Old Line Trading Company - Reasonable Price for Liquid Chlorine

Baku / 06.03.20 / Turan: The management of Old Line Trading Company LLC made a statement in response to an article by the Turan agency “Azersu buys liquid chlorine at an overpriced price” dated March 3. The company believes that this information damages its reputation "by distorting and misrepresenting the facts."

“We are proud that open tenders for the supply of reduced chlorine are actually won by our company for the third year in a row on the basis of criteria such as the lowest price, the best payment terms, and experience in such deliveries due to the extreme toxicity of the supplied substance. Tenders were held with the participation of at least three applicants and in full compliance with the AR Law on Public Procurement, which ensured fair competition and protected the buying party from overpricing and other risks,” the statement says.

The tender for the supply of 1,380 tons of liquid chlorine in 2020 was won at the price specified in the article, which includes 18% VAT. The company’s statement emphasizes that comparing this price with the value declared upon import, which does not include 18% VAT, is inadequate and misleading. Accordingly, as noted in the company's statement, for the purposes of the proposed comparison, the sale price in 2020 is $ 682.35, and not $ 805.10.

The company claims that the 2020 tender was won at a price per ton 2.6% lower than the price for 2019. It is important to take into account that despite the fact that the manufacturing plant raised the price of chlorine by 20% from 2019, the offer of Old Line Trading Company was chosen by Azersu as the best with only a 12% increase.

The cost of deliveries is also affected by the often changing exchange rate of the Russian ruble. “In fairness, it should be noted that the purchase of reduced chlorine is carried out for volatile rubles, and the sale is paid in manat, which often negatively affects the profitability of these supplies.”

Further, the statement noted that the statement in the article that the contract value for 2019 was not disclosed was also not true, since the results of all public procurement tenders are published in the public domain. “It is also incorrect to say that more than 3.5 million manat was paid to our company during 2016-2018. During this period, the amount of all payments from Azersu is about 2.5 million manat. ”

“Based on the foregoing, the management of the Old Line Trading Company is forced to declare that the article does not reflect reality, damaging the image of the Old Line Trading Company, exposing the company as an unscrupulous supplier, and the client as an unscrupulous buyer. At the same time, we consider it important to note that we respect professional journalism based on the principles of impartiality, independence and reliability,” the statement summarized.

In turn, Turan news agency claims that the article “Azersu buys liquid chlorine at an overpriced price” was prepared on the basis of preliminary facts, and in no way aims at inflicting damage on the reputation of any company. The agency emphasizes that it is not addicted to any business entity, including Old Line Trading Company LLC. --08D—