Thanks all I checked for the inputs as mentioned :
1, Sourcig is always carried out for all categories .
2. BADI bbp_src_determine is not implemented in the system
Hence the issue still remains when we try to order a SC after being approved it automatically changes to the indicator being set as Y and PO status as below becomes Cannot be ordeded
I checked with the customer and they are not rejecting the Cart as well .. not sure why it is happening ..