Procedure for concluding contracts for the wholesale sale of tobacco products
The procedure for concluding wholesale contracts for the sale of tobacco products
The procedure for concluding wholesale contracts for the sale of tobacco products (hereinafter referred to as the "Procedure") establishes the procedure for selecting participants in the wholesale trade of tobacco products produced by JSC JV “UZBAT A.O.” on the territory of the Republic of Uzbekistan.
Chapter 1. General provisions
1.1. This Procedure is developed based on the Law of the Republic of Uzbekistan "On Competition", the Law "On Regulation of the Distribution and Consumption of Alcoholic and Tobacco Products", the Law "On the Contractual and Legal Framework of Business Entities" and other legislative acts.
1.2. The purpose of this Procedure is to regulate the sale of tobacco products produced by JSC JV “UZBAT A.O.” in accordance with the requirements of the legislation of the Republic of Uzbekistan.
Chapter 2. General requirements for applicants wishing to engage in wholesale trade of products of JSC JV “UZBAT A.O.”
2.1. Companies engaged in wholesale trade of tobacco products produced by JSC JV “UZBAT A.O.” on the territory of the Republic of Uzbekistan must meet the following requirements:
a) Be registered as legal entities or individual entrepreneurs in the state register of the Republic of Uzbekistan.
b) Have confirmation of the receipt of notification regarding the commencement of wholesale and retail trade of tobacco products in accordance with the established legislation.
c) Not be in the process of undergoing procedures related to insolvency recognition.
Chapter 3. Special requirements for concluding a wholesale contract
3.1. Companies engaged in wholesale trade of tobacco products produced by JSC JV “UZBAT A.O.” on the territory of the Republic of Uzbekistan must meet the following special requirements:
a) Be registered in the "Asl belgisi" system.
b) Have an electronic digital marking system.
c) Have a warehouse facility that meets the requirements specified in Chapter 4 for the storage, receipt, and distribution of tobacco products in the area where wholesale trade is conducted.
d) Have at least two vehicles specifically intended for the transportation of tobacco products.
e) Unconditionally comply with the requirements specified in Appendix 1 to this Procedure in the process of conducting wholesale trade of tobacco products.
f) The presence of at least 10 sales representatives who have vehicles for product distribution.
Chapter 4. Requirements for the storage and transportation of tobacco products
4.1. The premises for storing tobacco products must have an area of at least 50 m² and simultaneously meet the following requirements:
4.1.1. The storage conditions for tobacco products must prevent their deterioration and quality changes, therefore, the storage facilities must be dry, clean, free of foreign odors, protected from moisture, with a temperature range of +5°C to +30°C and relative humidity from 50% to 70%.
4.1.2. Storing tobacco products together with items that may emit foreign odors or fragrances (e.g., perfumes, car tires, household chemicals, paints, etc.), as well as with products that may increase the risk of parasite contamination (e.g., spices, chocolate, and other food products), is strictly prohibited.
4.1.3. A separate space (room, pallet, shelf) must be allocated for the storage of tobacco products returned from trade, so that they do not come into contact with other goods.
4.1.4. The warehouse floor for storing tobacco products must be at least 50 cm above the ground level.
4.1.5. Boxes with tobacco products must be placed on a wooden floor or on stands (or other structures) that provide at least a 10 cm gap from the floor to allow air circulation.
4.1.6. Boxes with tobacco products must be arranged in such a way that the bottom box is not damaged, and the distance from the boxes to heat sources and walls should not be less than one meter.
4.1.7. The premises must be equipped with devices to measure temperature and humidity. Measurements must be taken daily and recorded according to the warehouse schedule.
4.1.8. Storage facilities for tobacco products must comply with all fire safety requirements, be equipped with fire-fighting equipment and alarm systems, and designated personnel must be responsible for ensuring compliance with fire safety rules.
4.1.9. Measures to control pests (such as ensuring doors are tightly closed, installing traps for tobacco pests, and monitoring them) must be implemented.
4.1.10. When products are stored on pallets, the stacking height must not exceed 3 meters; finished products must not be stored in more than two layers. The upper pallet must be placed on the lower one using a firm cushioning material. The reinforcing sleeves of the cardboard boxes must be positioned vertically, and open boxes must be placed only on the top layer of the pallet.
4.2. Requirements for the transportation of tobacco products must simultaneously meet the following conditions:
4.2.1. The applicant must have at least two vehicles, either owned or rented, intended for the transportation of goods.
4.2.2. Compliance with transportation standards, ensuring proper storage and safety of tobacco products during transportation.
4.2.3. The vehicles must be closed, dry, clean, and free of foreign odors.
4.2.4. Boxes loaded into the vehicles must be arranged in a way that prevents damage to the bottom boxes, and they must be securely fastened to ensure stability.
Chapter 5. Documents to be provided by the applicant
Applicants wishing to engage in wholesale trade of tobacco products produced by JSC JV “UZBAT A.O.” and meeting all the requirements set out in Chapters 2, 3, and 4 must submit the following documents in encrypted form via email to uzbat_info@bat.uz or in a sealed envelope to the following address: Tashkent, Yunusabad District, Minor Street, 77.
a) Certificate of registration of a legal entity or individual entrepreneur in the state register;
b) Certificate of registration of the cash register machine.
