Is a procurement letter the same as a contract

A procurement letter is not the same as a contract. Purchase letters and contracts are different documents. A letter of purchase is a formal written notification to a supplier of a purchase requirement, which generally includes the name of the item to be purchased, quantity, quality requirements, delivery time and payment method. A procurement letter is part of the procurement process and is similar to an RFQ. The contract is a formal document signed by both parties after reaching an agreement, which includes the description of the purchased items, quantity, unit price, delivery time, payment method, after-sales service commitment, breach of contract and dispute resolution. The contract is the last link in the procurement process, which has legal effect and protects the rights and interests of both parties. Therefore, the procurement letter and the contract are two different documents, but they are both essential components of the procurement process.