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Registration policy









SSI units not registered with NSIC applying for registration with South Central Railway should get themselves registered first with NSIC before approaching South Central Railway. SMALL SCALE INDUSTRIES REGISTERED WITH NSIC:

Under the scheme of automatic registration of SSI units registered with NSIC, any vendor who is registered as such with NSIC shall be granted registration with South Central Railway. While granting such registration, the following are observed/required.


1.A certificate is to be obtained invariably from the NSIC that the said SSI unit has been registered with them in accordance with the provisions laid down in DGS&D O.O. No.119 dt.16.8.1975.The registration will be granted for such trade groups as are covered by the products for which, the unit is registered with NSIC.

2.Such new registration will be allowed provisionally for a period of 2 years.

3.The monetary limit of the registration will be the same as that of NSIC registration.

4.For units seeking registration with a monetary limit over Rs.10 lakhs, ISO9000 certification will be mandatory.

5.If the monetary limit in theNSIC registration certificate states without any limit, then, for S.C. Railways registrationthe monetary limit would be fixed @Rs.25 lakhs.

6.A firm registered with NSIC seeking registration with S.C.Railway under the scheme has to route their application through their respective NSIC centre. Manufacturers other than small scale units i.e. Medium or Large Scale industries:

Registration would be done grading the firms.

a.Those capable of executing supply orders valuing each Rs.40 lakhs and above.

b.Those capable of executing supply orders valuing each Rs.10 lakhs to Rs.40 lakhs.

c.Those capable of executing supply orders valuing each Rs.5 lakhs to Rs.10 lakhs.

d.Those capable of executing supply orders valuing each above Rs.1 lakh upto Rs.5


e.Those capable of executing supply orders valuing upto Rs.1lakh.


The monetary limits would be fixed keeping in view the Bankers report, capacity and capability of the firm and other financial information indicated in the Balance Sheets and Profit & Loss Statements.


The firms would be pre-inspected by an Officer of at least Junior Administrative rank for assessing capacity-cum-capability including effective quality control.


Assistance from Inspection wing of Production Unit, CLW, DLW, ICF, CORE, RDSO and DGS&D/Govt. organizations DGS&D, RDSO, RITES may also be sought for, carrying out such pre-inspections.




3.1 Firms who are pre-inspected and considered fit for inclusion in approved list of one Railway, Production Unit, CLW, DLW, ICF, CORE, RDSO and DGS&D/Govt. organizations shall be considered for inclusion in the approved list of S.C Railway as well.While granting registration on S.C Railway on the basis of registration granted by Sister Railways, following are observed:

a) Such registration with sister railway/ Production Unit, CLW, DLW, ICF, CORE, RDSO and DGS&D/Govt. organization is current and valid.


b) Validity of registration of S.C Railway will not be beyond the date of validity of registration for sister railway/Production Unit.


c) Authenticity of registration of the firm would be verified with the sister railway/ Production Unit, CLW, DLW, ICF, CORE, RDSO and DGS&D/Govt. organization.


d) The monetary limit of registration on S.C Railway shall also be the same as that allowed by the sister railway/ Production Unit, CLW, DLW, ICF, CORE, RDSO and DGS&D/Govt. organization.


3.2 (a) Govt. organization shall be granted automatic registration subject to condition fulfilling normal requirements.


b) The monetary limit of Govt. organization shall be fixed based on theBankers report and Proft & Loss account and Balance sheet of the last 3 years.




4.1 As per extant instructions of Railway Board, the firms who are registered for supply orders valuing above Rs.1 lakh should invariably be a manufacturer or its authorized agent.Therefore the monetary limit of registration of firms who are not manufacturers or their authorized agents will be Rs.1 lakh maximum.For the purpose of registration with S.C.Railway, a vendor would be considered as an authorized agent if he qualifies the following criteria.


Where a manufacturer appoints an agent or a distributor on the basis of a written agreement with him for a specific territory or specific set of items, he shall give an undertaking to the following effect.

(1) that he does not have sufficient marketing arrangements in respect ofthe specified territory or set ofitems to participate in Central Government /DGS&D purchases.

(2) that he will accept responsibility for the satisfactory execution of orders placed on the authorizedagents/distributors.

(3) that he will provide requisite inspection and testing facilities at his works in respect of ordersplaced on authorized agents/distributors.

(4) that the authorized agents/distributors price will not exceed that which the manufacturer would have quoted.

(5) that he will be responsible for all the contractual obligations including quality aspects, replacement of part/items and warranty/guarantee.

(6) that he will be responsible for after sales-service.


4.2The following limits are to adhered to while considering/granting registration to Authorized agents or stockists :


a) While granting registration to an authorized agent, it is observed that the total no. of vendors under this category registered with S.C Railway does not exceed 15% of the total no. of vendors registered with S.C Railway.


b) For stockists, the above mentioned limit will be 5% maximum.


4.2.1 However,while dealing with such cases, the position with regard to total no. of vendors registered with S.C Railway at the point of time for trade groups for whicha particular authorized agent/stockist is seeking registration may also be kept in view.If it is seen that the existing registered vendor base for the trade groups in question is narrow then, on merits, such cases may be considered for registration even if the aforesaid 15%/5% percentages (which are on overall basis) get marginally exceeded. On the other hand if the existing vendor base for the trade groups in question is wide, the cases for new registration of authorized agents/stockists may not be considered.For the purpose of determining as to whether the existing vendor base is narrow or wide, the threshold figure is taken as ten.


