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Marketing local products:
Short and long distribution channels

[ Summary ]

Section III
Technical Data Sheets

 

Technical Data Sheet n° 3
Example of an agreement protocol between
the collective organisation and its members

 


Article 1 - Mission statement


As from the date stipulated in this agreement, the association shall, on behalf of the member, manage a non-exclusive mission to plan, set up, coordinate and manage a distribution business.

This mission is based on the products, customer categories and geographical areas mentioned in the appendix.

The association has the required human and material resources to perform its mission.

The association and the member agree to abide by the obligations and provisions laid down in the following articles in order to optimise results.

 

Article 2 - Obligations of the association


The association agrees to:

  • mobilise all of the means at its disposal to fulfil its mission;

  • inform the member about the place his products occupy in the markets, in other words, about production and product trends, price competition and business development prospects;

  • ensure, before appointing a distributor, that the member does not already have a sole distributor in the geographical sector concerned;

  • ensure that the price conditions and other sales terms have been properly laid down in agreement with the member;

  • transmit to the member all of the information at its disposal about customers and, in particular, whether they are “payers”;

  • in the event of a delay in payment, to instigate a systematic procedure to remind the customer of amounts due to hasten payment of the outstanding amount.

The association may not under any circumstances, even where it has acted as an intermediary for invoicing merchandise, be deemed financial liable for any payment problems.

The association’s involvement shall be limited to issuing the payment notice.

Any damages and costs arising from the debt recovery procedure shall be entirely at the member’s expense.

However, in the event non-payment of an invoice, the member may submit a request for reimbursement of the commission paid on that order.

The member’s request shall be examined by the board of directors, which shall decide on the matter.

 

Article 3 - Obligations of the member


The member agrees to:

  • ensure normal availability of his products in terms of both quantity and quality;

  • notify the association at the earliest opportunity should he foresee a possible stock shortage;

  • guarantee proper packaging and dispatch conditions within the allotted time frame;

  • supply the association with all of the available literature and promotional tools to enable it to fulfil its mission;

  • supply the association immediately with any requested analyses or samples in the desired quantities;

  • supply, in a precise and detailed manner, all of the technical specifications concerning his products;

  • send, prior to 30 October of each year at the latest, its base 100 price lists to be applied between 1 January and 31 December the following year. These price lists shall specify the discount rate applicable for each type of customer, as well as any deductions associated with these discounts;

  • be in possession of all of the health and administrative documents required for dispatching the products to their final destination;

  • guarantee that invoicing is correct and complete;

  • communicate to the association all of the information in his possession about how the customer rates as a “payer”;

  • transmit to the association all of the orders placed by the customer;

  • supply every month, before the fifth of the month, a copy of the customer invoices administered by the association.


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European
Commission

Agriculture
Directorate-General