Pipelaying Tender-VOL I - WorleyParsons.com

14.7.2 To offset Central Sales Tax levied on Indian Manufacturer of capital goods, pricepreference to the extent of 4% or actual whichever is less, would be accorded, subject to30% of local content norm (required documentary evidence will be as decided by Owner).The supplies of materials and equipment by Domestic bidders are eligible, as perGovernment directives to following preference:EXTENT OF DOMESTIC VALUEADDEDEXTENT OF PRICE PREFERENCELess than 30%NIL30% and more Domestic preference shall be limited toOff-setting of Central Sales Tax to the extent of4% or actuals whichever is lower plus Octroi atactuals.The domestic value addition shall be calculated with the following formula:% Value Addition ={Ex-Works price excluding Customs Duty, Excise Duty, Sales tax - CIF value of imports} x 100Ex-Works price excluding Customs Duty, Excise Duty, Sales taxIn the above formula the customs duty shall be considered as applicable on imported rawmaterials/components and Excise Duty and Sales Tax shall be considered on finishedgoods.14.7.3 Once quoted the extent of Domestic Value addition shall remain unaltered.Bidder shall submit Chartered Accountant certificate in original, confirming that Domesticvalue addition is more than or equal to 30% as above for availing Domestic preference.14.7.4 The evaluated price of all the domestic Bidders and the evaluated price of all the foreignBidders as stated herein before shall be compared together to arrive at the lowest bid.14.7.5 Owner reserves the option to place order on Foreign Bidder(s) on FOB or on CFR basis.14.7.6 Situations where preference not granted to Small Scale Units (Registered with NSIC):To make the grant of price preference more meaningful, price preference shall beaccorded on a tender to tender basis. The question of granting price preference will notarise in the following situations:MH2145-C000-PS-RFQ-0020Page 48 of 334