Government e-Market Place
Government e-Market Place (GeM) is an online platform for public procurement in India, where common user goods and services can be procured.
Updated: November 10, 2024
Government e-Market Place:
Government e-Market Place (GeM) is an online platform for public procurement in India, where common user goods and services can be procured.GeM is dynamic, self sustaining and user friendly portal where Government officers can make procurement .
Some facts about Government e-Market Place:
- The Ministry of Commerce and Industry, Government of India has taken the initiative on August 9, 2016 with the objective to create an open and transparent procurement platform for government buyers.
- Online procurement of goods and Services are facilitated in this portal
- The purchases through GeM by Government users has been authorized and made mandatory by adding a new Rule No. 149 in the General Financial Rules, 2017 by the Ministry of Finance.
- The platform is owned by GeM SPV (Special Purpose Vehicle) which is a non-profit company owned by Government under the Ministry of Commerce and Industries, Government of India.
- The Directorate General of Supplies and Disposals (DGS&D) is replaced by GeM in 2016.
- GeM is a contactless, paperless and cashless online marketplace that has brought in the visibility and transparency in public procurement since its inception.
- Public procurement in India has been transformed by the GeM portal by driving its three pillars, namely, inclusion, usability and transparency and efficiency and cost savings.
- The average savings for buyers in Government e Marketplace portal is about 9.75 percent on the median price according to an independent assessment made by the World Bank.
- It is mandatory for sellers to display the 'country of origin' on products to be sold on GeM portal.
- The main aim of this platform is to increase transparency, efficiency and speed in public procurement along with inclusion.
- All modes of procurement, such as, direct purchase, e-bidding, bidding are provided with reverse e-auction and direct reverse auction in this portal.
- Economies of scale, efficient price discovery and dissemination of best practices can be enabled by this digital platform.
- Public Sector Enterprises and State Governments can also purchase from GeM.
- Procurement of goods and services is done by the Government Ministries and Departments, Public Sector Undertakings and other apex autonomous bodies of the Central Government in Government e-Marketplace portal.
- The portal can be accessed at https://gem.gov.in/
- All Central government and State Government Ministries and Departments including its attached/subordinate offices, Central and State Public Sector Units and local bodies, Central and State autonomous bodies are authorized to make procurement using GeM portal.
- Authorized officers of the rank of Deputy Secretary and Equivalent or Head of the Office at Sub Center, Unit, Branch of Government Organization, PSU, Constitution Bodies, Autonomous Bodies, Local Bodies, Statuary Bodies can register as Primary User on GeM.
- A Primary User needs to register on GeM portal for using GeM portal.
- Aadhaar number of the user, mobile number which is linked with Aadhaar, email ID ending with gov.in/nic.in/gembuyer.in and verifying authority details such as name, mobile number and email ID ending with gov.in/nic.in is required for the registration on GeM.
Goods up to what value can be purchased on GeM?
- Government buyers can make direct online purchases up to Rs. 25,000 from any supplier available on GeM, provided the required quality, specifications, and delivery timelines are met.
- The procuring authorities will certify the reasonableness of the rates.
- For products and services between Rs. 25,001 and Rs. 5,00,000, purchases can be made from the GeM seller offering the lowest price among at least three different manufacturers who meet the required quality, specifications, and delivery timelines.
- If approved by the competent authority, the buyer may use the online bidding or reverse auction tools available on GeM for this range.
- The reasonableness of rates will also be certified by the procuring authorities in this case.
- For products and services above Rs. 5,00,000, procurement is done by selecting the supplier with the lowest price that meets the required quality, specifications, and delivery timelines, following a mandatory bidding process.
- The online bidding or reverse auction tool on GeM can be used for purchases in this category.
How to make purchase on GeM?
- Login as Primary user/HoD in GeM portal using the link https://gem.gov.in/register/buyer/signup.
- Create secondary users (Buyer/Consignee/PAO/DDO) after clicking on Manage users tab available in Dashboard on completion of verification.
- Buyers need to select and cart the product as per the requirement through application of various filters.
- Filters need to be selected carefully to define the requirement without adversely affecting competitiveness.
- Buyers can create demand, generate sanction order and generate contract.
- Seller will deliver the Goods/ Services to consignee within stipulated delivery date and generate on-line invoice on GeM portal once order is placed.
