Answer : As per MoD Order dt.19/10/2020 to support “Atmanirbhar Bharat Abhiyan” procurement of directly imported items has been stopped in the CSD.
Answer : Ranikhet and Bareilly are located in different States. Availability of Liquor Brands are governed as per Label Registration done by distillery in a particular State. Hence availability of different brands vary from State to State.
Answer : As per MoD Order dt.19/10/2020 to support “Atmanirbhar Bharat Abhiyan” procurement of directly imported items has been stopped.
Answer : CSD is allotted a budget every year by MoD and all purchases by the CSD have to be confined within this. Due to limitations in budget, ceiling limit to buy cars (for each ranks) has been prescribed by QMG Br/CS Dte. Hence, high end cars are not available through CSD.
Answer : Purchase by institutions are being done through Govt. budget, hence not permitted from CSD
Answer : Due to non-availability of Raw material, Gin was not available for some time. Now a few Gins such as Jaisalmer Indian Craft Gin &‘Greater than London Dry Gin’ are available in many depots.
Ans: CSD depots issue stores to URCs based on their projected demand. If a URC does not project its demand realistically in terms of quantity, it faces stock-out situations. Additionally, availability of funds at URC level also matters.
Answer : All stores issued to beneficiaries get 50% exemption of GST. Only CSD has been exempted from GST (on sales) and allowed to get 50% GST refund on purchases. In such a scenario, due to GST implications, no stores of CSD can be sent directly to URCs just like ASC etc.
Answer : The accounting instructions mandates the depots to accept payments from authorized bank accounts of URCs only and receipts are mandatorily required to be remitted daily to the CFI.
Answer : The URCs Provisional Demand (PD) is for less value whereas Final Demand (FD) is for higher value.
Answer : Limitations on select grocery items have been issued by CS Dte/Qmg Br to control stores being issued/sold to un-authorized beneficiaries.
Answer : For any kind of AFD-I transactions refund, an application has to be submitted by CSD beneficiary at nominated URC who in-turn fwd the same to dependent CSD depots. Based on the refund claim, fund will be projected to CSD HO and fund will be released on approval of the Competent Financial Authority (CFA). So the refund process may take upto 3 months subject to availability of fund. Further no interest is eligible for any AFD-I refund as the amount deposited into Consolidated Fund of India (CFI) (Govt a/c) does not attract any interest as per existing Government rules.
A SIMPLE FIVE STEP PROCEDURE IS REQUIRED TO INTRODUCE PRODUCTS IN CSD:
The company must fill out the application form for the introduction of an item, available here (Link to www[dot]csdindia[dot]gov[dot]in) and submit it, together with the application fee. CSD charges an application fee of Rs 15,000 per SKU or Rs 3,000 per SKU in case of ex-servicemen enterprises. This amount is non-refundable and must be paid through a demand draft in favour of the Canteen Stores Department Public Fund Account (Main). The company can apply for a maximum of eight SKUs in one application.
A registration number will then be allotted to the application and a preliminary evaluation will be conducted. At this stage, CSD may request the company for certain clarifications and queries.
Once the documentation is complete, the file will be submitted to the Preliminary Screening Committee (PSC), together with samples of the product(s). The Committee is generally convened every alternate month.
The decision of the Committee will be communicated to the company via mail as well as through the website. Once the Committee shortlists the product, further evaluations will be conducted. These include, among others, a market survey, an inspection of the factory or warehouse and hygiene inspections for food and beverage items.
Once this evaluation audit has been completed, the firm will have to conduct price negotiations with CSD. The Board Of Administration (BOA) will then give the final approval. Once all formalities have been completed, the final files are sent to concerned store branches for issuance of the New introduction circular and initial order.
After receipt of Bank Guarantee (if applicable) for the amount specified in the New Introduction circular along with the acceptance letter of the circular, hard/soft copy of jpeg of the products being introduced, the Initial Order will be placed with 60 days delivery time.
Repeat Order is placed one month after successful execution of the Initial Order. For this the supplier has to submit additional Bank Guarantee (if applicable), for the amount equal to the Initial Order for the Stores Branch to consider placement of Repeat Order having 60 days delivery time. This will be subject to receipt & liquidation of Initial Order quantity at CSD Depots.
No Repeat Order will be placed by the CSD for the item introduced under LS Ordering.
TO QUALIFY FOR REGISTRATION A URC MUST HAVE A MINIMUM POSTED STRENGTH OF 100 PERSONNEL. IF THIS REQUIREMENT IS MET THE URC CAN REGISTER THROUGH THREE SIMPLE STEPS:
Application should be made on a prescribed form for a new URC registration available from the URC manual or on the website (Link www[dot]csdindia[dot]gov[dot]in). The manual is available at all URCs.
The application form must be forwarded duly recommended by Higher formations, accompanied by a Statement of Case (SoC).
The completed application forms, along with supporting documents, should be forwarded to the O/o DDGCS / CS Dte, Delhi, for approval. Post-approval, the registration number will be issued by the Secretariat Branch, CSD, HO Mumbai.
