Document background
The Master Procurement Agreement serves as a foundational document for establishing and managing long-term procurement relationships in the Philippines. It is particularly useful for businesses engaging in regular, repeated procurement activities where having a single overarching agreement is more efficient than negotiating individual contracts for each transaction. This agreement type complies with Philippine commercial law requirements while incorporating international best practices in procurement. The Master Procurement Agreement typically includes comprehensive terms covering ordering procedures, pricing mechanisms, quality standards, delivery requirements, and risk allocation, while also addressing specific Philippine regulatory requirements such as tax considerations and local business practices. It's designed to provide flexibility for various types of goods or services while maintaining consistent standards and procedures across all transactions.
