Document background
A Master Pricing Agreement is a fundamental commercial document used to establish and govern the pricing relationship between business parties operating in the UAE. This agreement type is particularly relevant for ongoing business relationships where multiple transactions are anticipated over time, and parties need a structured framework for pricing, payment terms, and price adjustments. The document complies with UAE federal and emirate-specific commercial laws, incorporating local business practices and regulatory requirements. It typically includes detailed pricing mechanisms, volume-based considerations, currency provisions, and may need to account for specific UAE free zone regulations where applicable. The Master Pricing Agreement serves as an umbrella agreement under which subsequent purchase orders or specific transactions can be executed, providing clarity and certainty in commercial relationships while maintaining flexibility for future adjustments.
