DAIRY FARM PARTNERSHIP AGREEMENT
This agreement is made at Village Rurki, Tehsil Samrala on 2 April 2026.
BETWEEN
Harjinder Singh, of Village Rurki, Tehsil Samrala, District Ludhiana, mobile 98140-00000 (the "First Partner");
AND
Baldev Singh, of Village Bhatian, Tehsil Samrala, District Ludhiana, mobile 98140-00000 (the "Second Partner").
- 1. THE FIRM
1.1 The partners carry on the business of dairy farming, that is, keeping milch cattle and producing and selling milk and the animals' produce, in partnership under the name Rurki Dairy Farm (the "Firm"), at Village Rurki, Tehsil Samrala, District Ludhiana, from 1 April 2026.
1.2 The partnership has no fixed end date. It is a partnership at will, that either partner may end on the notice in clause 9.
- 2. WHAT EACH PARTNER PUTS IN
2.1 The First Partner puts into the Firm: 20 milch buffaloes valued at 18,00,000 rupees; the milking machine; cash of 2,00,000 rupees.
2.2 The Second Partner puts into the Firm: The shed and fodder store, and full-time labour.
2.3 Cattle and equipment put in as above become the property of the Firm, and the partners shall make a signed list of the animals, with their tag or ear numbers, and keep it with this agreement. Calves born, and animals bought out of the Firm's money, belong to the Firm.
2.4 The land and shed used by the Firm belong to the First Partner. The Firm has only the use of them for the dairy for as long as the partnership lasts. This agreement is not a lease, and gives the Firm or the other partner no tenancy or other right in the land. The partner who owns them keeps paying the land revenue and any levy on the land.
- 3. PROFIT AND LOSS
3.1 The profit of the Firm, after paying feed, fodder, medicine, veterinary and labour costs, electricity, repairs and other running costs, shall be shared: First Partner 60 per cent, Second Partner 40 per cent. Losses shall be borne in the same shares.
3.2 Each partner may draw ₹25,000 (Rupees Twenty Five Thousand only) a month on account of his share of profit. Any drawing above the profit due to him at the year-end shall be returned to the Firm.
- 4. RUNNING THE DAIRY
4.1 The day-to-day work shall be run by both partners together. Each partner shall give his time and effort to the Firm and shall not run a competing dairy business.
4.2 The milk shall be sold as follows: To the milk plant or co-operative society that collects at the village, and by retail to local customers. All sale money shall be paid into the Firm's bank account and not kept by one partner.
4.3 The Firm shall have a bank account in its own name, operated by both partners, or by either of them for sums up to a limit they agree in writing.
4.4 Neither partner shall, without the other's written consent, sell or pledge the Firm's cattle or equipment except in the ordinary course of the dairy, borrow in the Firm's name, or sign a contract for the Firm that binds it for more than one year.