KEETARP
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Dash ,
here is how hardware ToT will be required as per policy .
here is how hardware ToT will be required as per policy .
To bring in a fair comparison between the TOT offered by various
OEMs as also to have a fair assessment of the depth of technology being
transferred, OEMs are required to identify each item (system / sub-system /
assembly / sub-assembly / module / detail parts / PCB etc) in the product
structure under the following categories, as may be applicable and provide
information on the relative price for each of the items in the product structure as percentage of product cost
(i) Category –1. Items, for which complete TOT, i.e., Engineering
and Manufacturing documentation to enable the Production Agency
carryout fabrication, assembly and test of the item from CKD/IM Kit
level as the case may be, is being provided by the OEM, may be
classified under the head “CTOT”.
(ii) Category –2. . Items which are manufactured by the OEM’s
Subcontractors based on engineering documentation provided by the
OEM and these Engineering Documentation are being provided by the
OEM to the Production Agency, may also be classified under the head
“CTOT”.
(iii) Category –3.
(aa) Items in respect of which development and manufacture by
the OEM has been subcontracted to its vendors/ sub-contractors
based on only the procurement specifications provided by him and
the OEM is not in a position to provide any additional
technical information to the Production Agency except the
procurement drawings/ specifications provided by him to his
vendors/ sub-contractors, may be classified under the head
Single Vendor “Sub-contract”. For the purpose of evaluating the
depth of TOT, it will be presumed that the TOT in respect of these
items for indigenous manufacture is not provided. OEM shall
ensure authorization to its vendors/ sub-contractors to supply items,
manufactured against OEM’s specifications to the Production
Agency against its purchase orders.
(ab) However in such case, the OEM in collaboration with his
vendor/ subcontractor, is able required to provide the Production
Agency, maintenance Documentation, the recommended list of
spares for repair and overhaul as may be applicable and
maintenance training at the vendor’s/subcontractor’s premises, then
such such vendor items are may be classified under the head
`Limited TOT for maintenance support’ , i.e, “M-ToT”.
(iv) Category – 4.
(aa) Items including catalogue/ standard items sourced by the
OEM against his procurement specifications as `Fully Finished’,
may beare classified as “Bought Out”. Evidently TOT for such
items for indigenous manufacture will not be available and the
OEM will be able to provide only the procurement drawings/
specifications, sources of supply. OEM has to ensure the
availability of such items or its equivalents during the life cycle of
the product. However, in respect of some of the selected items in
this category, if the OEM, in collaboration with his vendor, is able
to provide the Production Agency documentation for maintenance,
recommended list of spares for repair and overhaul as may be
applicable and maintenance training in the vendor’s premises, then
such items may also be classified under the head `limited TOT
for maintenance support’ i.e. “M-ToT”.
(ab) OEM shall ensure periodical review of obsolescence,
study of the Bill of Items (BOIs) and provide a retrieval scheme for
a minimum period of 15/20 years from the production of last unit
under the present proposal.
(v) Category –5. Some of the items for which the ownership of
Design and Manufacturing Documentation is available with the OEM,
but the OEM is not willing to transfer the technology to the Production
Agency may be classified under the head `Proprietary’ items. The list of
such items shall be far and few and generally restricted to components/
processes specifically developed by the OEM for the licensed product.
No item in the product structure which is critical either from
the technology point of view from the point of view of significant value
addition or which constitutes a significant relative percentage of the
product cost (say > 10%, will be acceptable under the head “Proprietary
items”. Further, at any stage during the life cycle of the Product, if the
OEM intends to discontinue the production of Proprietary items, the
complete technical documentation in respect of these items available
with the OEM or his subcontractors will be passed on to the
Production Agency to enable indigenous manufacture or establish
alternative routes of meeting the requirement. Also, a base price for such
items with an escalation formula for future supplies shall be given for
slab quantities by OEM.
(l) The OEMs have to ensure that the depth of Technology being transferred
shall enable the Production Agency achieve value addition commensurate with a
minimum 30% of the relative cost of the licensed Product through indigenous
manufacture in case of CKD kit based ToT and a minimum of 60% of the relative
cost of the licensed product through indigenous manufacture in case of IM Kit
based ToT (Percentage of indigenous value addition may vary based on the
product).
(a) The vendor not offering the key specified technologies for TOT for
categories 1 and 2 and maintenance technologies for category 3 (Single source
vendor assemblies) will not be eligible for further evaluation.
(b) In the technical bid, the depth of ToT being provided will be evaluated
for comparison purpose as given below:-
(i) Relative Percentage of cost of Category 1 items } Not less than 60%
(individual & composite) } after excluding the
corresponding
(ii) Relative Percentage of cost of Category 2 items} CKD kit cost
(individual & composite) resulting in value
addition of not less
than 30%
(iii) Relative Percentage of cost of Category 3 items } Not more
(individual & composite) than 25%
(iv) Relative Percentage of cost of Category 4 items }
(individual & composite) }
(v) Relative Percentage of cost of Category 5 items } Not more
(individual & composite) than 15%