Kaagazaat

Job-Work / Contract Manufacturing Agreement

At a glance

Price: Free, always.
Stamp duty: Stamp duty depends on what the paper does and on the Schedule to the Indian Stamp Act, 1899 as applied in Punjab and in Chandigarh.
Registration: Not compulsorily registrable unless it creates or transfers a right in immovable property (section 17, Registration Act, 1908); this paper is not meant to.
Witnesses: Not required by law, but two adult witnesses who are not parties, each writing name, address and ID reference beside the signature, make a later denial harder.

Free

Free, always.

Free: up to 5 documents a day.

Guided questions, full draft on screen, download in Word.

See all prices

Also called

job work agreement
contract manufacturing agreement
jobwork contract
processing agreement
third party manufacturing
loan licence manufacturing
conversion agreement
jobbing agreement

When you need it

A business in Punjab or Chandigarh (the principal) has goods made, finished or processed by another factory, workshop or unit (the job worker), to the principal's specification. Either the principal sends its own raw material or parts and pays a processing charge (job work), or the manufacturer buys the material and sells the finished goods at a price (contract manufacturing).

This agreement covers what is to be made, the specification and quality check, the rate, who supplies the material and who bears wastage, delivery, how the principal's material and moulds are kept safe, and the legal papers that must go with every movement. Two risks are handled in the text: the principal's materials and tools stay the principal's and cannot be held or sold by the job worker, and the job worker's own workers are the job worker's responsibility, not the principal's. Goods sent for job work also need a proper delivery challan and the return of the goods within the time the GST rules allow; those rules, and the time limits, should be confirmed with a tax professional. Not for buying ready goods from a supplier (use the Vendor Supply Agreement). Not for appointing a seller of your goods (use the Commission Agent or Distributor agreements). Not for construction or works contracts.

Whether you can fill this in here

You can fill this in here

You can fill this one in on this site, and read the whole draft on screen before you decide anything about it. It is a carefully drafted template; it is not advice about your own facts.

Fill this one in

See stamp duty, registration and witnesses

What follows is written for Punjab and Chandigarh. It states the position there rather than describing how it varies, so the amounts below are the ones that apply — worth confirming at the sub-registrar’s office, because rates change. If the property is anywhere else in India, none of this is yours.

Stamp duty

Stamp duty depends on what the paper does and on the Schedule to the Indian Stamp Act, 1899 as applied in Punjab and in Chandigarh. An agreement of this kind is usually charged as an agreement not otherwise provided for, at a modest fixed figure, but the figure is not stated here: confirm it on the official e-stamping portal or with the Sub-Registrar before buying the stamp. If a clause makes the paper in substance something else (a transfer of property, a lease, a power of attorney, a guarantee), it is charged as that. An under-stamped paper cannot be used as evidence until the deficit and penalty are paid.

Registration

Not compulsorily registrable unless it creates or transfers a right in immovable property (section 17, Registration Act, 1908); this paper is not meant to. Registration is optional if the parties want it.

Notarisation

Not required by law, and not a substitute for stamping. A notary only records that the signatories appeared and signed, which makes it harder to deny a signature later. Carry original photo ID.

Witnesses

Not required by law, but two adult witnesses who are not parties, each writing name, address and ID reference beside the signature, make a later denial harder.

Request Stamp Paper

Sample preview — placeholder answers, not your data

KAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASEDKAAGAZAAT SAMPLE — NOT PURCHASED

JOB-WORK / CONTRACT MANUFACTURING AGREEMENT

This Agreement is made at Chandigarh on 2 April 2026.

BETWEEN

Sethi Cycle Components Private Limited, of Plot 18, Focal Point, Ludhiana 141010, GSTIN 03AKJPI4432R1Z9, acting through Ravinder Sethi, Director (the "Principal");

AND

Sharma Forgings and Machining, of Unit 7, Industrial Area, Mandi Gobindgarh 147301, PAN AKJPI4432R, GSTIN 03AKJPI4432R1Z9, acting through Mohit Sharma, Proprietor (the "Job Worker").

1. THE WORK

1.1 From 1 April 2026 the Job Worker shall make or process for the Principal the following goods (the "Goods"): Machining and finishing of forged bicycle crank arms to the Principal's drawing no. SCC-114.

1.2 The Goods shall meet this specification: Drawing SCC-114 revision C, tolerance as marked, surface finish as on the approved sample kept with the Principal. The Job Worker shall not change the specification, the process or the material without the Principal's written approval.

1.3 The Principal expects to give about 5,000 pieces each month, by written work orders. That figure is an estimate to plan by. Only the quantity in an accepted work order binds the Principal.

1.4 The Job Worker shall deliver each work order within 15 days of receiving it, unless the work order states a different date.

2. MATERIAL, TOOLS AND WASTAGE

2.1 The Principal supplies the raw material and parts, which stay the Principal's property throughout, and the rate is a processing charge only.

2.2 All material, parts, dies, moulds, jigs, drawings and tools that the Principal gives the Job Worker remain the Principal's property. The Job Worker shall keep them separate and marked, use them only for the Principal's work, keep them insured or at its own risk against loss, theft and fire, not pledge, sell, lend or hold them against any claim, and return them on demand and on ending this Agreement. The Job Worker shall keep a stock register of them and let the Principal inspect it and the material on reasonable notice.

2.3 Wastage up to 2 per cent of the material issued for an order is allowed. The Job Worker shall account for any shortfall above that, caused by its fault or loss, at the Principal's cost price of the material, and scrap and offcuts belong to the Principal and shall be returned.

3. QUALITY, DELIVERY AND PAPERS

3.1 The Principal may inspect the Goods at the Job Worker's premises or on delivery. The Principal may reject Goods that do not meet the specification by written notice within 7 days of delivery, giving the reason. The Job Worker shall at its own cost rework or replace rejected Goods within a reasonable time, and the Principal need not pay for Goods that cannot be brought up to the specification.

3.2 Every movement of material or Goods between the Parties shall go with a proper delivery challan and the other papers the tax and transport laws require. The Parties shall follow the rules on goods sent for job work that are in force, including the time within which goods sent must be returned or accounted for, and each shall keep the records those rules require.

Questions about this document

Does the Job-Work / Contract Manufacturing Agreement need stamp paper or stamp duty in Punjab and Chandigarh?

Stamp duty depends on what the paper does and on the Schedule to the Indian Stamp Act, 1899 as applied in Punjab and in Chandigarh.

See the full position on stamp duty, registration and witnesses

Does the Job-Work / Contract Manufacturing Agreement need registration in Punjab and Chandigarh?

Not compulsorily registrable unless it creates or transfers a right in immovable property (section 17, Registration Act, 1908); this paper is not meant to.

See the full position on stamp duty, registration and witnesses

What does the Job-Work / Contract Manufacturing Agreement cost on Kaagazaat?

Free, always.

Does the Job-Work / Contract Manufacturing Agreement need witnesses?

Not required by law, but two adult witnesses who are not parties, each writing name, address and ID reference beside the signature, make a later denial harder.

See the full position on stamp duty, registration and witnesses

Often needed with this document

Back to Business & Startup