- Consignee need to login after receipt of Items.
- Provisional receipt Certificate (PRC) will be generated within 48 hrs of receipt of stores.
- Consignee Receipt and Acceptance Certificate (CRAC) will be generated within 10 days of receipt of stores.
- Bill processing will be done by buyer within 2 days of generation of CRAC by consignee.
- Bill will be forwarded to PFMS by DDO within one day of on-line receipt of bill from Buyer against e-signed Consignee's Receipt and Acceptance Certificate (CRAC), in case of central government organizations paying through PFMS.
- Payment will be made by PAO from PFMS within 2 days of receipt of bill from DDO.
- Total time limit for payment is 10 days from date of generation of CRAC.
- Buyer can also forward all documents for payment to Paying Authority and Payment to be released by Paying Authority / PAO within 10 days of generation of Consignee’s Receipt, in case of users paying through SBI e-pay or Other mode of Payment.
What is online marketplace?
Online marketplace, often known as an electronic marketplace is an e-commerce site that connects sellers with buyers.It is managed by the website owner and is used by companies to reach customers who want to purchase their products and services.
Types of e-marketplace:
e-marketplace can be broadly divided into categories based on a range of business model and on the way in which they are operated. These include:
Independent e-marketplace:
Usually, an independent e-marketplace is a business-to-business online platform that is operated by a third party and is open to buyers or sellers in a particular industry. You can access classified ads or requests for quotations or bids in your industry sector by registering on an independent e-marketplace.Typically, there will be some form of payment required to participate.
Buyer-oriented e-marketplace:
An efficient purchasing environment is established with a buyer-oriented e-marketplace which is normally run by a consortium of buyers.Participating in this type of e-marketplace can help you lower your administrative costs and achieve the best price from suppliers if you are looking to purchase.You can use a buyer-oriented e-marketplace as a supplier to advertise your catalogue to a pool of relevant customers who are looking to buy.
Supplier-oriented e-marketplace:
Supplier-oriented e-marketplace, also known as a supplier directory, is set up and operated by a number of suppliers who are seeking to establish an efficient sales channel through the internet to a large number of buyers.These suppliers are usually searchable by the product or service being offered.Buyers are provided with the information about suppliers for markets and regions they may not be familiar with, in Supplier directories.These types of marketplace can be used by sellers to increase their visibility to potential buyers and to get leads.
Vertical and horizontal e-marketplaces:
Online access is provided to businesses vertically up and down every segment of a particular industry sector such as automotive, chemical, construction or textiles in Vertical e-marketplaces.You can increase your operating efficiency and help to decrease supply chain costs, inventories and procurement-cycle time by buying or selling using a vertical e-marketplace for your industry sector.Buyers and sellers are connected across different industries or regions with a horizontal e-marketplace.A horizontal e-marketplace can be used to purchase indirect products such as stationery or office equipment.
Advantages of GeM for Buyers:
- It includes a comprehensive listing of products for specific categories of Goods and Services.
- Facilities for searching, comparing, selecting, and buying are available.
- Buyers can purchase Goods and Services online whenever needed.
- The portal is transparent and easy to use for purchasing.
- A continuous vendor rating system is in place.
- A user-friendly dashboard is available for buying and tracking supplies and payments.
- It also offers a straightforward return policy.
Advantages of GeM for Sellers:
- Sellers will have direct access to all Government departments.
- One stop shop for bids / reverse auction on products and services as well as for marketing with minimal efforts.
- New Product Suggestion facility is available to Sellers.
- Price can be changed based on market conditions with dynamic pricing facility.
- A seller friendly dashboard is provided for selling and monitoring of supplies and payments.
- Seller can have a consistent and uniform purchase procedures.
Facilities of GeM:
- Listing of products is available for specific, designated categories of commonly used Goods and Services.
- A facility for viewing, estimating, comparing, and buying is provided on a dynamic pricing basis.
- Most common user items can be purchased through the marketplace buying option.
- Goods and Services can be bought online as needed.
- A single-window system is in place to aggregate demand and manage ordering.
- Purchasing Goods and Services is simplified with transparency at every step.
- It is beneficial for both low-value purchases and bulk purchases at competitive prices through Reverse Auction or e-bidding.
