 All NGOs to follow the guidelines given in NACO’s Procurement Manual  The following activities need consideration of procurement: Rent of office building – It is a service procurement. Rent agreement to be signed. Office furniture/audio visuals/computers/office stationary and consumables/STI drugs/ Needles & Syringes/ Lubricants/Condoms – It is goods procurement. Direct Contracting or Shopping Procedure as outlined in NACO’s Procurement Manual.

 Direct Contracting Low value, proprietary and specialist goods and services can be procured through single quotation  Shopping Quotation from three suppliers to be obtained for procurement of office equipment, consumables, lubricants, STI drugs, office furniture, audio video equipment, condoms, etc

 Preparing specifications of goods to be procured  Issuing quotation enquiry to minimum 3 prospective suppliers  Making comparative statement of the goods offered and evaluating substantial responsiveness/compliance of the goods to the required specifications and quantity  Issuing Purchase Order based on the above evaluation signed by the NGO head, PM and Accountant  Entering the goods received in the asset/stock register separately maintained by the project

 Drugs, up to financial limits prescribed in the NGO/CBO Guidelines to be procured by NGOs  All drugs procured should be manufactured from WHO-GMP certified manufacturer. List of such manufacturers is available in the above guideline.

 All purchases are duly authorized and approved before the goods and services are ordered  All goods received and services rendered are according to specifications and in quantities requested for  Liability for all purchases is accurately reflected in the books of account and suppliers are paid only in accordance with the agreed terms  Goods ordered are actually received into stores as maybe appropriate and relevant accounting records are updated accordingly  A stock register should be maintained for individual drugs at the main office and at clinic sites