What is FS Agreement?
Products & Services
Supply of committed grade/quality and quantity of coal uniformly and consistently to the customers over the agreed period at competitive prices.
Coal industry has no exception to the new challenges posed in the Globalization and Privatization scenario . In order to meet those challenges and to maintain the competitiveness it is essential to be sensitive in the area like product price, quality, service, customer satisfaction etc. Getting a new customer for our product is required and it is cumbersome and uncertainties are involved. Maintaining the existing loyal customers with us is essential.
To achieve the above objective Ministry of Coal, Government of India is encouraging the coal producing companies and major core customers to enter FUEL SUPPLY AGREEMENTS. The various agreed clauses of the agreements spell the commitment from both the sides with bonuses and penalties.
Advatages of FSAs