- A continuous vendor rating system is provided.
- A user-friendly dashboard is available for monitoring purchases, supply status, and payments.
- The return policy is straightforward and convenient.
Features of GeM:
- Human interface in vendor registration, order placement and payment processing, can be eliminated to a great extent by using GeM.
- No entry barriers can be offered to bonafide suppliers who wish to do business with the Government as it is an open platform.
- SMS and e-Mail notifications are sent to both buyer, his/her head of organization, paying authorities as well as sellers at every step.
- Online, cashless and time bound payment on GeM is facilitated as it can be integrated with PFMS and State Bank Multi Option System (SBMOPS).
- Web-services integration is being extended to payment systems of Defence, Railways, major PSUs and State Governments.
- It has given confidence to the vendors and reduced their 'administrative' cost involved in pursuing officers for timely payment through seamless processes and online time-bound payment, which is also mandated by the Department of Expenditure.
Initiatives of GeM:
- The dedicated web page for bamboo products and quality planting materials was launched on the GeM portal in June 2021 by the Union Minister of State for Agriculture & Farmer’s Welfare, Shri Parshottam Rupala, under the name “The Green Gold Collection.â€
- The GeM SAHAY app, available on Google Playstore, was launched in June 2021 to assist proprietors in fulfilling large-scale orders by enabling them to secure loans against their purchase orders.
- GeM announced a new product category, Green Room Air Conditioners, on its portal as part of a nationwide sustainability drive.
- Sellers of Green ACs were onboarded on GeM, and the category was launched on World Environment Day.
- A dedicated page for COVID-19 products was launched on GeM in June 2021, supporting emergency requirements for oxygen cylinders, concentrators, kits, and more.
- The portal for onboarding sellers with disabilities was opened under the initiative “Divyangjan Entrepreneurs†as a mark of inclusivity on GeM in June 2021.
- The Unified Procurement System for goods and services, integrating the Central Public Procurement Portal (CPPP), was launched in October 2020 with GeM, featuring tools like 'GeM Availability Report and Past Transaction Summary' and 'Custom Bids.'
- GeM Samvaad, a two-month national outreach program, was launched in December 2019 to onboard sellers and address specific buyer requirements and procurement needs.
- The GeM Start-up Runway was launched in April 2019 to enable startups to offer innovative products and services to government users.
- SWAYATT, an initiative to promote Startups, Women, and Youth Advantage through eTransactions on the GeM portal, was launched by the Union Minister of Commerce & Industry and Civil Aviation, Suresh Prabhu, in February 2019.
- The Union Government introduced “Womaniya on Government eMarketplace†on January 14, 2019, to empower women entrepreneurs and Women Self-Help Groups to sell handicrafts, handlooms, and accessories directly to government departments.
- The National Mission on GeM (NMG) was launched by Commerce and Industry Minister Suresh Prabhu on September 5, 2018, to drive the adoption and use of GeM across major central ministries, states, UTs, and their agencies, including CPSUs, PSUs, and local bodies.
Awards and recognition:
- The South Asia Procurement Innovation Award is given to Government e-Marketplace by the World Bank in 2016.
- It was honoured with Digital India Platinum Award for 'Exemplary Online Service' by the Ministry of Electronics and Information Technology (MeitY), in 2018.
- The portal was also nominated for the United Nation's ITU WSIS Prize.
- The Hindu Business Line Changemaker Award for Digital Transformation was won by the company in March 2020.
- The Ministry of Commerce and Industry, Government of India has taken the initiative on August 9, 2016 with the objective to create an open and transparent procurement platform for government buyers.
- Online procurement of goods and Services are facilitated in this portal
- The purchases through GeM by Government users has been authorized and made mandatory by adding a new Rule No. 149 in the General Financial Rules, 2017 by the Ministry of Finance.
- The platform is owned by GeM SPV (Special Purpose Vehicle) which is a non-profit company owned by Government under the Ministry of Commerce and Industries, Government of India.
- The Directorate General of Supplies and Disposals (DGS&D) is replaced by GeM in 2016.
- GeM is a contactless, paperless and cashless online marketplace that has brought in the visibility and transparency in public procurement since its inception.
- Public procurement in India has been transformed by the GeM portal by driving its three pillars, namely, inclusion, usability and transparency and efficiency and cost savings.
