Swine raising contract - Thailand
At (Address)__________________
On (Date) ___________________
This contract is made between__________________ (Name), the authorized representative of __________________Co. Ltd., whose office is situated at __________________who will be called hereafter "the Employer" and (Name)__________________ , residing at __________________, village of __________________, Road_________, Sub-district________, District________, Province, who will be called hereafter " the Contractor."
Both parties have entered into this contract on the Terms, specified below:
9.1 The Contractor shall receive Baht 1.5 per kg. of the increased weight against the original weight of the piglets. The final weight of fattened swine will be calculated based on the actual weight of fattened swine ready for delivery less the weight of the discarded swine and the original weight of the piglets.
9.2 The Contractor shall receive a monetary incentive according to the Feed Conversion Ratio (FCR).
Total Weight of Feed Received - Total Weight of Feed Returned
FCR = _______________________________________________
Total Weight of Swine Delivered[Details are then specified]
9.3 If the combination of death rate and discard rate is lower than four percent, provided that the mature swine is in good health, the following incentive structure shall be applied:
If the sum of death rate and discard rate is between 0.00-0.99 percent,
Baht 900 will be given for the remaining swine.
If the sum of death rate and discard rate is between 1.00-1.99 percent,
Baht 700 will be given for the remaining swine.
If the sum of death rate and discard rate is between 2.00-2.99 percent,
Baht 500 will be given for the remaining swine.9.4 The conditions described under Item 9.3 above will be applied only if the death rate is lower than four percent. If the sum of death rate and discard rate is higher than four percent, the Contractor is not entitled to the incentive.
9.5 If the fattened swine is sick or unhealthy or its body weight is less than 70 kg., the Employer will discard such swine.
10.1 If there is a loss in the number of swine without reasonable cause, the following fine structure will be applied:
From 1 to 30 days after the start of the project, a fine of Baht 2 000 per swine
From 31 to 60 days, a fine of Baht 3 000 per swine
From 61 to 90 days, a fine of Baht 4 000 per swine
From 91 to date of delivery, a fine of Baht 5 000 per swine10.2 If the feed is lost, a fine of Baht 500 per sack will be levied.
10.3 If the record of feeding is lost, a fine of Baht 500 per document lost will be applied.
10.4 If the swine die due to in-fighting, being killed by an other animal or by man or by an unknown cause, the Contractor agrees to be fined as follows:
Weight of Fattening Swine x weight of dead swine - income earned from the sale of carcass
The price of the fattened swine is the current announced price of the Employer.
10.5 If the remaining swine feed is spoiled due to any causes resulting in fungus attack, wet granules, torn sack, etc., the Contractor agrees to be fined according to the prevailing price of the swine feed.
The above fine is only for the damage incurred and the Employer still withholds the right to prosecute the Employer.
The FCR rate is 0.06 higher than standard FCR, the fine of Baht 0.03 for every kilogram increased.
The FCR rate is 0.07 higher than standard FCR, the fine of Baht 0.06 for every kilogram increased.
[etc., etc.]
If a sack of the feed is lost due to any cause, the Employer will be fined in accordance with the condition described under item 10.2, except in the case that the representative of the Employer has given a written justification of the cause.
However, the Employer solely withholds the rights to terminate the contract. In case of termination, the Employer will give a one-month notice after each batch cycle.
This contract is made in duplicate with a copy retained by each party. Both the undersigned attest they thoroughly understand the terms of this contract in front of the witnesses.
Signed______________ |
(The Employer) |
Signed______________ |
(The Contractor) |
Signed______________ |
(The Witness) |
Signed______________ |
(The Wife) |
Signed______________ |
(The Witness) |
Signed______________ |
(The Witness) |
Signed______________ |
(The Witness) |
Signed______________ |
(The Witness) |
Source: Betagro Northern Agro-Industry, Chiangmai, Thailand, 1999.