E

+374 99 463565

Terms of cooperation

Introduction

Start a profitable and reliable partnership

“EvrikaGroup” Limited Liability Company (hereinafter referred to as the Company) has developed a set of rules to ensure the observance of fair trade principles and free economic competition in its relationships with partners. These rules establish the minimum requirements and principles for selecting products from potential suppliers, the conditions for product display within the commercial network, and the grounds for termination of supply relationships.


The rules are based on the laws adopted on January 16, 2024: the “Law on Amendments to the Law on Trade and Services” and the “Law on Amendments and Additions to the Law on Protection of Economic Competition.” These laws define general requirements for relations between commercial networks and suppliers, specify the information that must be published on the commercial network’s official website, clarify the essential terms of contracts with the network, and establish maximum payment deadlines that the network must observe toward suppliers.

  1. For the purpose of concluding supply agreements, when selecting products from potential suppliers, the Company is guided by the following minimum requirements for suppliers and products:
    1. Legal Requirements:
      1. The supplier is registered in accordance with the legislation of the Republic of Armenia as a legal entity or an individual entrepreneur.
      2. The supplier is not undergoing liquidation.
      3. The supplier has not been declared bankrupt, and no bankruptcy proceedings have been initiated against them.

    2. Product Requirements:
      1. The product is included in the list of product categories subject to sale, published by the Company.
      2. The products and their packaging must comply with all requirements set by the legislation of the Republic of Armenia and the EAEU. Containers and packaging must ensure the safety of products during transportation.
      3. Product labeling and packaging must comply with the requirements of current Armenian legislation.
      4. In cases provided by Armenian law, the product must contain a QR code.
    3. Product Pricing Requirements:
      1. The proposed price of the products must comply with the pricing policy applied within the Company’s commercial network, without significant deviations from the average prices of similar products sold by the Company.
      2. The proposed price of the products must ensure both the product’s marketability and the Company’s profitability (competitive price).
  2. Supplier and Product Selection Methods:
    1. At the initiative of the Company, or
    2. Through a relevant commercial offer submitted by a potential supplier, or
    3. Through a relevant commercial offer submitted by an existing supplier.
  3. A new supplier and product are engaged at the initiative of the Company when the commercial network submits a proposal to the relevant department to attract additional products for sale.
    1. The Company attracts additional products for sale through:
      1. Submitting a commercial offer to existing suppliers with whom it has contractual relations,
      2. Finding new suppliers and requesting a commercial offer for the delivery of their relevant products,
      3. The Company’s own efforts to engage additional products.
  4. When engaging new products, the Company may conduct various activities to obtain the best offers.
  5. An existing or potential supplier submits a cooperation offer to the Company.
  6. To thoroughly discuss and evaluate the supplier’s commercial offer, the Company may request additional information about the supplier and the products offered for sale, including samples for review and testing.
  7. The Company reviews the commercial offer within 15 business days after receiving it.
  8. If there is no relevant baseline data on the marketability of the products, the supplier may be asked to sell the product on a trial basis at one or several outlets of the commercial network, to better assess the potential. Trial sales do not constitute acceptance of the supplier’s offer.

  9. The Company rejects the commercial offer if it does not meet the minimum requirements for the supplier or the product.
  10. The Company has the right to reject an offer that meets minimum requirements if the maximum number of such products already displayed and sold in the commercial network has been reached, and there is no economic justification for expansion—considering space limitations or the inefficiency of working with more suppliers of the same product type.

  11. If the Company makes a negative decision, the supplier is duly informed.
    After the Company accepts the commercial offer, a relevant contract is signed and the product is supplied.

