Shish Industries (SIL) has announced the signing of a significant long-term commercial trade agreement with the USA-based entity, Best Construction Products Inc. (BCP). This agreement brings together SIL, a leading company specializing in the production and supply of construction, packaging, and thermal insulation related products, and BCP, a distinguished entity in the United States engaged in quality construction materials.
According to the agreement, SIL will provide a range of specified products essential for construction to BCP over a 5-year period, with a minimum value of USD 37.5 million (approximately Rs. 312 crores at present value). The parties have agreed upon a dynamic pricing structure based on raw material costs, actual freight charges, quality assurance, and other factors. The agreement also specifies the minimum annual purchase commitment by BCP and includes a 3% compensation for any shortfall, which is paid as an advance deposit to SIL.