excused to the extent that it is
necessitated by such cause. The party affected by the force majeure
event shall use due diligence to remedy such default as quickly as
possible. In case the force majeure event continues for a period of
15 days or more the effected party shall have a right to terminate
this Agreement.
The Transporter shall not transfer/assign/delegate its rights and
liabilities arising under this Agreement to any other party without
receiving prior written consent of the Company.
For Neo Foods Pvt Ltd For Sendhur Murugan Transport
Authorised Signatory Authorised Signatory
Page 4 of 6
ANNEXURE-A
A. RATE:
In consideration of the services being rendered by you, we will pay you the following charges
Station Rate/ltr
AVS Foods(Anekal) to Neo Foods Pvt Ltd(Hosur)
i) Above rates are inclusive of loading and unloading charges. In addition to the
above rates, you will be paid Rs. 1000/- per day for 16MT truck halting at our fac-
tory premise, provided you provide LRs with date notification.
ii) You shall be paid GST at applicable rate, if applicable. TDS shall be deducted at
the applicable rate if you are owning more than 10 trucks. You shall indemnify
and keep us harmless and indemnified against any claims, losses or damages in
this regard including claims, losses or damages on account of any non-compliance
of statutory provisions in this regard.
iii) The rates mentioned shall remain firm during the entire period of this Contract.
However, any diesel price hike or decrease to the tune of +/- 10% from the current
price of diesel shall be considered for the rate revision, which shall be mutually
agreed by and between the parties. Current rate of diesel price is Rs 87.90/- per ltr.
Iv You agree and confirm that in case of downward trend of truck freight due to one
reason or the other including(but not limited to) decrease in diesel price,
relaxation in loadability, improved supply positions of the empty trucks in the
market etc, then the reduction in the rate(freight) will be considered, which shall
be mutually arrived and same shall be payable by us to you.
B: VALIDITY PERIOD:
This Contract will be deemed to be effective from 1st June-23 to 31st May-24.
C. PAYMENT TERMS
i) Bills along with LR copies will be submitted by you on weekly basis. All LR
copies should contain Neo Foods security gate entry seal and Stores seal. Payment
will be made by us to you within 30days from the receipt of your invoice.
Page 5 of 6
ii) Bills shall be duly verified and signed by us and in case of any discrepancies
therein shall be brought to your notice. You shall accordingly modify the bill and
we will make the payment as per the modified bill.
iii) Income tax (TDS) as applicable shall be deducted from your bills.
iv) You shall be under obligation to deliver the glass jars as per our instructions. We
shall be entitled to deduct any amounts from bill on account of shortage/ damage/
loss and other counts which may be found due at the time of payment and /or de-
livery
For Neo Foods Pvt Ltd, For Sendhur Murugan Transport
Authorised Signatory Authorised Signatory
Page 6 of 6