Who looks after their activities of URCs:
- Movement of Unit / Change of Depedency:- Responsibility: AGM Secreteary Email: urcsecy[at]csdindia.gov[dot]in CC: agmsecy[at]csdindia.gov[dot]in
- Rename / Redesignation of URC:- Responsibility: AGM Secretary Email: urcsecy[at]csdindia.gov[dot]in CC: agmsecy[at]csdindia.gov[dot]in
- Disbandment / Closure of URC:- Email: ddgcs[at]csdindia.gov[dot]in CC: urcsecy[at]csdindia.gov[dot]in CC: agmsecy[at]csdindia.gov[dot]in
- No Objection Certificate (NOC):- Concerned Depot / Area Managers CC: Concerned Regional Manager
To apply for a URC loan, download the application form here (Link - www[dot]csdindia[dot]gov[dot]in). For a list of requisite documents, visit our website www.csdindia[dot]gov[dot]in
Loans up to Rs 2 lakhs are sanctioned by the General Manager (GM), CSD.
Loans from Rs 2 lakhs - 5 lakhs are sanctioned by the Board of Administration (BOA), which is usually convened every alternate month.
Loans from Rs 5 lakhs - 25 lakhs are sanctioned by the Quarter Master General (QMG).
The loan will be available in the form of stores only. No separate cheques will be issued.
Loans are to be repaid by URC within five years.
The loan attracts an interest rate of 4.5% for the first loan and 6.5% for the second loan and subsequent loans.
Any further query related to Loan issue / Observations / Status of the applied loan, can be checked with General Ledger Section of F&A branch Tel. No: 022-66382900
Bank Guarantee (BG) is an undertaking obtained from the suppliers/firms so as to safeguard the interest of the Department against substandard/defective items/default service/non-moving stocks etc. BG restricts the ordering quantity by CSD so that the value of stocks held in inventory including orders, does not exceed the BG amount.
The initial order for newly introduced items will be backed by BG equivalent to four times of the value of the initial order quantity inclusive of all taxes except for items of firms who are already exempt from BG in order to ensure that the BG adequately covers stock held, stock in transit and order quantity. However, if a firm is not amenable to deposit the required BG, it may deposit BG of an amount as estimated by it to ensure that at all times the BG covers the stock held, stock in transit and order quantity; the orders for such firms will be regulated accordingly.The exemption from BG, if any will be processed by Stores Branches as per procedure in practice as hitherto fore.
The initial BG will be for a period of three years and subsequent validity will be extendable for a period of 2 years at a time unless or otherwise specified e.g. for deleted items BG to be extended till likely liquidation of stocks and recovery of debit notes, if any.
If the BG is not reeived in first six months, concerned stores branch will stop placing order and process the case for deletion of items, since it is enough time for supplier to submit requisite BG. Post in principle approval by GM CSD, AGM (Secy) will process the case for appproval of BoA. A show cause notice shall be issued by the Stores Branch before orders are stopped.
In case additional demand over the BG deposited is encountered while making PRGO, the concerned stores branch will seek additional BG from firm but order will not be curtailed for next three months, however no payment will be done to the supplier till additional BG is received in F&A Branch through respective Stores Branch. Respective Store branches will have to ensure that if additional BG is not received within three months, then complete order will also be stopped. Pending Bills, if adequate to cover the BG, would be treated at par with BG till additional BG is received.
A firm’s request to be exempted from BG will be considered only after following conditions are fulfilled:-
(a) Wherever the suppliers are already with the Department for a period of over five financial years.
(b) Their average yearly turnover (with CSD) of the preceding five financial years including current financial year should be not less than Rs.5 crores i.e. total turnover (with CSD) of the preceding five financial years should be more than Rs.25 crores.
(c) The turnover of the firm (with CSD) should be more than Rs.5 crores per year in the preceding two financial years including current financial year.
(d) Ex-Servicemen and State/Central Govt enterprises (with 50% Govt stake) will be exempted from BG as per the following parameters :-
(i) Wherever the suppliers are already with the department for a period of over five financial years.
(ii) Their average yearly turnover of the preceding five financial years including current financial years should be not less than 2.5crores i.e total turnover of the preceding five financial years should be more than Rs.12.5crores
(iii) The turnover of the firm should be more than Rs.2.5crores per year in the preceding two financial years including current financial year.
A supplier can apply for exemption on fulfilment of eligibility conditions for exemption from BG as laid down in BG policy of CSD and amendment from time to time, the firm is to submit a written request for the same to the concerned Stores Branch with details of the following:-
(a) Details of turnover for the preceding five financial years including the current financial year. The period of consideration for five years in business with CSD will be 01 Apr to 31 Mar. In case a firm meets the turnover criteria during the current financial year, it will be eligible for BG exemption. Turnover is the sales made by the firm to CSD for a set period i.e. each financial year.
(b) Details of BGs held with CSD confirming fulfillment of laid down conditions.
