Question : PURCHASE OF ITEMS BY DGS AND D .

(a) whether the Government Departments are authorized to purchase items directly on DGS and D on rate-contract without obtaining the prior approval of DGS and D; and

(b) if so, the details of the instructions issued in this regard?

THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (SHRI JYOTIRADITYA M. SCINDIA)

(a) Yes Madam, As per the rules contained in the General Financial Rules-2005 issued by the Ministry of Finance, the Government Departments are authorized to purchase items directly on DGS&D Rate Contract without obtaining prior approval of DGS&D.

(b) The Rules are as under:-

Rule 141. Rate contract:
The Central Purchase Organisation (e.g. DGS&D) shall conclude rate contracts with the registered suppliers, for goods and items of standard types, which are identified as common user items and are needed on recurring basis by various Central Government Ministries or Departments. The Central Purchase Organisation will furnish and update all the relevant details of the rate contracts in its web site. The Ministries or Departments shall follow those rate contracts to the maximum extent possible.

Rule 147. Purchase of goods directly under rate contract:
(1) In case a Ministry or Department directly procures Central Purchase Organisation (e.g., DGS&D) rate contracted goods from suppliers, the prices to be paid for such goods shall not exceed those stipulated in the rate contract and the other salient terms and conditions of the purchase should be in line with those specified in the rate contract. The Ministry or Department shall make its own arrangements for inspection and testing of such goods where required.