Hoping to Contribute to the Spread of a Fair Supply Transaction Culture
The Korea Federation of SMEs announced on July 14 that it held a specialized "Supply Price Indexation System Briefing Session" for the construction industry at the Construction Hall, targeting more than 250 purchasing managers from DL Construction’s partner companies.
This was the seventh session, following previous indexation system training for partner companies of Korea Gas Technology Corporation, HDC Hyundai Development Company, and SEMES. The program covered the requirements and legal obligations for applying the supply price indexation system tailored to the characteristics of the construction sector, practical training on drafting indexation agreements, and calculating the proportion of raw materials.
Yang Chanhoe, Head of the Innovation Growth Division at the Korea Federation of SMEs, stated, "For the supply price indexation system to function effectively on site, it is important for both large and small companies to have a strong will and engage in active discussions regarding the conclusion of indexation agreements." He added, "We hope that this training for large company partners will enhance understanding of the overall system and contribute to the spread of a fair supply transaction culture."
As the "Supply Price Indexation System Expansion Support Headquarters" designated by the Ministry of SMEs and Startups, the Korea Federation of SMEs is supporting the on-site implementation of the indexation system through industry- and region-specific briefing sessions, on-demand consultations, cost analysis, and consulting support. This year, the federation is actively promoting tailored indexation system training and briefing sessions for large companies and public institution partners to increase the utilization of the system by businesses.
In addition, to support SMEs in concluding supply price indexation agreements, the federation is continuously recruiting companies to participate in the "Support Project for Concluding Indexation Agreements, Including Major Raw Material Verification." Support is provided in two areas: issuance of raw material proportion confirmation documents and indexation agreement consulting, both aimed at identifying whether major raw materials account for more than 10% of the supply price. Detailed information is available on the Korea Federation of SMEs website.
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