In case of non-fulfilment of conditions of BG exemption observed by the stores branch after BG exemption is granted, firms will be required to submit a reply to the notice for revocation of BG exemption along with supporting documents if any or submit fresh BG within a period of three weeks of receipt of such intimation from the concerned stores branch.
Price revision can be applied for one year from the date of New Introduction circular.
Any firm can apply for price revision of a listed item one year after the date of the New Introduction circular. This revision will be subject to an upward revision in MRP of the time, in the civil market. However, there is no time limit when it comes to a downward revision of price; the change will come into effect, retrospectively.
The firm can apply for price revision twice a year. There should be a period of six months minimum between the date of the fresh application and the date of the last price revision of the item.
The CSD will then evaluate the application. The process may involve price negotiations with the supplier. A minimum of ninety days from the date of receipt of application will be taken, after which the revised amount will be applicable at stores. This is subject to availability of the item during the market survey. CSD follows the First-in First-Out (FIFO) system to dispose of the applications received, subject to all documents being in order.
As per the agreed terms with CSD, companies must continue to supply items at earlier rates until the price revision has been approved. Failure to do so will result in penalty and deletion of the item from the CSD inventory.
The delivery schedules for monthly supply of items are as follows:
- Regular Order—Direct Supply
01st to 28th of the Month
es, but it comes with a penalty @2% of the invoice value for the first 15 days from the last date of delivery specified in the order, and with a penalty of @4% for the second extension beyond 15 days till 30 days from the date of expiry of the initial delivery schedule. In case any firm seeks an extension only for 15 days from the expiry of the initial delivery schedule, only one extension of 15 days or up to 30 days from the date of expiry of the initial delivery schedule, whichever is lesser, can be granted @6% penalty.
Orders delayed beyond delivery / extended delivery schedule stands lapsed. The penalty will be imposed @8% for non-executed quantity.
Direct Supply: The mode of delivery to CSD depots is through direct supply only, i.e. FOR destination.
The supplier must constantly ensure the parity in quality of products supplied to CSD and to the civil market. CSD strongly urges its suppliers to notify them well in advance in case of changes in grammage/nomenclature/graphic design/ formulation/case pack etc of the product.
The firm must submit an application clarifying the change, together with the requisite documents for according approval for the changes. Once the stores' branches have given their approval, the item in question must also be supplied to all CSD depots. Any deviation will attract penalty as per departmental policy.
No, only models listed in CSD are available through CSD.
All items available in CSD stores go through a strict evaluation process to ensure quality and optimum pricing. Unfortunately, this means that newly-launched products will not be immediately available through CSD. However, the item will be available in CSD stores after a minimum time period of three to four months.
All CSD consumers can purchase these items once in three years.
Yes, CSD welcomes the patronage of ex-servicemen under certain conditions.
Certainly, CSD offers 2 wheelers to every category of the Armed Forces. However, a 2 wheeler can only be purchased every three years.
If so, how do I obtain them? For the convenience of the CSD consumer, no sanction has been placed on the purchase of 2 wheelers. The centralised Car sanction by CS Dte has been discontinued w.e.f. 20 Jul 2015.
Unfortunately, CSD is unable to keep costs consistent throughout the country due to differing tax structures of different states.
Unfortunately, tax benefits are not available in all states. Some states have granted full exemption while others have given certain concessions.
The states of Gujarat, Tamil Nadu, Jharkhand and Uttar Pradesh have granted full tax exemption to CSD while the Punjab, Haryana, Madhya Pradesh etc have granted certain tax concessions.
CSD beneficiaries have to contact the customer care number and email id of the firm mentioned on the product for resolution of their complaint like their civilian counterpart.
If the firm do not responded or not resolved upto the satisfaction, the beneficiary has an option either to take the firm to the Consumer Court like their civilian counterparts without making CSD as a party or can approach CSD for complaint resolution.
The beneficiary compliant with regard to quality of food and liquor items of affected batch/lot and manufacturing date available in stock is sent to Food Inspecting Organization (FIO) functioning under the aegis of Quarter Master General’s (QMG) Branch for conduct of necessary Complaint test with special reference the beneficiaries compliant and in addition to Food Safety and Standards Authority of India (FSSAI) Standards.
If the item found non conformity to quality standards, Sale of affected batch item held at CSD depot as well as URC is suspended and penalty is imposed on firm.
The beneficiary complaint with regard to quality of General Stores, if considered necessary, the item is sent to Govt./ National Accreditation Board for Testing and Calibration Laboratories (NABL) for testing. If the items found non conformity to TDS/IS specification, penalty is imposed on firm as per policy.
Notwithstanding the above, the beneficiary can take up the case directly with the firm for necessary resolution. In case, the firm do not respond or resolve the query the beneficiary has an option to take the firm to the Consumer Court like their civilian counterparts without making CSD as a party.
The Guarantee and Warranty Card is applicable to beneficiaries at par with the civilian counterparts. The beneficiary has to check the item, Warranty and Guarantee Card at the time of purchase of items at URC. No item to be accepted without Guarantee and Warranty Card, if applicable.
