GOVERNMENT E-MARKETPLACE (Syllabus: GS Paper 3 - ECONOMY)

News-CRUX-10     30th March 2024        

Context: The Government e-Marketplace (GeM), an online platform for public procurement of goods and services, plans to seek the Centre’s approval to enable work contracts for construction and building projects.


Government e-Marketplace (GeM)

  • About: It is the national procurement portal of India.
  • Launched: in 2016
  • Nodal Ministry: Ministry of Commerce and Industry
  • Owned by: The platform is owned by GeM SPV (Special Purpose Vehicle) which is a 100% Government-owned, non-profit company under the MoC&I
  • Objectives: To facilitate procurement of goods and services by various government departments and organisations.
  • Organisation: Open to all organizations, including autonomous bodies, public sector businesses, and government departments.
  • Developed by: DGS&D with technical support from the National e-Governance Division (Ministry of Electronics and Information Technology)
  • Country of Origin Mandatory: Every time a new product is registered on GeM, sellers are required to list the Country of Origin.
  • Mandatory under rule: Procurement of goods and services by Ministries and the Central Public Sector Enterprises (CPSEs) is mandatory for goods and services available on GeM under Rule 149 of the General Financial Rules, 2017.
  • e-bidding and reverse e-auction: Provides tools of e-bidding and reverse e-auction to facilitate users to get best price for their goods.
  • Private players: Private players cannot purchase but can sell products to government through the portal.
  • Product and services categories: The portal features over 11,000 product categories with more than 29 lakh listed products, as well as over 270 service categories with more than 2.5 lakh service offerings.

Advantages of GeM:

  • Enhance seller access.
  • Provision of easy return policy.
  • Transparent and easy procurement.
  • New product suggestion facility available to sellers.
  • Price can be changed based on market conditions.
  • Seller friendly dashboard for selling and monitoring supplies and payments.