4.3 Authorized agents seeking registration must furnish along with other prescribed documents, current and valid authorized dealership/agency certificate from therir principal manufacturers.


4.4 Trade groups for the registration aredecided on the basis of products for which authorized dealership/agency certificate (current and valid) of the relevant principal manufacturer has been furnished by the applicant vendor.Registration to these firms may be granted after their premises are inspected by deputing JA Grade Stores Officers for assessing capacitycum-capability.The monetary limit for the registration is fixed keeping in view the Bankers report, capacity and capability of the firm and other financial information indicated in the Balance Sheet, Profit & Loss Account etc..


4.5 Authorized dealers/agents who are already registered with sister railways/ Production Units are considered for registration for S.C Railway with the same condition as indicated in para 3.0.


5.0 STOCKISTS:Here the procedure would be same as outlined in paras 4.0 above.However, the monetary limit must not exceed Rs. 1 lakh.




a) Keeping in view the extant instructions of Railway Board, no registration for any Trade Group covering such material as are compulsorily to be procured from sources approved by CLW, DLW, ICF, CORE, RDSO, CEE, CME, CSTE of S.C Railway or any other nominated agency will be accorded to a firm unless they happened to be one of such approved sources.Here also, the registration is restricted to that trade group for which, the firm is an approved source.


b) The decision to depute a JA Grade Officer to inspect the firms premises shall be taken only when the applicant firm is found to be prima facie eligible for getting registrationwith the Railways as per the policy.



As per the existing practice in S.C Railway the following will be the competence level:


a) (i) for new registration in favor of firms registered with NSIC, Chief Materials Manager/G&A is the competent authority.

(ii) For renewal in favor of firms registered with NSIC, Dy.Chief Materials Manager/GP&S will be the competent authority.


b) For new registration and renewal of firms who are registered with sister railways/ production Units, Chief Materials Manager/G&A will be the competent authority.


c) For new registration of firms accorded on the basis of inspection by JAG Stores Officers of S.C Railway, Controller Of Stores will be the competent authority.However for renewal of registration in this category, Chief Materials Manager/G&A will be the competent authority.




All the new registrations will be provisional and valid for a period of 2 years only.




Registration of firms shall continue to be treated as provisional until the firm has executed at least one order satisfactorily.Therefore, at the time of considering the firm's application for renewal of registration if the firm does not secure and execute even one order satisfactorily during the first 2 years, the renewal will be considered on merit but on extended trial basis for another 2 years.If after the expiry of validity of such renewal, it is seen that the firm still has not secured and executed a single order satisfactorily, then show-cause notice would be served on them for deregistration.Further action in this direction is to be taken case-by-case basis and on merits.


9.1 If the firm executes at least one order satisfactorily during the period of provisional registration for 2 years, the renewal shall be granted for a period 3 years provided all documentary and procedural requirement are satisfied.


9.2 NSIC conducts review of their registration every 3 years and issues a certificate indicating the date of next review.Accordingly the date upto which the renewal of registration of NSIC registered units is granted shall not cross the aforesaid date of next review by NSIC.In case of bad performance by the firms registered with NSIC, they may be deregistered with show-cause notice on them after giving sufficient details to NSIC to act upon.



a) So far as NSIC registered firms are concerned the monetary limit may be the same as that in the NSIC registration certificate except those without any monetary limit for which, the same may be fixed at Rs.25 lakhs.


b) For the rest, the monetary limit may be fixed at 1/3 of average annual turnover for the last 3 years. This is also as recommended in the Project Report of GM/ICF/OSO/S.W.Railway.


c) It goes without saying that revision of monetary limit will be madeonly if the firm asks for it specifically.

BENEFITS FOR SSI units registered with NSIC

SSI units registered with NSIC enjoy the following benefits on production of documentary evidence:.


1.Application form for registration free of cost.

2.Exempted from registration fee.

3.Inspection of firm by Railways waived under the scheme of single point registration of NSIC.

4.Supply of tender sets free of cost for the items for which they are registered with NSIC.

5.Waiver of earnest money for the items for which they are registered with NSIC.

6.No Security Deposit up to monetary limit for which the unit is registered.

7.Price preference over the large scale units as per the extant rules.

8.Treated at par with those firms enlisted with this railway.


NOTE: The firms desirous of applying for registration can down load the application available hereunder and submit duly filled in along with relevant documents and cash receipt for an amount of Rs.100/- (towards Application form and Registration fee) obtained from the Chief Cashier, South Central Railway, Secunderabad.If the firm wants to apply by post they have to pay Rs.135/- by M.O, (Rs.100/- being application form and registration fee and Rs.35/- being postage).


In case of NSIC registered firms, their application should be submitted through NSIC along with Home Railway registration certificate.However in case of renewals of NSIC registered firms, Home Railway registration is not mandatory.


Furnishing of National Electronic Fund Transfer Form and (Class III)

Digital Signature Certificate are mandatory.


Any firm which does not come under the jurisdiction of South Central Railway, has to first get themselves registered with their Home Railway and then approach S.C.Raiway for registration.


Weekly Stores Bulletin charges are Rs.1200/- per annum.

Source : South Central Railway CMS Team Last Reviewed on: 21-03-2014  

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