Document background
The Raw Material Supply Agreement is a vital commercial contract used to establish and govern the ongoing supply relationship between suppliers and buyers of raw materials in Malaysia. This document is essential when companies require a steady supply of materials for their manufacturing or processing operations, need to ensure consistent quality standards, and want to establish clear commercial terms. The agreement, governed by Malaysian law, typically includes detailed provisions on specifications, pricing, delivery, quality control, and compliance with local regulations such as the Sale of Goods Act 1957 and relevant industry standards. It's particularly important for businesses operating in manufacturing, industrial processing, or trading sectors where reliable access to raw materials is crucial for operations. The document helps manage supply chain risks, ensures regulatory compliance, and provides a clear framework for resolving potential disputes.