  12. After the Company accepts the commercial offer, a relevant contract is signed and the product is supplied.
  13. When selecting a supplier and product, the Company considers the following as advantages:
    1. Regarding the supplier:
      1. The supplier presents their own product for sale in the commercial network.
      2. The supplier has expressed willingness to discuss with the Company certain characteristics of the product such as appearance, size, labeling, etc.
    2. Regarding the product:
      1. Availability of international certifications attesting to product quality.
      2. Availability of certificates confirming that the product is produced in accordance with the rules of organic agriculture.
      3. Product labeling includes a barcode.
  14. The principles of selecting products from potential suppliers are the core provisions that guide the Company in organizing its activities and building its economic policy. These principles are:
    1. Non-discrimination
      Defining and applying non-discriminatory conditions in the process of establishing, maintaining, or terminating relationships with suppliers, except in cases where there is a reasonable and objective basis for differentiation due to economic circumstances (factors) or the status of a specific group.
    2. Reasonable selectivity
      The Company conducts thorough examination of commercial offers submitted by suppliers and their products in accordance with the regulations of the Law and this Procedure to ensure a well-founded selection.
    3. Transparency
      The Company publishes the requirements for suppliers and products, the selection process, and application procedures on its website, ensuring that all conditions and procedures for cooperation are known to all suppliers.
    4. Mutual economic benefit
      When selecting suppliers and products, the economic benefit of both the Company and the supplier is taken into account. No party may be imposed conditions that are unfavorable, or that violate the principles of economic freedom and fair competition.
    5. Uniform requirements and standards
      The selection of suppliers and products is carried out based on uniform criteria for all, aimed at ensuring economic efficiency. Refusal to conclude a contract is not allowed on grounds not provided for by the legislation of the Republic of Armenia and this Procedure.

  1. The Company has the right to unilaterally terminate the supply agreement with the supplier if:
    1. The supplier does not meet the minimum requirements set out in these rules.
    2. The supplier has committed a violation of the obligations defined in the agreement with the Company that has negatively impacted the Company’s competitiveness or economic activity.
  2. The Company has the right to refuse the product included in an active supply agreement if:
    1. The product does not meet the minimum requirements set out in these rules.
    2. The product no longer ensures the minimum sales level required for such products.
    3. There is negative feedback from consumers regarding the product.
    4. The product, its packaging, labeling, or trademark violates the requirements of RA legislation or the rights and interests of others.
    5. In other cases, where the sale of the product would result in the deterioration of the Company’s economic activity.
  1. The display of products in the retail network is organized through shelves, stands, refrigerators, and other designated areas intended for product presentation.
  2. In accordance with the principles defined by these rules, the Company ensures equal opportunities for suppliers to display products, taking into account the following characteristics:
    1. Sales performance of the products in the retail network.
    2. Number of items from the given product assortment to be displayed.
    3. Physical characteristics related to displaying the specific product.
    4. Appearance, size, weight of the product, and its compatibility with other products on the same shelf.
  3. The Company has the right to charge suppliers additional fees for product display or to receive discounts on the supplied products.
  4. In exchange for additional payments or discounts, the Company offers suppliers additional marketing services, including:
    1. Installation of stands, refrigerators, or pallets with the supplier’s trademark, advertisement, or other visuals in the Company’s retail network.
    2. Placement of the supplier’s trademark, advertisement, or visuals on shopping carts, baskets, or plastic bags.
    3. Organization and implementation of promotions, promotional campaigns, tastings under the terms and conditions specified by the supplier within the Company’s retail network.
    4. External advertising of suppliers, placement of banners, distribution of flyers and brochures in the Company’s network.
    5. Other marketing activities.
  5. When determining the amount of the fee for display in shelves or other areas, the basis includes the location, position, surface area allocated for the product, and other factors directly influencing the product’s sales potential.

  1. Below is the list of product types subject to sale:
    1. Food Products
      • Alcoholic beverages
      • Non-alcoholic beverages
      • Juices and water
      • Grains and cereals
      • Confectionery
      • Eggs
      • Canned products
      • Fresh and frozen meat products
      • Dairy products
      • Ice cream
      • Baby food
      • Diabetic food
      • Tea, coffee, cocoa
      • Bakery products
      • Pastry products
      • Pet food
      • Fruits and vegetables
    2. Non-Food Products
      • Household chemicals
      • Household goods