- The average savings for buyers in Government e Marketplace portal is about 9.75 percent on the median price according to an independent assessment made by the World Bank.
- It is mandatory for sellers to display the 'country of origin' on products to be sold on GeM portal.
- The main aim of this platform is to increase transparency, efficiency and speed in public procurement along with inclusion.
- All modes of procurement, such as, direct purchase, e-bidding, bidding are provided with reverse e-auction and direct reverse auction in this portal.
- Economies of scale, efficient price discovery and dissemination of best practices can be enabled by this digital platform.
- Public Sector Enterprises and State Governments can also purchase from GeM.
- Procurement of goods and services is done by the Government Ministries and Departments, Public Sector Undertakings and other apex autonomous bodies of the Central Government in Government e-Marketplace portal.
- The portal can be accessed at https://gem.gov.in/
- All Central government and State Government Ministries and Departments including its attached/subordinate offices, Central and State Public Sector Units and local bodies, Central and State autonomous bodies are authorized to make procurement using GeM portal.
- Authorized officers of the rank of Deputy Secretary and Equivalent or Head of the Office at Sub Center, Unit, Branch of Government Organization, PSU, Constitution Bodies, Autonomous Bodies, Local Bodies, Statuary Bodies can register as Primary User on GeM.
- A Primary User needs to register on GeM portal for using GeM portal.
- Aadhaar number of the user, mobile number which is linked with Aadhaar, email ID ending with gov.in/nic.in/gembuyer.in and verifying authority details such as name, mobile number and email ID ending with gov.in/nic.in is required for the registration on GeM.
- Government buyers can make direct online purchases up to Rs. 25,000 from any supplier available on GeM, provided the required quality, specifications, and delivery timelines are met.
- The procuring authorities will certify the reasonableness of the rates.
- For products and services between Rs. 25,001 and Rs. 5,00,000, purchases can be made from the GeM seller offering the lowest price among at least three different manufacturers who meet the required quality, specifications, and delivery timelines.
- If approved by the competent authority, the buyer may use the online bidding or reverse auction tools available on GeM for this range.
- The reasonableness of rates will also be certified by the procuring authorities in this case.
- For products and services above Rs. 5,00,000, procurement is done by selecting the supplier with the lowest price that meets the required quality, specifications, and delivery timelines, following a mandatory bidding process.
- The online bidding or reverse auction tool on GeM can be used for purchases in this category.
- Login as Primary user/HoD in GeM portal using the link https://gem.gov.in/register/buyer/signup.
- Create secondary users (Buyer/Consignee/PAO/DDO) after clicking on Manage users tab available in Dashboard on completion of verification.
- Buyers need to select and cart the product as per the requirement through application of various filters.
- Filters need to be selected carefully to define the requirement without adversely affecting competitiveness.
- Buyers can create demand, generate sanction order and generate contract.
- Seller will deliver the Goods/ Services to consignee within stipulated delivery date and generate on-line invoice on GeM portal once order is placed.
- Consignee need to login after receipt of Items.
- Provisional receipt Certificate (PRC) will be generated within 48 hrs of receipt of stores.
- Consignee Receipt and Acceptance Certificate (CRAC) will be generated within 10 days of receipt of stores.
- Bill processing will be done by buyer within 2 days of generation of CRAC by consignee.
- Bill will be forwarded to PFMS by DDO within one day of on-line receipt of bill from Buyer against e-signed Consignee's Receipt and Acceptance Certificate (CRAC), in case of central government organizations paying through PFMS.
- Payment will be made by PAO from PFMS within 2 days of receipt of bill from DDO.
- Total time limit for payment is 10 days from date of generation of CRAC.
- Buyer can also forward all documents for payment to Paying Authority and Payment to be released by Paying Authority / PAO within 10 days of generation of Consignee’s Receipt, in case of users paying through SBI e-pay or Other mode of Payment.
- It includes a comprehensive listing of products for specific categories of Goods and Services.
- Facilities for searching, comparing, selecting, and buying are available.
- Buyers can purchase Goods and Services online whenever needed.
- The portal is transparent and easy to use for purchasing.
- A continuous vendor rating system is in place.
- A user-friendly dashboard is available for buying and tracking supplies and payments.
