A. VAT Sale (Sales within State)
1. Rate Approval
a. Quotation
for local freight is to be collected from at least three transporters.
b. Lowest
rate for each destination is to be negotiated by respective Branch Manager, CFA
and RM.
c. The rates duly approved by the Regional
Manager are to be sent to the AVP (Marketing) and Head Office.
d. Dispatches
shall be done using approved transporter and approved freight rates only.
2. Freight Payment
a. For dealers, goods should be dispatched on
‘To Pay’ basis and C&F Agent shall issue necessary credit note for freight to
dealer within three working days.
b. For OEM’s goods should be dispatched on ‘To
be billed’ basis. Marketing Agent / C&F Agent shall make necessary freight
payment to the local transporter on receipt of the Consignment Note duly signed
by the concerned party to whom the material was sent.
3. Procedure for
reimbursement to C&F Agent by HO.
a. The C & F Agent has to send monthly
statement giving details of credit note issued along with copy of credit note and
consignor copy of consignment note in Format-A.
b. The C & F Agent has to send monthly
statement giving details of freight payment for dispatches to OEM along with
original consignment note duly acknowledged by the consignee for reimbursement
in Format-B. HO will reimburse the same to C&F Agent within seven working days
after receiving the documents.
c. Where there is no C&F Agent, freight
payment may be made by the concerned party to whom the material is being
supplied and necessary credit note for the same is to be issued from Head
Office immediately on receipt of the proof of the payment along with copy of Consignment
Note. It is the responsibility of the concerned branch head to provide
necessary paper to the head office as early as possible. On receipt of the
paper, HO will issue credit note within three working days.
B. CST Sale (Inter State
Sales)
1. Ex-Factory: Material will be dispatched on ‘To be
billed’ basis. Freight payment will be made by H.O. .
2. Ex-Depot: Material to be sent on ‘to be billed’ basis
and C & F Agent should make the payment to the transporter and claim from
Head Office with all supporting.
C. Depot Transfer (Inter State
Depot Stock Transfer)
1. Factory
to Depot: Material will be
dispatched on ‘To be billed’ basis. Freight
payment will be made by H.O as being prevalent now.
2. Inter-Depot: The material should be sent on ‘to pay’
basis and receiving C & F Agent should make the payment and later on claim
from Head Office with all supporting.
D. Shortages & Damages
1. Shortages- Details of shortages must be emailed to HO immediately (Format-C). Bill for shortage should be made on transporter and copy sent to HO for recovery (After showing full receipt as per STA, sale to transporter to be entered in SAP).
2. Damages- Full value of damaged sheets should be emailed to HO immediately (Format-D). These details must be clearly mentioned on the back of the LR also. HO will arrange for recovery from transporter / Insurance Company.
3. Discrepancies- If actual receipts are at variance from the STA ( Stock Transfer Advise), email should be sent to HO and Factory immediately. Only those items covered by STA and physical receipt should be entered in SAP. For the excess / shortage, entries to be made only after confirmation from HO (For example discrepancy on a/c of size, thickness & décor etc).
Free Download Notes on Freight Payment Procedures