Confirmation of receipt of the notification regarding the commencement of wholesale trade of tobacco products;
c) A certificate from the Agency for Management of State Assets stating that no bankruptcy procedures have been applied to the applicant;
d)Information regarding the applicant’s ultimate beneficial owners, accompanied by supporting documents confirming their citizenship or status as stateless persons.
e) Document confirming registration in the "Asl belgisi" system;
f) Document confirming the availability of equipment for working with electronic digital marking;
g) Documents confirming the availability of warehouse facilities, retail points, and vehicles;
h) A guarantee letter confirming the applicant’s unconditional compliance with all requirements set forth in Appendix 1 of this Procedure for conducting wholesale trade of tobacco products.
Chapter 6. Procedure for considering the applicant’s request for concluding a wholesale contract
6.1. The request of the applicant wishing to engage in wholesale trade of tobacco products produced by JSC JV “UZBAT A.O.” will be considered by a special commission within 20 calendar days from the date of its submission. If additional time is required for the review, the applicant will be notified, and the review period may be extended.
6.2. During the consideration of the request, the special commission may verify the documents, if necessary, independently request information from state authorities, visit sites for inspection, involve employees of JSC JV “UZBAT A.O.” or other individuals and/or experts for necessary actions, and carry out other actions not prohibited by law to assess the compliance of the applicant’s requirements.
6.3. Based on the results of the review, the special commission will issue a conclusion regarding the approval or refusal to conclude a wholesale contract for the sale of tobacco products.
6.4. The special commission has the right to refuse to consider the request and provide a conclusion on the refusal to conclude the contract in the following cases: a) If the necessary documents and information are not provided in full;
b) If the applicant obstructs the representatives of the special commission from visiting the site or in any way hinders the inspection process;
c) If the request is withdrawn by the applicant before a decision is made.
6.5. The special commission may issue a conclusion on the refusal to conclude the contract based on the results of the review in the following cases:
a) If the applicant does not meet the requirements established in Chapters 2, 3, and 4 of this Procedure;
b) If the applicant has not provided all the documents specified in Chapter 5 of this Procedure;
c) If, at the time of receipt of the request (during the review and/or before a decision is made), JSC JV “UZBAT A.O.” is unable to produce additional products in accordance with its production and business plan.
d) In the event that the income of the applicant/beneficiaries is found to be linked to the legalization of criminal activities, financing of terrorism, or financing of the proliferation of weapons of mass destruction, and/or if international sanctions have been imposed against these individuals.
6.6. Before the special commission makes its conclusion, the applicant may submit additional documents related to their request.
6.7. The refusal of the special commission to conclude a wholesale contract does not deprive the applicant of the right to submit a new request.
6.8. A positive conclusion from the special commission serves as the basis for concluding a contract between the applicant and JSC JV “UZBAT A.O.” for the wholesale sale of tobacco products in the Republic of Uzbekistan.
Chapter 7. Final Provisions
7.1. The requirements established in this Procedure must be adhered to by the applicant throughout the entire period of wholesale trade of tobacco products produced by JSC JV “UZBAT A.O.”
7.2. After concluding the wholesale contract, the parties will agree on the procedure for modifying and terminating the contract within the terms of the contract itself.
7.3. JSC JV “UZBAT A.O.” will conduct continuous monitoring of the applicant’s compliance with the requirements set forth in this Procedure.
7.4. This Procedure has been agreed with the Committee for the Development of Competition and Protection of Consumer Rights of the Republic of Uzbekistan.
Appendix No. 1 to the Procedure for Concluding Contracts for Wholesale Tobacco Sales.
Requirements that must be strictly followed in the course of activities of enterprises engaged in wholesale trade of tobacco products manufactured by JSC JV “UZBAT A.O.”.
1. Carry out activities related to the transportation, storage, and distribution of tobacco products in accordance with the current legislation of the Republic of Uzbekistan and the Company's rules.
2. The place where tobacco products are sold must have warning signs about the dangers of tobacco use, as well as a notice that the sale of tobacco products to people under 21 is prohibited.
3. Wholesale and retail sale of tobacco products must be carried out using electronic invoices integrated with the system of the State Tax Committee of the Republic of Uzbekistan and the "Asl Belgisi" system.
4. A 100% prepayment must be made at least 5 days before the delivery of tobacco products.
5. Every six months, an order must be placed to purchase no less than 10 units of tobacco products, with at least 25,000 packs (consumer packs) ordered and purchased for each of these products.
6. Conclusion of a contract for at least 1 year and specification of the volume of tobacco products to be purchased during that year.
7. Compliance with the company's relevant sanction rules, anti-money laundering regulations, anti-corruption and bribery rules, anti-financial crime rules, as well as responsible marketing guidelines.
8. A guarantee letter regarding compliance with the company's sanctions rules (to be provided on a regular basis after the contract is concluded).