- It also offers a straightforward return policy.
- Sellers will have direct access to all Government departments.
- One stop shop for bids / reverse auction on products and services as well as for marketing with minimal efforts.
- New Product Suggestion facility is available to Sellers.
- Price can be changed based on market conditions with dynamic pricing facility.
- A seller friendly dashboard is provided for selling and monitoring of supplies and payments.
- Seller can have a consistent and uniform purchase procedures.
- Listing of products is available for specific, designated categories of commonly used Goods and Services.
- A facility for viewing, estimating, comparing, and buying is provided on a dynamic pricing basis.
- Most common user items can be purchased through the marketplace buying option.
- Goods and Services can be bought online as needed.
- A single-window system is in place to aggregate demand and manage ordering.
- Purchasing Goods and Services is simplified with transparency at every step.
- It is beneficial for both low-value purchases and bulk purchases at competitive prices through Reverse Auction or e-bidding.
- A continuous vendor rating system is provided.
- A user-friendly dashboard is available for monitoring purchases, supply status, and payments.
- The return policy is straightforward and convenient.
- Human interface in vendor registration, order placement and payment processing, can be eliminated to a great extent by using GeM.
- No entry barriers can be offered to bonafide suppliers who wish to do business with the Government as it is an open platform.
- SMS and e-Mail notifications are sent to both buyer, his/her head of organization, paying authorities as well as sellers at every step.
- Online, cashless and time bound payment on GeM is facilitated as it can be integrated with PFMS and State Bank Multi Option System (SBMOPS).
- Web-services integration is being extended to payment systems of Defence, Railways, major PSUs and State Governments.
- It has given confidence to the vendors and reduced their 'administrative' cost involved in pursuing officers for timely payment through seamless processes and online time-bound payment, which is also mandated by the Department of Expenditure.
- The dedicated web page for bamboo products and quality planting materials was launched on the GeM portal in June 2021 by the Union Minister of State for Agriculture & Farmer’s Welfare, Shri Parshottam Rupala, under the name “The Green Gold Collection.â€
- The GeM SAHAY app, available on Google Playstore, was launched in June 2021 to assist proprietors in fulfilling large-scale orders by enabling them to secure loans against their purchase orders.
- GeM announced a new product category, Green Room Air Conditioners, on its portal as part of a nationwide sustainability drive.
- Sellers of Green ACs were onboarded on GeM, and the category was launched on World Environment Day.
- A dedicated page for COVID-19 products was launched on GeM in June 2021, supporting emergency requirements for oxygen cylinders, concentrators, kits, and more.
- The portal for onboarding sellers with disabilities was opened under the initiative “Divyangjan Entrepreneurs†as a mark of inclusivity on GeM in June 2021.
- The Unified Procurement System for goods and services, integrating the Central Public Procurement Portal (CPPP), was launched in October 2020 with GeM, featuring tools like 'GeM Availability Report and Past Transaction Summary' and 'Custom Bids.'
- GeM Samvaad, a two-month national outreach program, was launched in December 2019 to onboard sellers and address specific buyer requirements and procurement needs.
- The GeM Start-up Runway was launched in April 2019 to enable startups to offer innovative products and services to government users.
- SWAYATT, an initiative to promote Startups, Women, and Youth Advantage through eTransactions on the GeM portal, was launched by the Union Minister of Commerce & Industry and Civil Aviation, Suresh Prabhu, in February 2019.
- The Union Government introduced “Womaniya on Government eMarketplace†on January 14, 2019, to empower women entrepreneurs and Women Self-Help Groups to sell handicrafts, handlooms, and accessories directly to government departments.
- The National Mission on GeM (NMG) was launched by Commerce and Industry Minister Suresh Prabhu on September 5, 2018, to drive the adoption and use of GeM across major central ministries, states, UTs, and their agencies, including CPSUs, PSUs, and local bodies.
- The South Asia Procurement Innovation Award is given to Government e-Marketplace by the World Bank in 2016.
- It was honoured with Digital India Platinum Award for 'Exemplary Online Service' by the Ministry of Electronics and Information Technology (MeitY), in 2018.
- The portal was also nominated for the United Nation's ITU WSIS Prize.
- The Hindu Business Line Changemaker Award for Digital Transformation was won by the company in March 2020.