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Direct contracting is another procurement method that is used under a limited number of exceptional circumstances. In Direct contracting method, contract for works or supply is made with a pre-identified contractor or supplier, who is considered capable of performing the contract satisfactorily. In this method, we do not invite open bids or quotations. It is best suited when there cannot be any delay in project or material required. For example, when there is an unexpected leak in a dam, we would want it to be fixed immediately. In such cases, we hand over the work to a pre-identified contractor as this is an emergency situation.
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