Hi Akhil,
Steps required are:
1) Create contract type (quantity contract) from the SPRO path.
SPRO->Sales and Distribution->Sales->Sales Document->Sales Document Header->Define Sales Document Type
2) Then create customer using TA XD01 for which contract document will be processed
3) Create material which should have procurement type F (External Procurement) in MRP2 tab view.
4) Create sales contract using TA VA41 for the customer you created
5) Now Create sales order using VA01 with reference to the contract
6) Run MRP using TA /AFS/MD02 it will generate a planned order
7) Convert the planned order to purchase requisition in MRP run TA /AFS/MD02
Thanks,
Utkarsh
