Chemical Purchase Policy
It is the motto of chemical purchase Policy of Auto Textiles/ Washing Ltd. to procure dyes & chemicals in environmentally & eceonomically sustainable way. All possible impacts should be assessed before confirming any dyes/chemical procurement. Environmental health & safety of direct user group should be the first priority of this policy. The dyes & chemical management team must always look for newer innovations in chemical application through continuous Alternative Chemical Assessment. For the complete implementation of this policy, Auto Textiles Washing Ltd. will follow the norms of Bangladesh Environmental Conservation Rules (ECR’97). It will also comply the REACH & EPA standards as well as various buyers’ code of conduct like H&M, TESCO, and JULES etc. Implementing the policy, Auto Textiles Washing Ltd. will try to do its level best to procure safer dyes/chemicals which will ensure doing business in environmentally sustainable manner.
Chemical Purchase Procedure:
Chemical Purchase Initiation & Requisition:
After checking the present inventory & assessing the need of chemical/dyes, the concerned person/department will place requisition to Chemical Purchase system for desired chemical/dyes item. Actually this person/department primarily takes step to initiate the procurement procedure. This should be one of the prime concerns of Director Procurement & Sr. Manager (Production) to check the issues for keeping the inventory up to date & well functional. In some cases, Store Department can communicate with Director Procurement & Sr. Manager (Production) and asks for placing requisition. Before purchase chemical we need to flow safe chemical handling procedure and policy.
Chemical Procurement Criteria:
There must be a Chemical Procurement Body which will consider certain issues for procuring any dyes/chemical such as:
Recognized Suppliers: All the dyes/ chemicals should be procured from recognized world class manufacturers/suppliers. There should not be any compromise regarding the quality of dyes/chemicals if they are collected/procured from local suppliers.
Chemical Entity: The chemical must be recognized/legal entity i.e. the chemical/dyes item must not contain any substances which is banned by government & ECHA. The dyes/chemical industrial chemical suppliers must be able to provide all supporting documents such as Technical Data Sheet (TDS), Material Safety Data Sheet (MSDS), dyes/chemical label & others if applicable.
Impact Assessment: The possible impacts on direct user group & environment have to be assessed through back ground investigation & search in MSDS. Director Procurement or someone on behalf of him will try to figure out the possible impacts of target items of dyes/chemicals. Environmental responsible person can help in this issue as well.
Environmental Concern: Environmental well-being should always be the first priority during dyes/chemical selection & chemical purchase. Dyes/chemical with less environmental impacts should be prioritized.
Alternative Chemical Assessment: The Chemical procurement concerns must always look for newer innovations in chemical application so that the best available technologies can be adopted. After brining all the above mentioned issues into account, dyes/chemicals procurement/purchase should be approved.
Dyes/Chemical Supplier Selection:
Dyes/chemical can be procured from international suppliers as well as local supplier abiding national rules & regulations. Best available suppliers such as Dystar, Huntsman & CHT should be selected for quality dyes/chemicals.
How to Open Cash L/C
Dated : 31/01/2016.
To
The Manager,
Auto Bank Ltd.
Motijheel Branch,
Dhaka.
Sub: Request for opening cash L/C at 10% margin and balance taking facilities of LTR in favour of M/S MATEX INTERNATIONAL LTD. FOR USD: $ 36,285.00
Dear Sir,
We would like to inform you that we need to import chemical for fabric dyeing and to maintain the good quality of fabric against which we require to open L/C as a urgent basis. We also like to mention that the supplier is chasing for L/C to ship the goods as our urgent need. We also affirm that payment will be made from LTR facilities and Loan will be adjusted our related export proceeds or available FC-Held or FDCAD account no. 104576745439981 L/C opening charges are on our respective non chequing CD account of our company.
As such, we request you to kindly accord us permission to open L/C for USD $ 89,285.00
The relevant copy of proforma invoice and other documents are attached herewith for your kind information and necessary action.
Thanking you in anticipation.
Yours faithfully,
GM,
Abc Textile Ltd.
LAB Test of Sample dyes/chemicals:
Known dyes/chemicals from renowned industrial chemical suppliers are directly procured from supplier/manufacturers. On the other contrary, sample of new dyes/chemical must pass the in-house LAB test for new product development or to be nominated for final purchase. If the sample dyes/chemical cannot pass the LAB test equipment, it should be omitted from supplier/manufacturer list. The following in-house LAB test criteria is carried out before final selection:
Good color fastness to:
– Washing
– Water
– Light
– Perspiration
– Rubbing or crocking
Reproducibility in Dyeing:
– Shade
– Levelness
– Least Metamerism
Sensitivities in Finishing:
– Shade change during drying
– Thermo Migration
– Application of chemicals
In-house Laboratory will forward the test result to Director Procurement & Sr. Manager (Production). If the items pass the LAB test, they are selected for next procurement procedure. Nonconforming dyes/chemicals items should be omitted & chemical procurement concerns like Director Procurement & Sr. Manager (Production) will be looking forward for newer/better items.
Purchase Approval & Merchandising:
Collection of PI (Proforma Invoice): After considering the necessity & possible impacts of the dyes/chemicals, factory in charge & Sr. Manager (Production) will collect PIs from relevant suppliers & forward them to factory Managing Director (MD) for approval.
Approval for Purchase: If the Managing Director (MD) finds them worth buying, he will approve & forward the PIs to Commercial Department to proceed on.
Opening L/C: After receiving the approval for final chemical purchase, concerned Commercial Department will open L/C in favor of respective supplier.
Receiving Merchandise: In due time, concerned Store Department will receive the expected merchandises as per terms & conditioned mentioned in the L/C.
Local Purchase: In case of local purchase, after receiving the final approval from Managing Director (MD), the concerned Store Department will directly negotiate with local industrial chemical suppliers for merchandising.
Return of nonconformity items:
The dyes/chemicals which show nonconformities or cannot meet standard must be returned to concerned supplier as per terms & conditions. There should be clear negotiations about empty container management. It has to be ensured whether the industrial chemical suppliers take back the empty dyes/chemical containers or not.
Overall Communication & Implementation:
In case of dyes/ chemical purchase, technical expert like the factory in charge/ Director Procurement & Sr. Manager (Production) will responsible for overall communication (internal & external) & implementation. They will directly negotiate with dyes/chemical supplier/manufacturer & can decide the best option for the industry. In this regard, they can take steps to change/modify any formal procedure. If they face any drawbacks, they can call for meetings & council among themselves to break down the difficulties and take necessary correctional actions to step forward.
Trackbacks/Pingbacks