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Contract Price Adjustment
(CPA) – 8 Things to Understand

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In line with SEIFSA’s mission, the Economic and Commercial (EC) Division’s aim is to enhance the profile of SEIFSA by providing input to the national discourse on economic, trade and commercial matters. This is aimed at generally improving business conditions in the metals and engineering (M&E) sub-industry of manufacturing. To this end, the division provides the following services:

  • Annual economic research and statistical analysis of the sector;
  • Overview of the domestic and international macro-economic environment and insightful industry market appraisals to SEIFSA member associations, the government and other key stakeholders;
  • Continuously update the Price and Index Pages (PIPS) (a flagship product for the metals and engineering sector), with the latest statutory and sector specific cost indices for relevant economic indicators including materials, services and labour. The PIPS indices are useful for cost tracking, benchmarking of standards and best practices, calculating of contracts (or tenders) price adjustments or escalation and for generally updating price lists;
  • Contract Price Adjustment (CPA) workshops where delegates are guided through the process of using the PIPS indices to substantiate price adjustments and how to use model formulas for computation of price adjustments; and
  • Ad hoc consulting services in industry related matters aimed at improving business savvy and operational excellence, including:

Tender conditions
International trade issues
Conducts Economic Impact Assessments
Investment advisory service
Assist companies with in-house strategic sessions
Business plans
Exports strategy documents
Economic advisory/seminar
Economic consulting

EC State of the metals
PIPS Update
EC Consulting Services