Requirements for direct contracting, Other Management

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Requirements for direct contracting

Let us now look at the requirements for direct contracting:

The requirement of direct contracting should be such that it can be justified on economic grounds.
No purpose would be served by inviting quotations as comparison is not possible.
Avoid losses in operation of a production unit or a project by making the equipment or material available.
Non-availability of a competitive market.
Existing Cooperative agreement between the parties involved.

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