1. DEFINITION AND INTERPRETATION:

Kappas: Farmer produce or seed cotton

 

Trading day: The day on which the actual trade transaction occurs between seller and buyer. The trading date including time is specified in our TTN number

 

Farmer: Actual producer of cotton or who is registered in our website as Farmer with all the required details.

 

Farmers’ Franchise: Farmers’ Franchise is appointed by Admin of ICSINDIA with security deposit to care of day-to-day activities in villages particularly collecting kappas from all farmers and adding the crop in the admin website. He helps farmers in registration, adding crop, payment follow up, quality complaints and any other services required by the farmer and admin. He will be paid salary and incentive by the admin for his services.

 

Farmers Testing Franchise: Farmers Testing Franchise consists of a group of 5 members and one driver who were appointed by ICSINDIA admin. It shall contain one mobile cotton lab roaming around the area of villages allotted to them with radius of 100 kms. They will do testing of kappas (as per charge decided by the admin) and upload reports in website. and also guide farmers about live estimated crop rates work so that farmer will have better idea how to sell and when to sell.

 

2. SCOPE AND CONDUCT OF WORK:

The farmer shall register in indiancottonsolutions.com website.

ICSINDIA provides the farmers four ways to sell their crop. They are as follows:

1. MSP Option Sales    https://youtu.be/q3tOf1guMDs

2. Normal Market Option Sales https://youtu.be/1YuZoG9VQ7I

3. Stock Option Sales / LABK (Lint Bales against Kappas) https://youtu.be/3iLoW7SHHGA

4. Farmer Kappas Direct Sales https://youtu.be/hZLOrHmyzTk

 

In the first three of the above-mentioned cases, the farmers can directly sell their crops to the Ginners/ value adding ginning to the Spinner, traders and importers. Here, the farmer or group of farmers or Farmers’ Franchise are allowed to accumulate 500 quintals of crop. Once the said quantity is ready, the famer has to test the quality of Kappas in Farmer Testing Franchise Lab and know their estimated crop rate as per different options available to them.  After that, they shall deliver the said quantity to the nearest Ginning mill allocated to the farmer.

 

If the farmer wishes to participate in the forth case, i.e., Farmer Kappas Direct Sales, he shall provide 20% of the crop value as Bank Guarantee to ICSINDIA. In this case, the farmer or group of farmers or Farmers’ Franchise are allowed to accumulate 10 quintals or more crop. The farmers shall also ensure the bank guarantee as already mentioned. Then the farmers shall test the quality of their Kappas in Farmer Testing Franchise Lab and know their estimated crop rate as per different options available to them. The farmers shall upload their report, price & quality online and the same shall be listed in the Ginners page. If any Ginner wishes to buy your Kappas, the farmers shall receive SMS alert and the same shall be uploaded on the website stating that ‘your crop was sold out’. After that, the farmers shall dispatch the same to the buyer mill with the help of ICSINDIA admin and the Farmers’ Franchise.

 

After receiving the crop from farmers, the Ginner shall take LYP% [Lint Yield Percentage] and quality parameters in Ginners Cluster Testing Franchise or on their own. The Ginner may conduct LYP test in front of farmer also. The details of the same shall be entered in website of ICSINDIA.COM and it shall be approved by farmers. Only then, the official receipt of crop with provisional pay out amount and dates shall be generated and it shall be counter signed by authorized signatory of Ginner as proof of receipt with quantity handover by farmer.

 

 

            As per actual test results of LYP & HVI test and the data available online, the Ginner shall enter the values in crop adding and the system will calculate EFCRR [Estimate Farmer Crop rate Report]. If length, strength and Rd values are more than the standard values, the crop rate shall get premium value and if Moisture, Trash, CG and +b, values are more than standard values, then crop rate shall be deducted automatically by the system. After that by clicking the calculate crop rate button, the system shall show all the options available. The Ginner shall guide the Farmer to select any of the options available with the consent of farmer, Ginner shall add such crop. After that, the farmer/ Farmers’ Franchise shall approve the LYP% from their home page and the system will generate crop receipt. The crop receipt shall be sent to the farmer and Ginner by SMS, mail and shall also be update in their respective pages.

 

            During the process of ginning, Ginner shall enter ICSINDIA.COM name, pressmark, lot no, bale no, actual weight, tare weight, net weight on bale either manually or through thermal jet printers. Ginner shall also collect one sample of each & every bale for HVI test report and take every 20 bales sample "geo tagging photo and video" as proof of sample collection and upload the same on the homepage for farmers. The samples handed over to Ginners testing franchise and the test report shall be uploaded in system and the system shall generate QR code for each and every bale. Such QR codes shall be pasted on the bales 4 sides so that buyer can view the actual quality report with Mobile QR scanner app.

