India - Haryana Agricultural Credit Project : Credit 0249 - Haryana Agreement - Conformed

CONFORMED COPY CREDIT NUMBER 249-IN Haryana Agreement (Haryana Agricultural Credit Project) BETWEEN THE STATE OF HARYANA AND INTERNATIONAL DEVELOPMENT ASSOCIATION DATED JUNE 11, 1971 CONFORMED COPY CREDIT NUMBER 249-IN Haryana Agreement (Haryana Agricultural Credit Project) BETWEEN THE STATE OF HARYANA AND INTERNATIONAL DEVELOPMENT ASSOCIATION DATED JUNE 11, 1971 Hiaryanau A~gemernt AGREEMENT, dated June 11, 1971, between Tm STATE oF HARYANA (hereinafter called Haryana) and INTERNA- TIONAL DEVELOPMENT AssoCIATION (hereinafter called the Association). WHEREAS (A) by a development credit agreement of even date herewith between India, acting by its President, (here- inafter called the Borrower) and the Association (herein- after referred to as the Development Credit Agreement), the Association has agreed to make available to the Bor- rower an amount in various currencies equivalent to twenty- five million dollars ($25,000,000), on the terms and condi- tions set forth in the Development Credit Agreement, but only on condition inter alia that Haryana agree to under- take such obligations toward the Association as hereinafter set forth; and (B) By an agreement of even date herewith between the Association, of the one part, and Agricultural Refinance Corporation, The Haryana State Co-operative Land Mort- gage Bank Limited and The Haryana Agro-Industries Cor- poration Limited, of the other part, Agricultural Refinance Corporation, The Haryana Co-operative Land Mortgage Bank Limited and The Haryana Agro-Industries Corpora- tion Limited, respectively, have agreed to undertake certain obligations in respect of the carrying out of the Project; and WHEREAs Haryana, in consideration of the Association's entering into the Development Credit Agreement with the Borrower, has agreed to undertake the obligations herein- after set forth; Now THEREFORE the parties hereto hereby agree as follows: 4 ARTICLE I Definitions SECTION 1.01. Wherever used in this Agreement, unless the context shall otherwise require, the several terms de- fined in the Development Credit Agreement and in the Gen- eral Conditions (as so defined) have the respective mean- ings therein set forth. ARTICLE II Particular Covenants SECTION 2.01. Haryana shall ensure that, at all times until the Closing Date, the Haryana Department of Agricul- ture has sufficient qualified technical staff available to pro- vide the LMB, Primary Banks and Participating Banks with necessary advice and assistance in connection with technical appraisal of wells to be sunk under the Project. SECTION 2.02. Haryana shall cause the Haryana Depart- ment of Agriculture to (a) establish three observation wells for each 100 shallow tubewells sunk under the Project and to monitor such observation wells once a month during the first year after sinking and quarterly thereafter, and (b) specially train two officers in sprinkler irrigation tech- niques. SECTION 2.03. Haryana shall enable the Association's representatives to inspect the Project and any relevant records and documents; and shall furnish or cause to be furnished to the Association all such information as the Association shall reasonably request concerning the Proj- ect, such services, and the operations and financial condi- tion with respect to the Project of the agency or agencies responsible for the carrying out of the Project or any part thereof. SECTION 2.04. Haryana and the Association shall co- operate fully to assure that the purposes of the Credit will 5 be accomplished. To that end, Haryana and the Association shall from time to time, at the request of either party, exchange views through their representatives wtih regard to the performance of their respective obligations under this Agreement, the Project, and other matters relating to the purpose of the Credit. SECTION 2.05. Haryana shall take all action which shall be necessary on its part to enable ARC, LMB and HAIC to perform their obligations under (i) the Project Agree- ment and (ii) the Subsidiary Loan Agreement in the case of ARC, and shall not take or permit any of its agencies to take any action which would prevent or interfere with the performance of any such obligations of ARC, LMB or HAIC, or of Participating Banks associated therewith. SECTION 2.06. Haryana and the Association shall promptly inform each other of any condition which inter- feres with, or threatens to interfere with, the accomplish- ment of the purposes of the Credit, or the performance by either of them of its obligations under this Agreement. ARTICLE III Effective Date; Termination; Cancellation and Suspension SECTION 3.01. This Agreement shall come into force and effect on the date upon which the Development Credit Agreement becomes effective. If the Development Credit Agreement shall terminate pursuant to Section 10.04 of the General Conditions, the Association shall promptly notify Haryana of this event and, upon the giving of such notice, this Agreement and all obligations of the parties hereunder shall forthwith terminate. SECTION 3.02. This Agreement shall terminate and all obligations of Haryana and the Association hereunder shall cease and determine on the date on which the Project Agreement terminates in accordance with its terms. 6 SECTION 3.03. All the provisions of this Agreement shall continue in full force and effect notwithstanding any par- tial cancellation or suspension under the Development Credit Agreement. ARTICLE IV Miscellaneous Provisions SECTION 4.01. Any notice or request required or per- mitted to be given or made under this Agreement and any agreement between the parties contemplated by this Agree- ment shall be in writing. Such notice or request shall be deemed to have been duly given or made when it -shall be delivered by hand or by mail, telegram, cable, telex or radio- gram to the Party to which it is required or permitted to be given or made at such party's address hereinafter speci- fied or at such other address as such party shall have desig- nated by notice to the party giving such notice or making such request. The addresses so specified are: For Haryana: Secretary to Government Haryana Agriculture Department Chandigarh India Cable address: Agrisec Chandigarh India For the Association: International Development Association 1818 H Street, N.W. Washington, D.C. 20433 United States of America Cable address: Indevas Washington, D.C. 7 SECTION 4.02. Any action required or permitted to be taken, and any documents required or permitted to be exe- cuted, under this Agreement on behalf of Haryana may be taken or executed by the Secretary to the Government of Haryana (Agricultural Production) or such other person or persons as Haryana shall designate in writing. SECTION 4.03. Haryana shall furnish to the Association sufficient evidence of the authority and the authenticated specimen signature of the person or persons who will, on behalf of Haryana, take any action or execute any docu- ments required or permitted to be taken or executed by Haryana pursuant to any of the provisions of this Agree- ment. SECTION 4.04. This Agreement may be executed in sev- eral counterparts, each of which shall be an original, and all collectively but one instrument. IN WITNESS WHEREOF, the parties hereto, acting through their representatives thereunto duly authorized, have caused this Agreement to be signed in their respective names and delivered in the District of Columbia, United States of America, as of the day and year first above written. THE STATE OF HARYANA By /s/ L. K. JHA Authorized Representative INTERNATIONAL DEVELOPMENT AssoCIATION By /s/ J. BURKE KNAPP Vice President