July 7, 2020

PPRA Rules on Procurement Procedures

Client Query 043:- Hello, wanted to discuss that a case for the procurement of an item received with estimated cost of PKR 90,000/-. In response 03 quotations were received. Lowest price was PKR 640,000/-. So now my question is that can we proceed for the issuance of Purchase Order?


Atif Bilal, Pakistan
Answer:- Thankyou very much for writing to us! As per your query, Rule 42 (b) of Public Procurement Rules, 2004 says that a procuring agency shall engage in Request for Quotations method of procurement only if the cost of object of procurement is below the prescribed limit of one hundred thousand rupees. Minimum three quotations are required to be obtained of the object having standard specifications. The object is to be purchased from the supplier offering the lowest price. If the cost of object increase the prescribed limit, then open competitive method is to be adopted. Hope this will help you!

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