 

            After completing ginning, Ginner-in-charge shall update the same in the website and the same shall be informed to the farmer through SMS. The farmers shall enter production output details of cotton seed and cotton lint in actual details section of allotted crops. They shall ensure that this quantity details matches with approved LYP%. The same has to be approved by Ginner-in-charge person. Based on such data, the average quality report of 100 bales shall be entered in HVI details and same has to be approved by Ginner-in-charge person. Once it is approved, both cotton seed and lint bales shall be listed for sales in admin page and Trade Terminal pages respectively. 

 

ICSINDIA Admin shall complete the sales of farmer crop seed. The system then generates TTN of seed sales and the same shall be updated in cotton seed sales link of Ginner homepage. Lint bales will be sold out in trade terminals and system will generate TTN and update the same in Lint bale sales & Dispatch link of Ginner homepage. Both TTNs will be informed to farmer by SMS and also by updating the same in farmer page.

 

            As per sale, Ginner will enter gate pass details and generate invoice. The same shall be approved by ICSINDIA Admin and the shall dispatch the goods of cotton seed, cotton lint bales as per allocated seed buyers, and cotton lint buyers after raising invoices. The said invoices shall be uploaded in system as proof of dispatch by the Ginner and only then the Ginner will get TTL release from admin and shall be allowed to add or buy fresh crop.

 

Then the seed buyer/ bale buyers shall make payment to admin and in turn the admin shall pay to farmer after deducting admin service charges, ginning expenses, GST amount and the amount already paid to the farmer. Required dates will be updated in farmer page and also informed to farmer by SMS.  

 

3. ICSINDIA AGREES TO:

 

1. Ensure smooth supply of kappas from farmers/ farmers’ franchise to the nearest ginning factory and vice versa.

 

1. The same shall be informed to farmers, ginners and farmers’ franchise by SMS and the same shall be updated in the homepage of farmer in their website.

 

1. Update standard live rates of cotton lint bales [28.5mm] rate in Rs/candy and cotton seed rate in Rs/quintal daily before 11.00AM.

 

1. Ensure that the standard values of Moisture, trash, length, strength, Mic, Rd, CG, +b will be available on their website.

 

1. Ensure that the Ginners shall take LYP% and the same to be intimated to the farmers by SMS alert and updating the same on their website.

 

1. Update the ruling ocean freight rates based on destination ports.

 

1. Update the service charges of admin and franchise service charges.

 

1. Update the currency value.

       

1. Ensure and fix quality claims, penalties and compensations as and when required.

 

1. Ensure smooth payments system for all stakeholders.

 

4. THE FARMER AGREES TO:

 

1. Register in the website of ICSINDIA, i.e., www.indiancottonsolutions.com or www.icsindia.com

 

1. Know the procedure of Farmer Franchises and Farmer Testing Franchises as to how they work.

                          

1. Know the procedure of ginning and the Ginner shall complete the ginning as per the stipulated time of one week of the crop receipt.

 

1. Know the procedure of 20% margin money or down payment in Farmer Direct crop sales

 

1. Dispatch/ deliver the goods on time to the allocated Ginner/ Ginning Mill

 

1. Know the compensation or penalty clause up to 20% if sold online and not delivered the kappas to the ginner in right time

 

5. Payment terms:

In case of MSP Sales, Normal Market Sales or Stock Option Sales/ Lint Bales against Kappas (LBAK), the payment shall be settled to the farmers by ICSINDIA on or before the fifteenth day from the crop receipt at the Ginning Mills without any margin money/ Bank Guarantee.

 

In case of Farmer Kappas Direct Sales, the payment shall be settled to the farmers by ICSINDIA on or before 7^th day from the trading day with 20% margin money condition.

 

6. PENALTIES:

In case of any omission of an act as mentioned above or commission of any wrongful act by any person, he shall be punished as per the provisions of Information Technology Act, 2000.

 

In case of any other omission of act as mentioned in this agreement, the penalty shall be specified on the website of ICSINDIA.

 

Note : For Farmer concept demo Videos please visit Youtube/Indiancottonsolutions.com there you can see demo videos no 11 to 22  total 12 demo Videos in English, Hindi and Telugu available.